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BurmaShave

Minnesota

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Posted: 06/11/08 04:25pm Link  |  Quote  |  Print  |  Notify Moderator

Pulsar I apologize for not making the connection between Roku and Tiered pricing that you pointed out.. since its such a foreign concept ! Good point.

stevelv

FullTimers at Last!

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Posted: 06/11/08 04:30pm Link  |  Quote  |  Print  |  Notify Moderator

themave wrote:

stevelv wrote:

..... Given that the ISPs margins have been drastically cut due to competition, they are seeking to be rewarded for the use of these services - so Netflix launches a streaming VOD service and the ISPs say, hey you are making money from streaming VOD using our bandwidth so we want some - as Netflix won't give it to them, they come after the consumer to pay for it through a bandwidth cap.......
the problem with their logic on this, is that if I run a telephone support service were people use the phone to call me to get their questions answered, I make money using their services, ie the phone line, so if they follow the logic, then they should be taking a cut of each sale I make, since I used their service in making it. they are a phone company and they provide the phone service, what I do with it is not something they should make a profit from, other then the money they make providing the phone line. I used to use dial up, but decided I wanted faster service so I got dsl, then I wanted faster service so I got a cable modem, Now they are saying we will sell you the faster service, but if you want to us it to make someone else money, then we want a cut of that also. If they want a cut of others profit, the cable modem service should be provided free, to incourage as much use as possible. and google, amazon, netflix could provide the revenue stream to the cable company.


LOL - I didn't say I agreed with it

Unfortuately the analogy with the phone line doesn't work because the phone line is a fixed size and cost - the bandwidth that you use is a varible and was sold to you on the basis of a 'contention ratio'. The ISP calculated that for every 1Mb of their bandwidth they could sell 50 1Mb connections because 50 people browsing averages out as 1Mb continous download - or at least it used to.

Now, with 50 people all streaming video, VoIP, flash intensive web sites etc, the contention ratio might be reduced to 5:1 - so the ISP needs to raise their prices by a factor of 5 or offer inferior quality services or go out of business. Hence you will/are seeing bandwidth caps.

With more and more bandwidth intensive apps coming online, we will end up paying for our Wireless, DSL or Cable connections based upon how much we actually use - just like a water meter.


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themave

Livermore, CA

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Posted: 06/11/08 05:01pm Link  |  Quote  |  Print  |  Notify Moderator

stevelv wrote:

..LOL - I didn't say I agreed with it

Unfortuately the analogy with the phone line doesn't work because the phone line is a fixed size and cost - the bandwidth that you use is a varible and was sold to you on the basis of a 'contention ratio'. The ISP calculated that for every 1Mb of their bandwidth they could sell 50 1Mb connections because 50 people browsing averages out as 1Mb continous download - or at least it used to.

Now, with 50 people all streaming video, VoIP, flash intensive web sites etc, the contention ratio might be reduced to 5:1 - so the ISP needs to raise their prices by a factor of 5 or offer inferior quality services or go out of business. Hence you will/are seeing bandwidth caps.

With more and more bandwidth intensive apps coming online, we will end up paying for our Wireless, DSL or Cable connections based upon how much we actually use - just like a water meter.
I know you did't say you agreed with it, I was talking about their logic, but the phone is not fixed, it is on switch cuircuts, they have in place the number of cuircuts they calculate they need to handle call volumn, if too many people all try to call at the same time, you can't get through, like after an earthquake when everyone tries to get on the line at the same time. Now with the internet it is no different, except they calculated wrong a few years ago when they put in the basic plumbing, and they over sold their service, thinking this interent thing won't ever take off, lets offer a basic service, milk the cash cow as long as possible, only now, they are realizing they oversold the service, and are trying to now come back and say you internet hogs are ruining it for everyone else. What they are really trying to do though is, try to protect their cable tv business, it really has nothing to do with limited bandwidth. heck just last week Comcast talked about being able to increase their speed to 100mps to 20% of their market by the end of this year, and to their entire market by 2010. so, on the one hand they are claiming bandwidth problems, and on the other boosting about how much faster they were able to expand their network. the two don't go together.


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themave

Livermore, CA

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Posted: 06/11/08 05:09pm Link  |  Quote  |  Print  |  Notify Moderator

Here is a good blog article about this exact thing

http://techblog.dallasnews.com/archives/........08/06/comcast-broadband-100-megabit.html basically it says comcast is increasing service in areas where it has competition, and constraining users in areas where it doesn't, it is all about protecting their video service. so in areas with fios service, they will come in with a fast internet tied to their cable service.

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