Reply To: 17 Sept 16 – Netflix asks FCC to declare data caps “unreasonable”
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The link to the Kingsbury Agreement was interesting reading.
As far as the cost of delivering IP traffic, you can play all kinds of games with that. Just like the cost of the fire department responding on a call. You can take the yearly budget for the fire operation, divide it by the number of calls, and get one figure. On the other hand, you can look at the actual cost of operating a firetruck for the average time and mileage of a call, and get something completely different.
I had Frontier DSL from their early days of trying to make it work (anyone remember their “Dashboard”?) and gradually they were able to work download speeds up. I started with a 1 Mbps speed, and it eventually got up to over 6 Mbps. The modem had an upper limit of 8.3, and I was happy. With their billing, they were supposedly charging me for a speed of 10. Suddenly, I was seeing a constant speed of 3.0.
Complaints to the customer service people insisted I should be getting higher speeds, and finally referred me to the technical service people. Julie there explained to me she had everyone in the Rochester area provisioned for 3.6. No exceptions would be made. And this was to give everyone a “better experience”.
I think actually what their problem was, the pipeline coming in from upstream wasn’t big enough, and they were unwilling to spend the money to upgrade it. So, the more data people use, the better the backbone systems have to be. And, that does cost money.