On Net Neutrality, Could a 1-800 Model Really Work?
On Net Neutrality, Could a 1-800 Model Really Work? As most have noticed, net neutrality storm clouds are gathering again and battle lines are being drawn. The flashpoint right now is Comcast's decision to have its Xfinity streaming content not count against its bandwidth caps, but it's not just Comcast. AT&T and Verizon are working on related ideas in which content providers would pay
I had to go check what a 1-800 model really was (we use 0800 or Freephone over here) - but the idea of the 'called party' paying for telephone traffic is well established and has to be attractive. Consumers are well used to the concept of a Freephone number.
What is different is that an Internet Connection has been seen as all or nothing rather than a per-second connection like a phone call usually is.
In order to extend this model to internet, the problem is that it calls for discrimination between different types of internet traffic and hence a reduction of Net Neutrality - something that is historically against the whole ethos of the Internet - which is why the regulators will be wary of it. Nevertheless there is a precedent and it makes alot of business sense.
I can definitely imagine people paying a charge for download of film/movies or access to sports events - direct to the content provider (rather than the ISP). The content providers would have to get commecial agreements with ISPs of course.
Of course that also reduces the ISP to a being a mere bit pipe - but maybe that's ok
Labels: Business
1 Comments:
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