Posted 27 February 2008 - 06:05 AM
" Before you get upset at this proposition consider that if you quit your high end cable TV contract you have freed up money to spend for additional bandwidth...."
I don't believe that is a valid analogy because with TV, you're actually paying for a certain service. They can quantify what you watch and price accordingly because they, in turn, have to pay the networks for programming. With the internet, it's a service. There is no payment required by ISPs for "programming" on their end.
"This model would be doomsday for spammers as they have no more free ride"
So, the spammers win, don't they? Are we going to let spammers be the cause for our bandwidth to be capped? No thank you, I'll take care of myself here, and put up with spammers in order to have a free Internet. Besides, like always, they'll find a way around it.
I think the point is, we've already paid for these services. ISP/Telco's have been getting these fees upfront for years. Each time they got a rate hike, they promised to increase capacity. They've taken that money and instead, invested it in wireless services that bring a greater profit, and of course, they've used the money to line their own pockets.
Also, there's a deeper motive to eventually control the internet. One day it will be bandwidth capping, the next day it will be bandwidth shaping. If you are on Time-Warner's network, but your kids want to go to Disney.com to play a game, watch a Disney broadcast, etc., TW will be able to prioritize your traffic, putting you in the backseat until their TW customers get their data first.
"The ISPs would still have incentive to build out the network to maintain speed such that it would drive more demand for quantity"
Of course they do, that's why they've been getting all this money for so long. When I travel abroad, I see consumers of other countries paying a fraction of what we pay, for a much higher level of service. That's because they have the insight to replace copper with fiber. Where I live, I'm still force to use copper that is over 50 years old. I've been paying for high-speed DSL for over 12 years. They've not done one thing to better their infrastructure, but yet, they collect my $50 every month.
You have to remember, they are a business. They're going to use any method at all to maximize their profits. They understand the internet is the new cash cow, and they plan to milk it out all they can. You might think, well, give them that and they'll go away... but they won't. They'll continue to look for ways to control and profit from the internet.