More Sidgemore on per-bit pricing
Jay R. Ashworth
jra at scfn.thpl.lib.fl.us
Sun Dec 6 06:12:20 UTC 1998
On Sat, Dec 05, 1998 at 03:35:19PM -0500, Barry Shein wrote:
> In my experience it rests on largely a moralistic view rather than an
> economic model. For example, the underlying presumption is that it's
> somehow "wrong" to charge for the cost of billing (why?), and worse
> yet to charge cost+profit on just the billing activity (why?) Yet in
> essence every business which bills customers sells billing services at
> a profit or they're not in business very long, if you want to look at
> it like that.
Not at all, Barry. My assertion rests on two things:
1) Routers are too damned busy as it is; too busy, we're told, to run
the filters that would keep much of the crap off the net. It's
unlikely the money made by packing more customers into a given
amount of uplink would outweigh the costs of gathering and
processing the information at that fine a granularity.
2) The telcos currently control the local loop, and are pricing
that on a flat rate basis, mostly, frame and ATM
notwithstanding (there's _still_ a flat cost, somewhere).
I don't at all object to "usage-sensitive" pricing, burstable T's and
the like; I'm looking at one right now. It's this "slap a byto-meter
on it" mentality that demonstrated, I feel, a fundamental
misunderstanding of the net. But then, I expect that from telco suits.
Jay R. Ashworth jra at baylink.com
Member of the Technical Staff Buy copies of The New Hackers Dictionary.
The Suncoast Freenet Give them to all your friends.
Tampa Bay, Florida http://www.ccil.org/jargon/ +1 813 790 7592
More information about the NANOG