An Attempt at Economically Rational Pricing: Time Warner Trial
Taran Rampersad
cnd at knowprose.com
Sun Jan 20 17:38:17 UTC 2008
Matthew Moyle-Croft wrote:
> As long as the companies convince people that the "cap" is large
> enough to be essentially the same as unmetered then most people won't
> care and will take the savings. The other angle is to convince the
> 95% of customers that caps will actually deliver them a faster speed
> as the "evil 5%ers" won't be slowing them down by hogging the bandwidth.
> Having a cap and slowing down afterward (64kbps or 128kbps are
> typical) is what worked here in Oz. It also removes a whole lot of
> credit related issues. Consumers get a product where they know what
> they're getting - it's fast upto a point and then it slows down.
This makes a lot of sense. And if it worked in Oz...
--
Taran Rampersad
cnd at knowprose.com
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