Did Internet Founders Actually Anticipate Paid,

Matthew Palmer mpalmer at hezmatt.org
Tue Sep 21 05:14:18 UTC 2010

On Mon, Sep 20, 2010 at 09:01:58PM -0700, George Bonser wrote:
> But there is a potential problem here in that content providers are
> producing applications and content requiring increasing amounts of
> bandwidth but are not bearing the cost of delivering that content to the
> end user.

Yes they are -- content providers aren't getting their connections to the
Internet for free (and if they are, how can I get me some of that?).

> If the ISPs are directly peering with the content provider at
> some IX, the content provider gets what amounts to a free ride to the
> end user.

Say wha?  ISPs don't *have* to peer at an IX; if they think that it's
cheaper to buy transit from someone than it is to peer, they're more than
capable of doing so.

> They then release a new version of something that uses more
> bandwidth (say, going to HD video and then maybe 3D HD at some point)
> which puts pressure on the ISPs network resources.  Do you then increase
> prices to the consumer in a highly competitive market and run the risk
> of driving your customers away, do you absorb the cost of required
> upgrades and run at a loss for a while only to see the applications
> increase in bandwidth requirements again?

The customer's requesting this traffic, therefore the customer needs a
bigger pipe, therefore the customer pays more.

> Do you try to get the content provider to pay for some of the "shipping"
> cost?

Why?  It was your customer who requested the traffic be delivered to them. 

- Matt

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