Observations of an Internet Middleman (Level3) (was: RIP Network Neutrality

Mon May 12 13:27:37 UTC 2014

At 09:02 AM 12/05/2014, Nick Hilliard wrote:
>So from a business
>perspective it makes lots of sense to deprioritise the large companies that
>don't pay in favour of the ones that do.  Those who pay get better service
>for their customers;  seems fair, right?

I think that's where the biggest gulf exists.  It doesn't seem 
fair.  It seems like extortion.  The last mile access guys are the 
gatekeepers to the end user, with little competition.

The access providers are saying "Our customers are paying us to use 
our service, but we don't want to raise our retail prices to match 
their usage patterns, so we'll put the squeeze on the guys on the 
other side who are distributing the content.  They can raise their 
prices, so we don't look like the bad guys.  The benefit is, since 
their video services compete with our packaged television services, 
we may have fewer TV cord cutters."

I have a mix of wholesale and facilities based last mile access in my 
network.  I don't sell TV.   I see Netflix as a reason people sign up 
for my service - not as a competitor trying to "ride my pipes for 
free".  I would welcome peering with them, but sadly, they don't peer 
in Canada, so their traffic ends up on transit links.

---

Clayton Zekelman
Managed Network Systems Inc. (MNSi)
3363 Tecumseh Rd. E
Windsor, Ontario
N8W 1H4

tel. 519-985-8410
fax. 519-985-8409        