[zmmmmm]

> Metering only makes sense if the costs vary with usage ... in the case of DSL, the vast majority of the cost is the cost of maintaining the copper pair to your house, and that cost largely doesn't change, regardless of usage.

That's a somewhat naive view of things. It only works if all the upstream equipment has infinite capacity. If you (and others like you) use 275GB instead of 10GB then it absolutely does cause more equipment to have to be installed upstream, which I don't think is an insignificant cost.

I'm like the GP - I wish every connection was metered, the problem is not metering, but the rate which invariably seems to be way above what is reasonable. Metering seems to always just be a cynical strategy to exploit naive users who don't know how much bandwidth they consume (bill shock, etc) rather than a rational economic way of sharing a limited resource.

[patrickgzill]

It is not at all naive, it is very accurate.

After the connection hits the DSLAM it goes onto fiber, which starts at 1 Gbps capacity and goes up to either 40Gbps or 100Gbps per port. Only in the smallest markets would they use a T3/DS3 connection.

Actual bandwidth costs for 200GB (which is about 1Mbps) over the course of a month are about $1 USD in almost any major US city.

Even assuming 4x the cost for Canada's smaller market size, we are talking about a ($4 into $55 upcharge) 13 times markup once the cost of the basic connection, tech support, marketing, etc. is covered by the initial $31.95.

[vacri]

Sounds like a bargain. There's a business opportunity for you!

[nikster]

I think this hits on the real, underlying issue: There is no free market competition in internet access. In the case of Canada it appears one state-owned company owns all the physical lines, and that company is starting to meter access.

So, a sensible approach by the government would be to review the actual access costs - whether it's $2 / 100GB or some other figure - then fix the price at that level. Review it every year. Fair for all. I am sure the guy using 275GB/month wouldn't mind paying $4 for it.

Unlimited access is unrealistic, as is gauging the public for 10x the fair value _when you're a monopolist_.

[jarek]

The really stinging part is that Bell isn't state owned, even though it certainly acts the part.

[jacquesm]

Indeed, but Canada has a long history of the government supporting business interests against the interests of its own population. I have a list somewhere that I prepared for an article that I intend to write about this, it's probably never going to happen because I can't get mad enough about it any more (since I've left Canada that sort of thing has gone on the back burner).

[warrenwilkinson]

I would love to see that list actually. I live in Canada and often debate politics.

If its no trouble, could you please contact me at [e-mail]?

[napierzaza]

Bandwidth is sold in bulk, pennies by the gigabyte. Not dollars. It's not just covering their costs, it's obscene.