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by throw0101a
1524 days ago
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> There's simply no way for any ISP to allow all customers to use their full bandwidth, that just doesn't work, both technically and with the prices consumers pay. I know how over-subscription works. But tough shit. As an ISP customer I'm paying for $x/month for x bps. I've cut a cheque now provide me with what you advertised. > If the new investment was paid in part by Netflix and others like them, as they drive most of the increase in bandwidth, then the cost would be pushed to Netflix customers through Netflix. The streaming services are paying for their Internet connection, and ISP's customers are paying for their Internet connection, and it is the job of the ISP to connect the two. |
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Netflix and others for sure do not pay a lot for their Internet connection, they do not really have one in this context. Most of the traffic comes from their CDN nodes, these are place directly inside ISPs own network (a server with multiple 10Gbit connections), they do not pay the ISPs a lot for this as its also a large benefit for the ISP since otherwise this traffic would come over peering instead and would have to travel further as CDN nodes can be geographically distributed.
The TCO of the ISPs network investments and operation is paid by their end customers, the current low cost is only possible if their network is oversubscribed.
All these things are simply solved by having a competitive market, countries that have that pay much less in Internet subscription costs. Competition is enabled by municipal networks (the ones here do not offer their own Internet service, they put down fiber when other stuff needs to be put in the ground, then let ISPs connect to their network), or by forcing ISPs to share last mile connections to other ISPs.