[awor]

From the article, it seems like the "flat-rate contract" the ISPs have for peering with L3 is $0.

The issue that L3 is raising, is that the equipment/appliances that the ISP has installed in these peering arrangements are insufficient to keep up with the amount of traffic which the ISP's customers are requesting, and L3 is attempting to provide.

If the ISPs were to upgrade their peering equipment to handle their customer's requests, there would be no issue.

[keehun]

So by Netflix making a deal with Comcast, did L3 effectively get cut out of the picture?

Also, isn't increasing equipment/bandwidth part of the business? It seems so ridiculously absurd that Comcast is balking to increasing its bandwidth...