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Thread: Netflix Partner Says Comcast ‘Toll’ Threatens Online Video Delivery

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    Netflix Partner Says Comcast ‘Toll’ Threatens Online Video Delivery

    Actually, there are 2 stories here, where one comes right on the heels of the other:

    And.............

    First, Comcast has erected a toll booth for video content, and secondly, Comcast is putting a squeeze on it's competitors in the cable modem business, which Comcast already owns 40% of.

    Want to know what really pisses me off? Companies like Comcast, whose directors scream platitudes about competition and free enterprise out of one side of their mouths, while working behind the scenes to stifle competition and free enterprise. These guys would absolutely love going back to the days of the "Trusts" that Teddy Roosevelt eventually dismantled via the Sherman Antitrust Act.

    Comcast needs to be stomped on hard. Either that, or we'd better start getting used to this:

    Last edited by danarhea; 11-30-10 at 11:26 PM.
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    Re: Netflix Partner Says Comcast ‘Toll’ Threatens Online Video Delivery

    Quote Originally Posted by danarhea View Post
    Actually, there are 2 stories here, where one comes right on the heels of the other:



    And.............



    First, Comcast has erected a toll booth for video content, and secondly, Comcast is putting a squeeze on it's competitors in the cable modem business, which Comcast already owns 40% of.

    Want to know what really pisses me off? Companies like Comcast, whose directors scream platitudes about competition and free enterprise out of one side of their mouths, while working behind the scenes to stifle competition and free enterprise. These guys would absolutely love going back to the days of the "Trusts" that Teddy Roosevelt eventually dismantled via the Sherman Antitrust Act.

    Comcast needs to be stomped on hard. Either that, or we'd better start getting used to this:

    Don't you think that Netflix should pay for shipping their movies? If they send it in the mail they pay, why not when they use a service that gets films to them and their customers quicker. Comcast spent billions building out an infrastructure to deliver the internet to homes. They need a return on their investment if they are to keep up our internet lines.

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    Re: Netflix Partner Says Comcast ‘Toll’ Threatens Online Video Delivery

    Quote Originally Posted by washunut View Post
    Don't you think that Netflix should pay for shipping their movies? If they send it in the mail they pay, why not when they use a service that gets films to them and their customers quicker. Comcast spent billions building out an infrastructure to deliver the internet to homes. They need a return on their investment if they are to keep up our internet lines.
    They are getting a return on their investment. We're paying for service that says we get "X" amount of bandwidth, not "'X' amount of bandwidth used in the way we state". Not to mention mine, yours, and others money also went into building that infrastructure as well. The internet backbone of this country wasn't built simply by Comcast but largely subsidized by tax payers.

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    Re: Netflix Partner Says Comcast ‘Toll’ Threatens Online Video Delivery

    Quote Originally Posted by washunut View Post
    Don't you think that Netflix should pay for shipping their movies? If they send it in the mail they pay, why not when they use a service that gets films to them and their customers quicker. Comcast spent billions building out an infrastructure to deliver the internet to homes. They need a return on their investment if they are to keep up our internet lines.
    It is not Netflix that is being forced to pay the toll. It is the end user, which is a tactic that Comcast is using to stifle competition from Nexflix. If Netflix users have to pay an extra fee, it will certainly make Comcast's overpriced pay-per-view service look a little better, won't it? Comcast's screed about bandwidth is just a straw man being used to cover up the real reason. Netflix has a legal service that cuts into Comcast's profit margin, so it is time for Comcast to go into it's arsenal of dirty tricks.
    Last edited by danarhea; 12-01-10 at 01:20 AM.
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    Re: Netflix Partner Says Comcast ‘Toll’ Threatens Online Video Delivery

    Quote Originally Posted by danarhea View Post
    It is not Netflix that is being forced to pay the toll. It is the end user, which is a tactic that Comcast is using to stifle competition from Nexflix. If Netflix users have to pay an extra fee, it will certainly make Comcast's overpriced pay-per-view service look a little better, won't it? Comcast's screed about bandwidth is just a straw man being used to cover up the real reason. Netflix has a legal service that cuts into Comcast's profit margin, so it is time for Comcast to go into it's arsenal of dirty tricks.
    Netflix takes up a substantial portion of the total U.S. bandwidth, and is (IMHO) profiting partially from a form of arbitrage.
    It is not very unreasonable that the rich should contribute to the public expense, not only in proportion to their revenue, but something more than in that proportion.
    "Wealth of Nations," Book V, Chapter II, Part II, Article I, pg.911

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    Re: Netflix Partner Says Comcast ‘Toll’ Threatens Online Video Delivery

    Quote Originally Posted by Goldenboy219 View Post
    Netflix takes up a substantial portion of the total U.S. bandwidth, and is (IMHO) profiting partially from a form of arbitrage.
    netflix isn't pushing content out. users that pay for their bandwidth is pulling content out. so the cost of the bandwidth is already being paid for by those consuming.

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    Re: Netflix Partner Says Comcast ‘Toll’ Threatens Online Video Delivery

    Quote Originally Posted by ARealConservative View Post
    netflix isn't pushing content out. users that pay for their bandwidth is pulling content out. so the cost of the bandwidth is already being paid for by those consuming.
    Does it cost Comcast more money to "beef up" their networks to handle the additonal bandwidth during peak hours due to the service provided by Netflix?
    It is not very unreasonable that the rich should contribute to the public expense, not only in proportion to their revenue, but something more than in that proportion.
    "Wealth of Nations," Book V, Chapter II, Part II, Article I, pg.911

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    Re: Netflix Partner Says Comcast ‘Toll’ Threatens Online Video Delivery

    Quote Originally Posted by Goldenboy219 View Post
    Does it cost Comcast more money to "beef up" their networks to handle the additonal bandwidth during peak hours due to the service provided by Netflix?
    comcast decided to open an all you can eat smorgasboard and as such it is comcasts fault that overweight truckers become their target demographic.

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    Re: Netflix Partner Says Comcast ‘Toll’ Threatens Online Video Delivery

    Quote Originally Posted by ARealConservative View Post
    comcast decided to open an all you can eat smorgasboard and as such it is comcasts fault that overweight truckers become their target demographic.
    The rest of the article can be viewed here

    After Level 3 (LVLT) inked the deal, it went to Comcast and asked permission to send twice the amount of traffic to the cable and Internet provider's network as it had done before. The data spike isn't surprising: Netflix represents more than 20% of download traffic during peak hours, according to a new study by Sandvine.

    Comcast (CMCSA, Fortune 500) scoffed. That's a whole lot of bandwidth that Level 3 is asking for, and it's expensive for Comcast to constantly beef up its network to support additional traffic.

    Typically, content delivery networks (CDNs) like Level 3 have what's called "peering" agreements with Internet service providers (ISPs) like Comcast. The two sides figure that a roughly equal amount of traffic will be driven to each of their networks, so neither charges the other a fee for use.

    But Comcast says that with the new Netflix load, Level 3's traffic to Comcast's network would be five times more than the cable company is driving to Level 3's network. So Comcast demanded that Level 3 pay for that traffic increase.

    "Level 3 wants to compete with other CDNs, but pass all the costs of that business onto Comcast and Comcast's customers, instead of Level 3 and its customers," Comcast said in a blog post.

    In response, Level 3 lashed out at Comcast. It called the new fee unfair and accused Comcast of abusing its "dominant" position as the nation's largest cable provider."By taking this action, Comcast is effectively putting up a toll booth at the borders of its broadband Internet access network," Level 3 said in a press release.

    Still, it says it grudgingly agreed last week to pay up. "After being informed by Comcast that its demand for payment was 'take it or leave it,' Level 3 agreed to the terms, under protest, in order to ensure customers did not experience any disruptions," the company said.
    It is not very unreasonable that the rich should contribute to the public expense, not only in proportion to their revenue, but something more than in that proportion.
    "Wealth of Nations," Book V, Chapter II, Part II, Article I, pg.911

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    Re: Netflix Partner Says Comcast ‘Toll’ Threatens Online Video Delivery

    the actual issue is that people are using the bandwidth they pay for, and the companies that charge these fees did a bad job of pricing their services.

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