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FCC Approving Pay-As-You-Go Internet Plans

Posted by samzenpus on from the I'm-going-to-need-another-10-minutes-of-internet dept.

An anonymous reader writes "As details emerge about the Federal Communications Commission's controversial proposal for regulating Internet providers, a provision that would allow companies to bill customers for how much they surf the Web is drawing special scrutiny. Analysts say pay-as-you-go Internet access could put the brakes on the burgeoning online video industry, handing a victory to cable and satellite TV providers. Public interest groups say that trend will lead to a widening gap in Internet use in which the wealthiest would have the greatest access."

1 of 414 comments (clear)

  1. I Fear $50 + The Meter by zentec · · Score: 4, Informative

    There's two reasons for consumption based-billing:

    1. Make Netflix a lot less inexpensive in order to keep the profit line strong on their own video offerings.

    2. Raise prices. Consumption based billing won't be less expensive for people who are light users because broadband service will be $50 for the privilege of having the coax terminate at the house, and *then* you pay what the meter says. And it won't be cheap; I would not rule out several dollars per gigabyte. By doing so, the ISP has a nice fat recurring revenue stream for doing absolutely nothing, and a service pricing structure that encourages you not to use the service.

    I don't have a problem with consumption based billing. I have a problem to the GOTHCA! capitalism of having Wall Street and its corporate minions finding yet another way to fleece the public.