Slashdot Mirror


The Coming Internet Video Crash

snydeq writes "First, it was data caps on cellular, and now caps on wired broadband — welcome to the end of the rich Internet, writes Galen Gruman. 'People are still getting used to the notion that unlimited data plans are dead and gone for their smartphones. The option wasn't even offered for tablets. Now, we're beginning to see the eradication of the unlimited data plan in our broadband lines, such as cable and DSL connections. It's a dangerous trend that will threaten the budding Internet-based video business — whether from Netflix, Hulu, iTunes, Windows Store, or Google Play — then jeopardize Internet services of all sorts. It's a complex issue, and though the villains are obvious — the telecom carriers and cable providers — the solutions are not. The result will be a metered Internet that discourages use of the services so valuable for work and play.'"

419 comments

  1. Utility by Anonymous Coward · · Score: 5, Insightful

    It needs to be regulated like a public utility.

    1. Re:Utility by desdinova+216 · · Score: 3, Funny

      .....but....socialism...what about the Free market

      note: the above is meant to be sarcastic.

    2. Re:Utility by Mitreya · · Score: 5, Interesting

      It needs to be regulated like a public utility.

      Or at least decoupled from the monopolized infrastructure so that other providers (that do not own an exclusive and non-negotiable cable hookup to your house) can compete.

    3. Re:Utility by EmagGeek · · Score: 2

      Well, they ARE, sort of.

      When Vz and Comcast were threatened with the prospect of having to scan and filter their networks of P2P traffic and be held responsible for the theft of music and movies, they went to the government screaming "hey, we're a public utility and common carrier, not a content provider! We're not responsible for what goes on our network!" And, the government bought it.

      Now, they'll be talking out the other side of their mouths saying "hey, we're content providers, not common carriers! We shouldn't be forced to carry everyone's media content equally and fairly!" And, the government will buy it.

      So, they'll eat their cake and have it too.

    4. Re:Utility by jamesh · · Score: 5, Interesting

      It needs to be regulated like a public utility.

      You mean like water, where you pay for what you use? Or electricity, where you pay for what you use? Or gas, where you pay for what you use?

      Yes. Exactly like that.

      I don't watch movies over the internet very often, and I don't keep my bandwidth at capacity 24/7 downloading stuff, and I certainly don't want to be subsidising those that do.

      Screw the business models of those "budding internet video businesses". I'm not (indirectly) paying for a service I don't use just to protect a poorly thought out business plan. This isn't health or something important, it's entertainment, and you can pay for it yourself.

    5. Re:Utility by Anonymous Coward · · Score: 0

      .....but....socialism...what about the Free market

      note: the above is meant to be sarcastic.

      It's not really about socialism vs. free market.

      Simple competence comes first. Something the US government sorely lacks.

    6. Re:Utility by Anonymous Coward · · Score: 0

      .....but....socialism...what about the Free market note: the above is meant to be sarcastic.

      Have you ever heard of the FCC? Do you know how much they f*ck with the telcos?

      note: the above is meant to make you feel like a dumbass.

    7. Re:Utility by MobileTatsu-NJG · · Score: 4, Insightful

      You mean like water, where you pay for what you use?

      You know what water companies don't do? They don't make you pay $10/mo. for 10 liters of water or $20/mo. for 80 liters of water.

      Oh, and water, electricity, and gas are finite resources. Data is not.

      --

      "I like to lick butts!" by MobileTatsu-NJG (#32700246) (Score:5, Informative)

    8. Re:Utility by sexconker · · Score: 0

      It needs to be regulated like a public utility.

      Won't fix shit. Toothless regulation leads to Enron.
      http://en.wikipedia.org/wiki/California_electricity_crisis

    9. Re:Utility by Anonymous Coward · · Score: 0

      No, not exactly like that. Those services are not analogous at all. It'd be like running a water service where a magic water fairy automatically filled up the water tower at the other end, or an electricity service where the power was generated by some magic perpetual motion device. There is still upkeep cost for the infrastructure, but I am not paying an ISP to be a content provider, which is what that power plant that I'm paying for is analogous to. As long as you actually have sunk the one time cost for infrastructure that support consumer use habits, you don't have to keep generating a product to sell to the customer.

      It may be that metered rates would end up being the norm anyway, but if the rates would be substantially lower (and not scale absurdly upwards if you hit the "cap" on whatever maliciously designed internet plan you're currently headed for), I don't think most people would mind. If pegging my connection for a month did not make it cost more than a monopolistic private entity would charge for unlimited service, I doubt people would be particularly worried.

    10. Re:Utility by chemicaldave · · Score: 1

      The Supreme Court already defined cable Internet as an "information service", which cannot be regulated, rather than a "telecommunications service" which can be regulated.

    11. Re:Utility by Kjella · · Score: 2

      It needs to be regulated like a public utility.

      My electricity is a regulated utility, but I still pay by the kWh. That's kilowatt hour, in case the US has some weird non-metric unit. Why should the Internet be any different? I want fast burst speed when I'm downloading 10GB from Steam, but I don't need it 24x7 just like I want my 2000W stove to work when I need it but most of the time I only have a 10W light bulb on. Doing some quick math I could download about 18.5 TB in a month, I think even in my craziest month I was at less than 5% of that. If they had a gigabyte rollover like many Usenet servers have then on average maybe 1-2%. I wouldn't mind faster burst speed, gigabit Internet when I need it would be great even if the cap stayed the same. But without any caps you have a no-limit situation where somebody could decide that transferring 300TB in a month is okay.

      --
      Live today, because you never know what tomorrow brings
    12. Re:Utility by Anonymous Coward · · Score: 1

      Data is not a finite resource, but electricity is. They could calculate the average amount of electricity used to pass data to you. This becomes a hodge podge bc the net is decentralized and all that jazz. The next thing you know the providers will want to actually have control of their pipes.

    13. Re:Utility by Anonymous Coward · · Score: 1

      Ugh. I was just thinking about this the other day. This fish-nor-fowl argument is ridiculous, and I'm amazed that anyone has a short enough memory to allow it to continue. If they want to be content providers, then they should lose their common carriage status. It's simple: break up content from infrastructure.

    14. Re:Utility by Anonymous Coward · · Score: 1

      Oh, and water, electricity, and gas are finite resources. Data is not.

      I'm tired of this argument because it's well, wrong. For any given time period/line-capacity combination, there is a finite amount of data that can be pushed through that line. It's hard to match infrastructure to usage in an efficient way, so some level of overselling is par for the course, and completely reasonable. Maybe the language in advertisements needs to be updated to be more accurate, but just because your line can hit 20 Mbps doesn't mean that maxing out your line 24/7 won't have an effect on other people whose connections intersect with yours. This is especially true if a significant number of people are heavy users.

      Charging for usage is a very reasonable way to ensure that a finite resource is available in reasonable amounts for all customers. You may not agree with how it's advertised, or you may not agree with the prices, and those are fair arguments, but to say that data (by which I assume you meant data throughput) is not finite is incorrect, even disingenuous.

    15. Re:Utility by KhabaLox · · Score: 3, Insightful

      You mean like water, where you pay for what you use? Or electricity, where you pay for what you use? Or gas, where you pay for what you use?

      Sure, as long as they price it at the marginal cost to push that bit down the pipe. ;)

      --
      Ceci n'est pas un sig.
    16. Re:Utility by thegarbz · · Score: 4, Informative

      This is exactly right. We went through this in Australia. I remember it quite fondly.

      Back at the turn of the century we had completely unlimited cable for around $80 from what I remember. After a while (and with only 1 single broadband provider in the country) they introduced a 3GB cap. Not a typo. THREE GIGABYTE CAP. We hit that cap on the second day of the month 10 years ago. Eventually they got slapped quite hard from the Australian Competition and Consumer Comission and the cap raised to 10GB.

      Enter ADSL. This same single broadband provider happens to own all the copper lines. So they offered their service with the same crappy caps but they also sold on their network wholesale to other telecom companies who wanted to offer ADSL as well. ... At a price higher than the retail value. Eventually they got slapped quite hard from the ACCC and they dropped their wholesale prices leading to competition and a rise in the caps again.

      Eventually I can't remember who think it may have been the ACCC again required Telstra to offer their exchanges to other companies to house equipment. Several companies jumped on the idea and started installing DSLAMs everywhere. Caps at the end of all this were around 50-250GB depending on plan.

      Now we have a situation here where the introduction of Naked DSL and a ruling which requires Telstra to completely offer it's copper infrastructure to other providers means we no longer have a monopoly. End result is I now have completely unlimited internet.

      Chronology of events of my internet bills:
      2001: $80 unlimited
      2003ish: $80 3GB
      2004ish: $80 10GB
      2006ish: $70 50GB peak + 100GB offpeak on ADSL + $30 phone line rental paid to Telstra.
      2009ish: $70 250GB+250GB peak/off on ADSL+ $30 phone line rental paid to Telstra (DESPITE NOW NOT ACTUALLY USING A PHONE ANYMORE).
      2012: $60 unlimited ADSL and phone line bundle.

    17. Re:Utility by MobileTatsu-NJG · · Score: 1

      I'm tired of this argument because it's well, wrong.

      I'm sorry, but it isn't. Want to deliver more data to the home? Invest in better technology. Most of that being a one-time investment, mind you. Want to deliver more water to the home? You had better have a source to get that water from. There'll never be a such thing, for example, as a data drought.

      None of these companies are trying to alleviate unexpected network troubles through billing, they're trying to increase their already-generous profit margin. (Notice their use of tiered plans, instead of the reasonable suggestion you made.) It doesn't make sense with data.

      --

      "I like to lick butts!" by MobileTatsu-NJG (#32700246) (Score:5, Informative)

    18. Re:Utility by Dereck1701 · · Score: 1

      "You mean like water, where you pay for what you use?" I don't know about where you live but in most communities in my area it is an unmetered water system. Everyone uses as much water as they want, within the limits of their little 3/4" pipe going into their homes and are billed collectively. If you want a bigger pipe, you pay a higher percentage of the collective cost of the system. It works quite well for the most part. I don't see why it would be so different for data. If you are only going to check email, a dial up or extremely slow connection will do, if your going to watch a video stream sometimes and maybe download some data (but never at the same time) a medium speed connection will do, if you want to be able to watch one or two video streams while downloading data you'll need a higher speed plan. Each progression will cost you more, this has worked out quite well up till now. The reason it is falling apart now is, for the most part, the service providers have been pocketing all of money from their customers. Putting little to none of it back into their infrastructure like most businesses do, even when the government gave them billions for infrastructure improvement, they turned around and pocketed most of it, or used it to build their cell networks.

    19. Re:Utility by Anonymous Coward · · Score: 0

      It's not the same.
      You don't have a cap to the amount of electricity consumed, it's not like you reach a cap and suddenly you get no more electricity. You pay on a Kw/h basis.

      And they will probably price it very expensively.

      There are two values to take into consideration (download/upload speed and amount of information downloaded in a month), so they must ensure EVERYONE gets the same speed first (both download and upload) and a tolerable one at the very least, to make it comparable to electricity service. And how would they price it. But NO CAP (as in the max amount of information downloadable in a month).

    20. Re:Utility by Anonymous Coward · · Score: 0

      You mean something like the last-mile infrastructure is owned by the local municipality. Hookups are provided to whatever ISP that wants to deliver service to customers similar to how airlines rent terminal space from an airport. Lease fees go toward paying for maintenance and upgrades (hopefully the local government can't redirect those fees to the general fund).

    21. Re:Utility by Anonymous Coward · · Score: 0

      No, it doesn't.

    22. Re:Utility by Anonymous Coward · · Score: 0

      I can think of a few issues with teired broadband. It is going to kill advertising (read as Google). People will just drop their internet and watch what they want at work instead of working or pirate the cafe down the street. Finally, if successful, It will expand to business next which will kill most everything that is left.

      Not to mention the fact that the broadband providers will need to spend some of that money on techs and secretaries to answer phones. Noone is going to use the web interface they created to eliminate this overhead.

      Personally my Internet costs have BEEN rising just for this reason: Time Warner claiming the need to expand their network.

      I expect we will see a billion MANs being setup as mesh networks with covertly placed access points as the Internet GW.

    23. Re:Utility by jamesh · · Score: 2

      I'm tired of this argument because it's well, wrong.

      I'm sorry, but it isn't. Want to deliver more data to the home? Invest in better technology. Most of that being a one-time investment, mind you. Want to deliver more water to the home? You had better have a source to get that water from. There'll never be a such thing, for example, as a data drought.

      None of these companies are trying to alleviate unexpected network troubles through billing, they're trying to increase their already-generous profit margin. (Notice their use of tiered plans, instead of the reasonable suggestion you made.) It doesn't make sense with data.

      The infrastructure for comms isn't cheap. The pipes that were installed to deliver water to my house 10 years ago will probably be just fine in another 10 years. The household usage of water has remained pretty much constant in the last 50 years (eg it hasn't increased 100x). The phone lines that were put in to deliver voice and data to my house 10 years ago are showing their age, and will require fibre if I need more capacity. 50 years ago a phoneline needed bandwith equivalent to 64kbits/second of data. 15 years ago that was probably sufficient too for most households. Now that requirement has increased well over 100x in a very short time.

      The infrastructure from comms is expensive and gets old really fast, to the point that it's obsolete by the time a large scale deployment is complete. You just can't dig a trench to lay fibre to every house quickly and cheaply. And then for somewhere like Australia where a large amount of content comes from overseas you have to get it here. Thousands of km of undersea fibre. That isn't cheap either.

      I'm sure the ISP's are making a handsome profit, and that's where regulation comes in, but just saying "unlimited internet for all" is stupid because the people who don't use much at all end up subsidising those who push the capacity of the network.

    24. Re:Utility by jamesh · · Score: 2

      As long as you actually have sunk the one time cost for infrastructure that support consumer use habits, you don't have to keep generating a product to sell to the customer.

      Seriously? It's not a "one time cost". It's an enormous cost and it's ongoing. IT stuff gets old really fast.

    25. Re:Utility by chapstercni · · Score: 1

      If businesses start being charged for data usage, you will see business crack down on all the rampant surfing that is going on. The number of businesses who have a poor performing Internet connection now because of employees surfing all day is mind-boggling. Pandora, etc, etc.

      A business with 50 people shouldn't be struggling to load a single webpage when they have a full T1. Not if it is being used for work only purposes at the typical company.

    26. Re:Utility by davesag · · Score: 1

      Just curious but which ISP did you end up with. I've been on Internode for years and their 160GB monthly cap (metered downloads only, non-metered uploads) is usually fine, and it's very fast. I've not seen any ISPs offering unlimited data and decent speeds.

      --
      I used to have a better sig than this, but I got tired of it
    27. Re:Utility by Anonymous Coward · · Score: 0

      I don't watch movies over the internet very often, and I don't keep my bandwidth at capacity 24/7 downloading stuff, and I certainly don't want to be subsidising those that do.

      Uhuh. What a clueless twat, you have absolutely no idea how business operates. ISPs work in exactly the same way "all you can eat" buffets do - and it's not a "poorly thought out" business plan.

      Or, do you also object to visiting all you can eat buffets just in case your modest consumption is "subsidising" the fat bastard who went back for a 2nd plate?

    28. Re:Utility by Anonymous Coward · · Score: 0

      I've been telling anyone who will listen about how Telstra did what Bell/Rogers are doing in Canada right now.

      It's gonna get worse before it gets better. I'm just glad that in the wireless world, Mobilicity and Wind came in and offered some real differentiation in the market.

      Before, with Virgin(Bell) They offered me caps on my Data, huge overage costs extra costs for voicemail, long distance, conference calling, caller id, incoming texts, etc, etc.

      Now, with mobi, I get everything - I bring my own phone - and it's 2/3rd cheaper. Used to pay like 70 or 80$ a month sometimes, now I'm down to $35 and LOVING IT.

      This is despite the CTRC trying to screw the competition out of business, at the behest of Bell/Rogers/Telus. Which is why Virgin is basically bell. The rules are determined that 51% of any new carrier has to be Canadian, and that means partnering with the big 3. Which always means good by competition. (Fido is now Rogers)

      Not to mention they start their own 'off brands' that mimic but don't quite deliver the same as the others. Koodo, Chatr, Virgin all designed to sound good on paper but always lacking something... and the overages kill you.

      Competition = Good.

      Regulatory Capture = Bad.

      But then, this is what you get when you vote for the parties that are in the back pocket of big business.

      If people voted left for a change, they'd see that the world doesn't collapse, companies still make profits, but the legislation tends to be better towards the working man.

      In this day and age of mean salaries/incomes dropping in the name of 'productivity' and 'competition' (with slave labour overseas), that would be a good thing.

       

    29. Re:Utility by Anonymous Coward · · Score: 0

      Uh, wrong analogy.

      The infrastructure costs are ridiculously small. The markups are insane. They are not justified.

      Nobody would oppose metering if it was even remotely logical.

      The metering was implemented in Canada just to destroy the small players like Teksavvy and others.

      There is a ridiculous amount of data about this. Basically metering bandwidth is retarded because there is no increase in operating costs to deliver more. It's not the same as clean water, nor electricity, AT ALL.

    30. Re:Utility by Anonymous Coward · · Score: 0

      Marginal cost of internet connectivity is trivial. The real cost is capacity. I'm sure you'd enjoy 95th percentile billing?

    31. Re:Utility by Anonymous Coward · · Score: 0

      Sure thing, you turn broadband into a free market for the first time in the history of broadband, then we can let that control it, but till then, socialized is better....

      But to be honest, this should be a utility, anything that turns into a requirement for life should be a public utility or at the very least an EXTREMELY heavily regulated service (similar to the post office).

    32. Re:Utility by Anonymous Coward · · Score: 0

      Yeah, like those. Those would be fine. That's not what they want to do.

      The cellphone companies, and now the landline ISPs, want you to pay upfront for a "plan" for a set number of bytes. Then if you go over your "plan" you will pay enormous, usurious overages, but if you stay under your "plan" you are paying for what you don't use.

      Imagine if electricity worked like this! You would have to decide if you wanted the $100/mo "Super Saver" 80kWh plan, the $150/mo "Basic" 100kWh plan, the $200/mo "Premium" 150 kWh plan, or the $300/mo "Unlimited (But Actually Limited)" plan, which gives you 250 kWh per month but they don't tell you that number unless you call their customer service people and ask. So you pay for the $150 plan, but one month you use 112 kWh, and it turns out those twelve extra kilowatthours are billed at the $3/per "overage" rate. The next month you cut way back, because you got screwed, and now you're using less than 80! Yay! But you're stuck in the more expensive plan for the duration of your two-year contract, unless you want to pay the early termination fee of $BIGNUM.

      There'd be riots in the fucking streets if your electric company tried to pull that shit. But for telecom, it's the only way it's done. You're fucked if you use too much and you're fucked if you use too little, and if you want to switch to a different provider, well, there's less than five of them, and they all have the same plans, but we assure you that there's no collusion in this free market, no sir!

    33. Re:Utility by Seumas · · Score: 1

      I hope you're being sarcastic, because my electricity is provided by a public utility and my UPSes have to kick in at least twice every single day just to make sure my computers and appliances stay alive during the regular split-second drop-outs. Not to mention the frequent power outages throughout the year. Why would I want to give internet providers even LESS reason to feel the pressure to expand their capacity and services while charging me out the ass for additional fees and taxes?

    34. Re:Utility by Seumas · · Score: 2

      Water, electricity, and gas are finite resources. Bandwidth is not. Setting up any discussion to surround treating it like a precious resource and public utility is exactly what the providers and regulators want. That's how they try to dishonestly frame EVERY conversation about this. The more you keep in that mindset, the more ready you are to accept their arguments that restrictions and high fees and per-gig-charges are fair. After all, gosh, think of all that precious internet that you are wasting!

    35. Re:Utility by Seumas · · Score: 1

      No, your argument is, well, wrong.

      Your argument suggests that highways are limited resources and the more cars that use them, the faster you use up that precious highway resource.

    36. Re:Utility by Seumas · · Score: 1

      In most of the US, it tends to be billed at a tiered rate. The more water you use, the higher amount you pay per thousand gallons.

    37. Re:Utility by Karlt1 · · Score: 1

      So which public utility doesn't have metered usage?

    38. Re:Utility by Seumas · · Score: 1

      Because the scarcity of bits and bytes is an artificial thing manufactured by the ISPs. Electricity is a finite resource. Data is not. Both are traveling over a pipe that can carry infinite amounts of each thing (but only so much at one time). Expanding the size of the "pipe" does not magically generate more electricity. However, expanding the size of the pipe *does* allow more data -- which as mentioned, is not in any way a limited resource. The only limitation is the same as that on a high-way during rush hour -- how much can go through at one time. Not how much can go through in a month. And that is easily solved with peak-time traffic shaping. Of course, that makes too much sense. It's better to convince the suckers that it's some precious finite resource that you have to charge more for (or limit entirely, so you don't have to expand your infrastructure).

    39. Re:Utility by Anonymous Coward · · Score: 0

      Pretty sure it's TPG. They're the only ones offering $60 unlimited adsl/phone bundles, and even then only in specific areas (mostly called Sydney). It's an unrealistically low price for the general internet market in Australia.

      Also worth mentioning is the NBN, which is designed from the ground up to have the infrastructure decoupled from the service providers. Due to that, line rental fees are becoming a thing of the past, and plans with a TOTAL cost of $40-80 and constantly increasing caps will become the norm. When TPG and Dodo get around to releasing their NBN plans you'll likely see unlimited 12/1 (and maybe 25/10) too.

    40. Re:Utility by Anonymous Coward · · Score: 0

      Actually, scratch that. Just found out that TPG has revealed their initial unlimited NBN plan as of September.

      Unlimited 12/1 with unlimited local/national landline calls and unlimited international calls to the USA, Canada, China, Britain, India, Germany, Malaysia and Hong Kong.

      For $70/month. And this is still early days yet. Holy shit this is going to be good.

    41. Re:Utility by turbidostato · · Score: 2

      "I'm tired of this argument because it's well, wrong."

      Or it isn't.

      "For any given time period/line-capacity combination, there is a finite amount of data that can be pushed through that line"

      So, if any, the limited resource is *bandwith* not volume. Why, then, they want to limit data volume and not bandwith?

      Might it be because by putting a price to something they got essentially for free they can get an insane benefit?

    42. Re:Utility by fm6 · · Score: 1

      So, not voting for Romney?

    43. Re:Utility by quantumphaze · · Score: 2

      Data as a resource may be limitless (well as big as all active disks worldwide) but delivery is a limited resource.

      Lets use the Electrical analogy:
      Hypothetical scientists discover a hypothetical magical infinite supply of uranium giving humanity an unlimited source of energy (Joules). We are limited in our use of it by the rate we can convert it to electricity (power in Watts). The amount of nuclear plants, their peak output (GW) and how much power we can send through power lines before they melt. Even the speed at which we can dig out the infinite uranium.

      But each town has a substation that can only put through so much current through its transformers before melting. These can only deliver, say, one megawatt and will need to be upgraded.

      Getting back to telecommunications, the biggest limiting factor is usually the copper lines struggling to provide a couple Mb/s. Lets assume we are in 2020 Australia and the NBN wasn't killed off. All houses in a town have access to 12/1 to 100/40 Mb/s plans taking away the "power lines melting" problem.
      At the point of interconnect we have the contention ratio issue. How much bandwidth each ISP buys for all their customers from NBN and from the transpacific links to the States where all the Facetwitubes are hosted effects the total amount of terabytes per month they can supply for everyone.

      It is impossible to have everyone buy an unlimited 100/40 plan and have everyone use it to the max 24/7. Even just a 12/1 plan can give a theoretical maximum of 30TB per month. Delivering 100/40 to people relies on the fact that no one uses it fully 24/7 and instead in bursts, averaging out across the town. The easiest way to ensure that it's used fairly, and that regular people who's biggest demand is Youtube can still get 100/40 plans without subsidising some tool torrenting 24/7 is to pay for what you use. That way light users can pay $30/mo for 50GB and heavy torrenters can pay $99 for 1TB. From the ISP's point of view there is no difference between the load a 12/1 customer downloading 1TB and a 100/40 customer.

      Quite honestly, if you struggle to keep under a terabyte quota maybe you should pace yourself a bit, watch less videos, go outside, actually watch all those videos you accumulated before you get more.

      TLDR: Bytes are unlimited. Bytes per second are not.

    44. Re:Utility by Anonymous Coward · · Score: 0

      Exactly. My electriciy (utility) is metered. So should my ADSL be. It's nuts to even expect that it wouldn't be frankly.

      Providing a service with no contention is damn expensive. Metering/caps seems like a perfectly reasonable and cost effective solution. Unless you're playing serious money expecting "unlimited" is going to have a catch of some sort.

    45. Re:Utility by Anonymous Coward · · Score: 0

      Ironically, that works in the UK. BT have a government-approved monopoly on ADSL infrastructure in the UK; but they are forced to wholesale at a fair price to other ISPs on the condition that BT can make some money from engineer call-outs to non-BT users. So basically, when you have an issue with your Sky/Plusnet/TalkTalk or the like, you end up with a BT engineer. This may sound bad, but the ISP covers the cost if you have the phone line with them too.

      The monopoly actually works really well; it means if you change from one ISP to another, you provide a Migrate Away Code and you get ~40 minutes of outage if they're not doing it right and about ~10 minutes if they are. You can also switch routers during the period if your ISP has provided their own kit and your existing provider relaxes CHAP auth restrictions under MAC to allow a seamless transition. This means you can switch providers if one of them doesn't provide the level of support or features you want without massive downtime - providing subscribers with greater freedom of choice.

      So, yes, BT have an artificial monopoly on ADSL (soon to be having a duopoly with Virgin Media on FTTC). But the system is regulated well enough to be good for consumers in a way which is actually superior to a "Free Market" system where everyone has to buy their own infrastructure.

      Oh and ISPs can't throttle traffic globally based on content over here, instead, they throttle after a certain usage amount specific traffic at peak times. So you get "unlimited" but with slower speeds for certain traffic types at peak times after going over a usage allowance, which is made clear in fair usage policies.

    46. Re:Utility by nedlohs · · Score: 1

      Note, that electricity and water are both metered everywhere I've lived, so even as a utility why wouldn't internet access be?

    47. Re:Utility by Anonymous Coward · · Score: 0

      Infinite water here for the same rates no matter what I use, only exception is hosepipe bans when there are water issues. Want to know why? Water is infinite due to natural cycles; with data packets the same is true.

      Underutilised equipment is wasted electricity and as demand grows you fit more equipment which essentially becomes free as the subscriber base grows due to contention ratios (50:1 is average) and available bandwidth not being used due to ever more efficient compression algorithms and the net effect of better technologies.

      Many ISPs in the UK now offer free between 2GB and 5GB capped broadband for people who use very little, so the "unlimited" subscribers subsidise the people who use the Internet for e-mail, encylopaedias, information and maybe the odd bit of social networking. You can also pay a small amount on top of the free tier for "pay as you go" in increments of 10GB.

      If you want to pay based on the amount of data you use, then you can, and you can pay less than those who buy "unlimited". You don't whine like this about restaurants which offer all-you-can-eat as an option do you?

    48. Re:Utility by Anonymous Coward · · Score: 0

      Before people ask, the US != the world.

      If you have issues with your ISPs abusing the "free market", then as a public, share your subscriptions and bleed them dry - writing kind letters to say why you won't individually buy their service. When they've received enough advice from their subscriber base, they'll change their tune.

      That is how you enact real change with monopolies, hurt their bottom line even at the cost of inconvenience until they give you what you want. Consumers have power in numbers, use it.

    49. Re:Utility by thegarbz · · Score: 1

      TPG. Caveat is TPG for the most part offer these services where they don't resell wholesale services, but rather have their DSLAMs installed at the exchanges. Another cheap service is Dodo who have a 3TB limit for less than $60/month.

      Must say both companies have rather average customer service.

    50. Re:Utility by jamesh · · Score: 1

      Infinite water here for the same rates no matter what I use, only exception is hosepipe bans when there are water issues. Want to know why? Water is infinite due to natural cycles; with data packets the same is true.

      There aren't that many places in the world where this is true. Great to hear that you live in one. We mostly pay per volume for water here (Australia). It's tiered such that the rates go up once you get over a certain threshold in the billing period (and up again past another point).

      As with water, I can't imagine what people are doing with the downloaded volumes of data that makes the price point such that an unlimited plan makes better financial sense.

    51. Re:Utility by eexaa · · Score: 1

      Not an utility.

      The technology used for streaming neflix&co. is brutally ineffective, instead of some reasonable multicast solution they just throw terabytes to ISPs networks and somehow expect everyone to prepare to handle that. It costs several hundred times more money to prepare infrastructure for this, than to build the streaming datacenter.

      I run an ISP and I seriously don't care to invest only for this single reason, that TV-content providers can make money. Data caps are so far the most reasonable solution to show those people what the rest of the network thinks of them.

      At least until they show up with some reasonable&effective new tech.

    52. Re:Utility by PsychoSlashDot · · Score: 1

      It needs to be regulated like a public utility.

      You mean like water, where you pay for what you use? Or electricity, where you pay for what you use? Or gas, where you pay for what you use?

      Yes. Exactly like that.

      Exactly like that? We'd be fine if it was exactly like that. Where I live (Canada) those utilities aren't marked up very much. Yes, I pay a flat delivery fee and some taxes, but overall the per-unit usage price is close to the price of production.

      A barrel of oil is 42 gallons, and people scream about gas costing $3 a gallon. When a barrel costs $80 and the refined product (after shipping and taxes) results in a 50% mark-up, people scream. But it's reasonable.

      Data movement isn't like that at all. You're looking at pennies per gigabyte of data movement. And yet the pricing is dollars per gigabyte. Two orders of magnitude worth of markup. It's okay for the providers to just decide one day that they'll make a 1,000% markup on their service?

      That's why "we" object to data caps. Flat unlimited plans force the providers to pick a price-point that we can ALL live with. $50 or so a month and we all get to be happy. You get telnet to the occasional router, I get to download all the video I want, and the provider gets to rake in a massive profit. Win, win, win.

      Understand, all the complaint about infrastructure is just smoke and mirrors. I know an independent ISP. He's able to make a tidy profit without monthly caps. That's right... he pays for his hardware and his peering agreements and his overhead and pockets spare money... without a monthly cap.

      So if the options are "have a cap, pay through the nose because we inflated the price nearly three orders of magnitude" or "pricing gets flattened and poor jamesh 'subsidizes' me", only one makes sense to ANYONE but the incumbent carriers.

      --
      "Oh no... he found the .sig setting."
    53. Re:Utility by YttriumOxide · · Score: 2

      Or, do you also object to visiting all you can eat buffets just in case your modest consumption is "subsidising" the fat bastard who went back for a 2nd plate?

      Personally... yeh.

      I AM a fat bastard, but I know for a fact that I can get a better meal cheaper by not choosing the "all you can eat buffet" option. Last time I looked at one of those, I think I would've needed to eat 3 or 4 plates worth of the most expensive thing in the buffet in order to even MATCH the price of eating the same food at a regular cafe.

      --
      My book about LSD and Self-Discovery
      Also on facebook as: DroppingAcidDaleBewan
    54. Re:Utility by arse+maker · · Score: 1

      Unlimited plans make no sense. It means data has no value.. which is non-sense. There is a cost to provide capacity.

      Unlimited plans are a marketing tool. Its worth providing if you aren't hitting your capacity limit. Or if you are shaping traffic to avoid hitting the limit.

      Unlimited plans make no sense. A discussion on the fair price of data makes sense. It gets more complex though because data grows with each subscriber but what only matters to providers is capacity. So they can keep shaping throughput while offering unlimited (or just any) data plans.

      It would be better to just ban the sale of unlimited plans. If the ISP controls the throughput, then unlimited has no meaning. Once all providers are using a per MB price (combined with peoples reports of throughput) things get much more simple and more realistic.

    55. Re:Utility by Reziac · · Score: 1

      Where I used to live... my internet provider was a one-man-band, and he liked to talk about his business. He bought bandwidth directly from AT&T. He told me it cost him NOTHING for downloads, and 5 CENTS per GB for uploads.

      So, yeah, I'm all for it being charged at a rate at least halfassed related to their actual costs... and if their overhead is that much higher, maybe they need to look at some other costs, like CEO bonuses.

      --
      ~REZ~ #43301. Who'd fake being me anyway?
    56. Re:Utility by Anonymous Coward · · Score: 0

      That's what got us into this problem in the first place! It is regulated like a utility. There are are two monopolies granted in almost every community. One to a Cable TV provider and one to the Telephone provider. The lines have blurred between the two, but no one else is allowed to bury or string any sort of communication cable through the community.

      The only other form of competition is wireless which is also very limited because almost all the bandwidth available is licensed for billions of dollars through the FCC. Wireless's ability to compete with Bell and Cable is very limited. Those that own the wireless spectrum also own the cable so there really isn't any competition.

      Breaking up AT&T only helped for a brief moment in history. Long distance charges are pretty much a thing of the past. Now all the baby bells have consolidated and are gouging us for data service.

    57. Re:Utility by nurb432 · · Score: 2

      You know what water companies don't do? They don't make you pay $10/mo. for 10 liters of water or $20/mo. for 80 liters of water.

      No, but there no unlimited water plans for a flat fee which is really what this discussion is about.

      --
      ---- Booth was a patriot ----
    58. Re:Utility by Anonymous Coward · · Score: 0

      With Optus cable in Australia it has been a different story.
      1999: Usage based on ratio. You had to keep your use to less than 10 times the average subscriber. This was quite tricky to balance your usage near the max data allowance, after the weekend you'd always hope to be under 10x or you may have to wait a week for everyone else's usage to catch up. All this for $60/MTH.

      In between 99 and now, they'd had unlimited (with a fairuse clause, meaning it wasn't unlimited use at all, the ACCC have put a stop to this several times), several peak/off peak limits, 5/10GB, 30/50GB, and currently a disgraceful 50/70GB.

      This costs $65/mth if I also have a phone with Optus, $75 without the phone.

      Bottom line, I've had to run some kind of traffic monitoring software because of limits for 13 years now., yes I could get a better plan, but there's only so much video I can fit into a week anyway.

    59. Re:Utility by MobileTatsu-NJG · · Score: 1

      You should have read the next line of my post.

      --

      "I like to lick butts!" by MobileTatsu-NJG (#32700246) (Score:5, Informative)

    60. Re:Utility by DirtyLiar · · Score: 1

      Actually water, electricity and gas are about as infinite as data.

      Not true.

      Water and gas have finite deposits on Earth, just like most energy sources. And the cost of bringing energy to earth is not just cost-prohibitive, it's pretty much impossible with our current technology.

      BUT.... there is a constant source of energy being delivered to the planet daily. Sunlight.

      Sunlight allows the direct creation of electricity, and the chemical storage of the energy by plants.

      --

      THINK! It's patriotic

    61. Re:Utility by True+Vox · · Score: 1

      There'd be riots in the fucking streets if your electric company tried to pull that shit. But for telecom, it's the only way it's done. You're fucked if you use too much and you're fucked if you use too little, and if you want to switch to a different provider, well, there's less than five of them, and they all have the same plans, but we assure you that there's no collusion in this free market, no sir!

      Well, not the ONLY way...

      Not related to the company at all, just a very happy subscriber. I'd give you my referral code, but I don't want to give the impression that I'm only pumping them for discounts.

      --
      "Gratuitous complexity is akin to chaos" - True Vox
    62. Re:Utility by Anonymous Coward · · Score: 0

      I'm happy for it to be a free market, provided that it's free on much shorter timescales than a two-year phone contract. My phone should be connected to three or so networks at once: and every time I try to download something, it should ask each of the networks how much they'd charge for it, and go with the lowest bidder. With proper competition, the price should go close to zero at non-peak times.

    63. Re:Utility by epiccollision · · Score: 1

      it is regulated like a public utility, you don't get unlimited power, unlimited water you still have to pay ....but that is beside the point the article's assertion is linked to a pilot yet again by comcast...they tried this before...if anything in my area internet is getting uncapped in both speed and consumption...the market will not bear bad math in this area the carriage fees for bandwidth are extraordinarily small, the telecoms who run the backbones are making money with very little capital investment, there is still a large amount of dark fibre laid in the ground a long time ago.

    64. Re:Utility by epiccollision · · Score: 1

      Where i live(Canada) the local power utility is charging the highest rates in the country, natural gas is a joke, gasoline is expensive and i have a completely uncapped 50Mbps fibre access 50d/30u from Bell....every market is different, and comcast is just evil.

    65. Re:Utility by epiccollision · · Score: 1

      the FCC disagrees and does regulate internet providers for the most part, this ruling
      "The court ruled 6-to-3 that the law regarding the distinction between telecommunication services and information services was vague, and that the FCC has the authority to make the decision.[3] The decision of the Court of Appeals was reversed.

      Ultimately, the FCC decided that cable companies were information services and did not have to allow their competitors access to their faster connections."
      that was the extent of it...

    66. Re:Utility by KhabaLox · · Score: 1

      The subtle point of my response was that you can't price internet connectivity the same way you price a physical commodity. There is a real cost associated with purifying water or generating electricity that is easy to measure. The cost structure associated with connectivity is very different. For the physical utilities, you have a significant fixed cost and a relatively large marginal cost. For something like connectivity, you have an significant fixed cost and a relatively small variable cost.

      If I leave my tap dripping all month and use 100 gallons of water, the cost to the utility is the same as if I used that 100 gallons all day. The same is true of internet connectivity, except that bursts of usage can have a much more dramatic impact on the end user experience (both for me and for other customers). That doesn't appear to be the case for water/sewer utilities, and only seems to affect the electricity market during periods of extreme weather or extreme manipulation (e.g. Enron).

      --
      Ceci n'est pas un sig.
  2. Free market! by Mitreya · · Score: 5, Funny
    No worries, I am sure the highly competitive and heterogeneous market will take care of it

    As providers try to cap their data plans, new market players will emerge and take over by offering unlimited plans that consumers want

    Right?

    1. Re:Free market! by raydobbs · · Score: 5, Informative

      ...or the large players will gather and plot to harm the consumer. Adam Smith pretty much makes the case that you -need- to regulate some industries, since they will not do it themselves. The consumer cannot 'vote with their wallet' when all the players offer the same vile offerings, racing each other to the bottom.

    2. Re:Free market! by ThatsMyNick · · Score: 4, Informative

      If you have already given the cable companies exclusivity, how do you expect the magical free market to work. If we did not give the cable companies exclusive rights, we would already have free and healthy market. And yes it would have taken care of it.

    3. Re:Free market! by Anonymous Coward · · Score: 0

      Yep. That's how it works.

    4. Re:Free market! by jimbouse · · Score: 5, Interesting

      I run a small WISP (wireless ISP, tower based) that does exactly this. We cost more than the incumbents but offer unlimited downloads and you get what your pay for.

      People are happy to pay money for a service that performs as advertised.

      My tiers bill out at $36/Mbit. It sounds steep compared to a 10Mbit for $80/mo from the local incumbent. Except that the incumbent can't actually provide that speed, nor will they let you use your connection to the fullest.

    5. Re:Free market! by Jane+Q.+Public · · Score: 4, Interesting

      This.

      Once everybody was captured (and by a couple of years ago pretty much everybody was), all they had to do was start turning the screws.

      People, I've been telling you for years, here on Slashdot, to write the FCC and your congresscritters, and fight the mergers and acquisitions and takeovers as anticompetitive. ESPECIALLY when carriers and content providers were proposing deals together. But few of you did.

      Now you get to live with the results.

      I hate to say "I told you so", but I did. The reason I hate it is because I have to live with it too.

    6. Re:Free market! by Anonymous Coward · · Score: 0

      If it means I never get another pop open PDF or video ad, if it means the end of intersitials/popups/popunders, if it means the end if distracting animations, if it means web pages that are static text and non-advertising static graphics--then the end of the rich media Internet couldn't be soon enough.

      I rarely do any online shopping these days, and most of what forms I do use could be done with static HTML and legacy CGI vs. all the dynamic scripts, AJAX, jQuery, or the latest fad in dynamic page frameworks.

      More to the point, it would bring back the web to where even dialup worked for relatively lean static pages.

    7. Re:Free market! by Anonymous Coward · · Score: 0

      Of course! There are Trillionaire Hedge funds just waiting to plunk down a Trillion or two to build out the necissary infrastructure to compete! They want to invest a fortune against established players by aiming to make less money than them

    8. Re:Free market! by MightyMartian · · Score: 1

      And what happens when you go to renew your contract with your upstream provider, and he decides to turn the screws on you, and even worse, any other potential upstream provider is doing the same or worse? I applaud you for your efforts, but you're still a middle man.

      --
      The world's burning. Moped Jesus spotted on I50. Details at 11.
    9. Re:Free market! by damnbunni · · Score: 1

      If you're in the WISP biz, can you tell me how to search for a WISP? Every time I try to find one, I get links to services that shut down ten years ago, or are Sprint / Verizon, or 'Get Comcast and a free wireless router!'

      I'm in the Knoxville, TN area, and I keep vaguely hearing about WISPs around here but can never FIND one.

      Is there some bit of industry jargon that would appear on a WISP's page that I can plug into Google to find one, or something?

    10. Re:Free market! by X0563511 · · Score: 1
      --
      For large sets, this will be our guide even unto death, for the LORD will work for each type of data it is applied to...
    11. Re:Free market! by fustakrakich · · Score: 1

      ...write the FCC and your congresscritters, and fight the mergers and acquisitions and takeovers as anticompetitive. ESPECIALLY when carriers and content providers were proposing deals together. But few of you did.

      That's right, and even if they did, more likely than than not, they will reelect the SOB anyway. It's election season (no, it's duck season!), so there's no excuse to let this opportunity slip by. But I'm only kidding myself to expect anything to come of it. Nevertheless, I recommend that you all vote for anybody that's not beholden to either faction of the ruling party.

      --
      “He’s not deformed, he’s just drunk!”
    12. Re:Free market! by G-News.ch · · Score: 1

      Nope, the free market likes profit margins just as much, there is no need to please the customer. I've been travelling in NZ and AU for a little over two months now. Capped internet is the standard here. It was particularly bad in Tasmania. No free WiFi anywhere but at McDonalds and there it's capped at 50MB. Paid WiFi is available, 99$ for 30 days or 1GB of traffic, yes you read that right. Internet video, uploading content (my photos of the trip) or cloud computing is entirely unthinkable in such an environment. If this trend continues, the further development of the internet is coming to a standstill. Entire industries will die (streaming, online games etc).

    13. Re:Free market! by AwesomeMcgee · · Score: 1, Insightful

      Unless the envelopes have checks in them with donald trump level 0's on them, those people could give two craps.

    14. Re:Free market! by _xeno_ · · Score: 3, Insightful

      Except in this case, regulation is the problem. This problem didn't exist back in the dial-up days. Some 15 years ago, there was a choice of like twenty different ISPs in the area, including some that were "free" and ad-supported.

      Now, there's a choice between two: Verizon and Comcast.

      Why just those two? Why does no one else compete with them? Because they're legally forbidden from competing with them.

      Of course, it no longer matters. Because Comcast and Verizon are the big players, even if the regulation preventing anyone else for competing was lifted, no one else could possibly compete anyway. If they tried, Comcast and Verizon would just lower prices to undercut the newcomer. (Hell, Comcast and Verizon already try and undercut each other in a similar way by offering "introductory pricing." First year, you can get like 75% off your bill! Then the price skyrockets...)

      So - yes, now the only solution is regulation. But that's not a failing of the free market, that's a failing of the original regulation that created the current oligopoly in the first place!

      --
      You are in a maze of twisty little relative jumps, all alike.
    15. Re:Free market! by Qzukk · · Score: 1

      This problem didn't exist back in the dial-up days.

      AHAHAHA you mean back when the telco charged you 4x as much for a "data" line as they did for your daughter's second phone line?

      --
      If I have been able to see further than others, it is because I bought a pair of binoculars.
    16. Re:Free market! by jimbouse · · Score: 3, Interesting

      Upstream data is plentiful. Last mile data delivery is the problem.

      The routers and fibers carrying the internet backbone are upgradable and there are plenty of routes.

      The problem comes when a incumbent drops 200 households on a single gigabit line. You can do the math. Although everyone is not using their full connection, at some point there is a limit.

      I agree I am a middle man. The rates I pay are in the $50/Mbit completely unlimited. When I started a year ago, the rates were closer to $90/Mbit. This shows the costs for bandwidth are dropping (if you can afford to buy enough).

    17. Re:Free market! by jimbouse · · Score: 3, Informative

      There are a couple of ways to find a WISP. Most reputable WISPs are members of WISPA. WISPA search

      The other way is to ask on DSLReports WISP section. DSL Reports WISP

      Good Luck.

    18. Re:Free market! by Anonymous Coward · · Score: 0

      Wow, what country did that happen in?
      The local phone company here didn't know when I had a modem connected to a phone line, and when I was talking on it.

    19. Re:Free market! by The+Raven · · Score: 1

      Such as Google. As long as their Kansas deployment is successful, expect to see it duplicated across the US.

      --
      "I will trust Google to 'do no evil' until the founders no longer run it." Hello Alphabet.
    20. Re:Free market! by Anonymous Coward · · Score: 0

      In purely laissez-faire market, they'd own the infrastructure and enforce the exclusivity themselves. The government needs to step in to make them open up to other players because they'll never do it of their own accord.

    21. Re:Free market! by thegarbz · · Score: 1

      You don't have a free market. Infrastructure was either paid for exclusively by the government which then spun it off as a private entity (now a monopoly), or it was paid for through incredibly high subsidies.

      If all players were forced to start on an equal playing field then the market would be competitive.

      Incidentally you joke but in Australia that's exactly what happened. Over the past 10 years a series of rulings by the ACCC (our competition watchdog) has basically dismantled Telstra's monopoly forcing it first to allow other providers to use the originally government funded infrastructure, then allowing other companies to build upon it, and finally requiring them to offer the entire copper network to others.

      End of monopoly, and for the first time in 10 years I"m not paying for line rental nor do I have a cap on data.

    22. Re:Free market! by thegarbz · · Score: 1

      Regulation and antitrust laws aren't the same thing. What you're describing is abuse of being a member of an oligopoly. The answer is not necessarily to break it up but ensure that there's no collusion between members.

    23. Re:Free market! by TubeSteak · · Score: 1

      [Citation Needed]
      History shows us that magical free markets tend towards consolidation and monopolies.
      And no, "it" did not take care of "it."

      --
      [Fuck Beta]
      o0t!
    24. Re:Free market! by bonehead · · Score: 1

      If this trend continues, the further development of the internet is coming to a standstill. Entire industries will die (streaming, online games etc).

      I wonder how far the trend can realistically go, though?

      Comparing to AU and NZ isn't really apples to apples. It's a different environment, with different consumer expectations.

      There are a large number of Internet customers these days in the US who have it pretty much solely for streaming entertainment. My MIL doesn't use email, doesn't play games, could care less about shopping on Amazon, but she absolutely loves streaming Netlix movies. That's all she uses the 'net for. And she's not all that unusual.

      If they push the data caps too far, there will be a huge backlash with people cancelling service because it's no longer useful for the things they originally subscribed for.

      If they set caps at a level where people can still do what they're used to, then as much as I despise the idea of caps, it's probably not a really huge deal.

      I know that if caps prevent me from streaming entertainment as I do now, I will find Verizon's mobile hotspot very tempting. It's plenty fast for pretty much everything else I do, and if I have to live with a cap either way, then the ability to have my connectivity be mobile is a huge bonus.

      Some countries get away with it because the customers never had unlimited in the first place. But here in the US people have entire home entertainment infrastructures based on the fact that their bandwidth is unlimited. You can't just take that away and not face a backlash. You can't take that away and not create a huge demand for independent WISPs who will step up and deliver what customers want.

      I just don't see the situation getting as dire as some are forecasting. Of course, I've been wrong before.

    25. Re:Free market! by Anonymous Coward · · Score: 0

      There is no difference between a "data" line and a second phone line, but that didn't stop them from trying to get more money for it.

    26. Re:Free market! by jbo5112 · · Score: 1

      If I don't have a free market, then how do you explain Google Fiber? Unlimited, uncapped, dedicated to the Internet backbone, 1Gbit/s, symmetric, fiber connection for $70 (US) per month, and it comes with a decent looking router. If you don't need the speed yet, then you can get at least 7 years of 5/1Mbit for just an install fee of 12 payments of $25 (or all $300 up front). They weren't one of the 2 exclusive providers in the area.

      Google makes their own network equipment and their customer facing network is larger than all but 1 ISP. I'm betting they know how to roll this stuff out for the install fee. Hopefully Kansas City doesn't break the Internet backbone. I'm betting that businesses subscribing to non-Google ISP's will be choked by AT&T, Verizon, etc. overselling their 100Gbit backbone.

    27. Re:Free market! by Seumas · · Score: 1

      Yes, that would be exactly the case, if the government allowed a competitive market rather than granting regional monopolies.

    28. Re:Free market! by Seumas · · Score: 2

      The government gave out many billions in tax payer money to subsidize infrastructure expansion. The industry chose to just pocket the money.

    29. Re:Free market! by tmosley · · Score: 1

      [Citation needed]

      Hypocrite to the max! Not to mention flat out wrong.

      The only company anyone can point to as being a free market monopoly (created during the period that was the closest to a truly free market in human history, the US between the end of Reconstruction and the 1913 founding of the Federal Reserve) is Standard Oil. You know, the company that delivered to consumers ultra-high purity kerosene at a tenth of the price from before they were formed, while simultaneously creating the corporate research and development model that drove the US to become a technological superpower: http://www.thefreemanonline.org/columns/john-d-rockefeller-and-the-oil-industry/

    30. Re:Free market! by citizenr · · Score: 1

      If you're in the WISP biz, can you tell me how to search for a WISP?

      run a wifi scan with your phone

      --
      Who logs in to gdm? Not I, said the duck.
    31. Re:Free market! by thegarbz · · Score: 1

      If I don't have a free market, then how do you explain Google Fiber?

      One of the world wealthiest companies being able to afford a pilot project to roll out fibre to a small area is NOT competition.

      Now when YOU are able to go out and get funding to build viable infrastructure and compete with major companies, that is a free market. But you can't. The infrastructure was gifted to these companies and they operate an oligopoly.

    32. Re:Free market! by Anonymous Coward · · Score: 0

      Except you then have a paper-trail. Guess who gets the blame when the big business fails? Yes, you guessed it, those who took bribes!

      You can then after writing to congress, threaten to bleed monopolistic ISPs dry by mass-cancelling subscriptions. The ISPs which bribe have then double-downed and lost money. End result: They shit their pants at the next shareholder meeting when they have to explain mass exodus.

      After all, you are the consumers, stop buying utter shit and companies will stop selling utter shit. Even under a monopoly, you still have the option of veto. Or are you all brainwashed enough to use shit just because it's the only popular shit? A la facebook.

    33. Re:Free market! by Anonymous Coward · · Score: 0

      some that were 'free' and ad-supported."

      Sure, it was free, it just cost 4x as much for the phone line.

      Just like now you can get DSL from anyone you want, you just have to pay for the full retail cost of the phone company's DSL line, on top of the cost of the third-party DSL, thanks to **DEREGULATION** [insert fabulous rainbow here] that canceled the rule that the telco had to lease lines to competitors at cost. Covad would do it, but I think they went out of business because nobody would pay twice as much for DSL from a competitor whose service was just as shitty as the telco's service because it's the telco's phone lines being used.

    34. Re:Free market! by Qzukk · · Score: 1

      The local phone company here didn't know when I had a modem connected to a phone line, and when I was talking on it.

      They didn't know I didn't have a daughter, either.

      --
      If I have been able to see further than others, it is because I bought a pair of binoculars.
    35. Re:Free market! by DiEx-15 · · Score: 1

      It also backfires when the consumer has only one choice in an area (like rural areas). Hence why local Telco Monopolies need to be shattered.

  3. um by geekoid · · Score: 1

    My tablet and phone has unlimited data, so I don't really know what they person is talking about.

    --
    The Kruger Dunning explains most post on /. http://en.wikipedia.org/wiki/Dunning%E2%80%93Kruger_effect
    1. Re:um by Robadob · · Score: 1

      And i'm fairly sure of the main UK broadband providers i've seen adverts for BT, Virgin Media, Talk Talk and PlusNet all advertising no limit (although its quite possible there are 'fair use' t&c's). Most providers just choose to traffic shape if you go over unreasonable daily limits (with virgin media this is during peak time).

    2. Re:um by Anonymous Coward · · Score: 0

      Sorry, but you only think you have unlimited data. If you have Sprint, and are a "heavy user", you are throttled after a certain point. (About 6 gigs, so I hear.) The old Verizon unlimited plans definitely get throttled at a much lower point. So your data does have a limiter put on it, which means you do not have "unlimited data".

    3. Re:um by dgatwood · · Score: 1

      Likewise. I moved to Sprint because of AT&T's redefinition of unlimited. That said, I doubt enough people will do this to actually effect change.

      --

      Check out my sci-fi/humor trilogy at PatriotsBooks.

    4. Re:um by jo_ham · · Score: 1

      I can confirm this is how it works on Virgin.

      I use their fibre service and I have no cap, up or down, but my traffic is managed (for a few hours) if I exceed 10GB or so of transfer at peak times. Outside of peak times, traffic is unmonitored. Even if they do throttle you down, you can still keep using your connection, just more slowly. There's no data cap and your speed will reset back to full after a little while.

      In practice, I have never been throttled down (and the penalty is 25% speed for a few hours) despite my household being full of pretty heavy users.

    5. Re:um by Anonymous Coward · · Score: 0

      My tablet and phone has unlimited data, so I don't really know what they person is talking about.

      Yeah, funny. I just got rid of my (admittedly grandfathered) unlimited data plan on Verizon and switched to an unlimited data plan on Sprint.

  4. Wrong by NewtonsLaw · · Score: 3, Interesting

    Commentators (including myself) have been predicting the end of the internet (as we know it) for almost two decades now -- but I (and all the others) have been proven wrong.

    Yes, the demand for bandwidth is growing at a huge rate -- but so is the provisioning of that bandwidth.

    If you live in a country like New Zealand (where I live) you get used to living with capped data plans -- they're just a part of life and, to be totally honest, it's never really been an issue for me -- despite the fact that I do a *lot* of online video, as you can tell by my Youtube Channel.

    Sure, the arrival of IPTV will change the picture a little, as TV programming starts to make up an increasingly high percentage of the total traffic -- but hey, nothing's free and many people pay for cable so why not pay for IPTV in a way that includes the bandwidth you use as well? (as will soon be the case).

    Uncapped internet? Never had it, never really needed it. I have 120GB a month and that's all I need -- perhaps because I don't like the kind of dross I find on TV anyway. Quality of content is *far* more important than the quality of the image.

    1. Re:Wrong by geekoid · · Score: 1

      "Quality of content is *far* more important than the quality of the image."
      those aren't mutually exclusive.

      --
      The Kruger Dunning explains most post on /. http://en.wikipedia.org/wiki/Dunning%E2%80%93Kruger_effect
    2. Re:Wrong by aix+tom · · Score: 1

      Commentators (including myself) have been predicting the end of the internet (as we know it) for almost two decades now -- but I (and all the others) have been proven wrong.

      Well. When you think about it, the Internet from two decades ago IS gone. Otherwise you are right.

      Back 20 years ago here in Germany I had to pay per-minute long-distance rates do dial into CompuServe. 9.6 kb, connected 1-2 hours a day costed about 4-5 times what I pay today for a 24-hour always on 16Mb down 2Mb up link. What I would really hate would be to have "caps", though. I would have no problems paying per byte on the other hand.

    3. Re:Wrong by Anonymous Coward · · Score: 0

      "Uncapped internet? Never had it, never really needed it. I have 120GB a month and that's all I need "

      Man, "uncapped internet" is something people think about when the cap is too low. I wouldn't really have a problem with a 120gb cap. I can remember the days where cable internet in my country meant a few gb cap per month, not a fucking hundred+.

      Having a 120gb cap is like having no cap for most people. I'm thankful that we switched from shitty cable to unlimited adsl here. Cable internet used to be the best before ADSL went mainstream but it was capped way too low and cost a lot. I live in France btw. Unlimited ADSL truly means unlimited here, you'd have to be seriously abusing the service before you get a mail warning you about anything (and by abusing, I mean uploading and downloading torrents NON-STOP, 24 hours a day, for more than a month).

  5. This has been brewing for years. by TaoPhoenix · · Score: 3, Insightful

    It started with the old hourly charges from the old services like CompuServe and AOL, then "because of consumer demand" they went to Unlimited.

    Notice this article talks about the "entertainment" side. Look at the Cloud side.

    1. "Everyone use your software from the Cloud! It's nice and fluffy!"
    2. "Let's cap bandwidth so that when you pull your data every 7 seconds you burn 4 megs, and then you will hit your cap and we can charge the fees."

    If I was better at graphic design, I've wanted to make "chart news" with trends like these pointing in opposite directions in 2010 that becomes 2012's news when they collide.

    --
    My first Journal Entry ever, in 8 years! http://slashdot.org/journal/365947/aphelion-scifi-fantasy-horror-poetry-webzine
    1. Re:This has been brewing for years. by Bill,+Shooter+of+Bul · · Score: 1

      Well, consumer demand and a couple ftc complains about giving away more hours than there are in a month.

      --
      Well.. maybe. Or Maybe not. But Definitely not sort of.
    2. Re:This has been brewing for years. by Burning1 · · Score: 2

      AOL only went unlimited when the internet became more important than AOL's content, and an assload of competitive dial-up providers sprung up all offering unlimited access.

    3. Re:This has been brewing for years. by Anonymous Coward · · Score: 0

      I am surprised the MPAA and RIAA aren't having a fullbore hissy-fit over this.

      Capping bandwidth will have a profound effect on people storing content on local servers instead of using cloud services which are easy to monitor and collect payments. These charges will highly encourage John Q. Public to avoid download sites, substituting sharing databases via ad-hoc networks. I do this already for sharing data with friends when I do not want to involve a ISP or emails. A mass high-speed transfer of files ( gigabytes at a time ) is tripped by copying a folder. It is easier to transfer an entire collection of data than to fish through the files for the one you want. Get them all then flick out the ones you have no use for. This is the worst possible scenario for the copyright police, as there is no corporate visibility to the act.

      I already have a 2TB disk drive with a ad-hoc network device attached. I bring it along when there is sharing going on and offer it to hold whatever people want to put up or take from. If you have ever been to a LAN party, you know what these things are. This one is wireless. I would imagine these things are going to get quite popular as these things have extremely fast transfer speed as well as being completely unmetered. They have the advantage is that they are nothing more than publicly exposed storage media... you can have your antivirus software vet whats on it before you take it into your machine. Just log on to the thing, and everything in it is yours for the taking, and if you have something to share, push it up to me.

      The ISP is completely out of the loop. Neither his snooping or metering technologies are involved.

      In addition to discouraging use of commercial download sites, these caps encourage even more of us to flock to ad-avoidance technologies, as more and more of us will consider pushing an ad at us as theft of our byte allocation. We may have been tolerant of ads on our screen - and it not bothered us enough to try to block it, but when ad-makers innovate technologies to muck up our machine or run our ISP bill up, people will adopt anti-ad technology. The advertising industry will see more of what the telemarketing industry is seeing - things like "smart phones" that recognize the telemarketer's call and ignore it.

      People will be people. Put shit in their path, and once they discover it, they start stepping around it.

    4. Re:This has been brewing for years. by adolf · · Score: 1

      There was a time when AOL's content was more important than the Internet?

      I'm old enough to have witnessed the birth, life, and near-death of AOL, but I don't remember ever wanting an AOL connection more than a routable IP address....

    5. Re:This has been brewing for years. by Anonymous Coward · · Score: 0

      AOL content by itself wasn't really better than what you could find on the Internet, but you probably don't remember the days of pre-google search engines all that well if you think there wasn't anything positive about using AOL proprietary services. AOL centralized information and made it easier to look for stuff inside their proprietary service and software and I still think to this day that it was better than the early web.

      Google was a fucking revolution for the web. I don't spend more than a minute or two (and it's really extraordinary if I spend more than 30 seconds on google) when I search for anything now, but the pre-google days were terrible when it came to search.

    6. Re:This has been brewing for years. by True+Vox · · Score: 1

      Mmhm... I remember when having the AOL keyword for something was a Big Deal. Never actually used it, thankfully (AOL wasn't in my school, thankfully, and we didn't have a computer at home for a couple more years).

      --
      "Gratuitous complexity is akin to chaos" - True Vox
  6. Unfortunately, the solution is obvious by dgatwood · · Score: 2

    There are two solutions, both of which are obvious. The first, which is the solution the telecoms want to choose, is to charge content providers for providing content at reasonable speeds. This, of course, leads to a two-tier Internet, i.e. the big media conglomerates and the independent ghetto. The second is to pass laws that ban download limits for all wired service providers.

    At this point, those are the only two options. Well, no, there's a third. We could build up a government-run infrastructure. But I'm not holding my breath.

    --

    Check out my sci-fi/humor trilogy at PatriotsBooks.

    1. Re:Unfortunately, the solution is obvious by Twinbee · · Score: 2

      There is a fourth solution. Google Fibre spreads across more of America (the rest of Kansas is next on the cards), and either takes over completely, or forces the others to play catch up. Kinda like what Gmail did for email.

      --
      Why OpalCalc is the best Windows calc
    2. Re:Unfortunately, the solution is obvious by WillAffleckUW · · Score: 1

      Or the rest of us on Internet 2, which will be on all major US and EU campuses, can just laugh while we surf the Net 2 at thousands times faster speeds with no caps.

      --
      -- Tigger warning: This post may contain tiggers! --
    3. Re:Unfortunately, the solution is obvious by Anonymous Coward · · Score: 0

      There is a fourth solution. Google Fibre spreads across more of America (the rest of Kansas is next on the cards), and either takes over completely, or forces the others to play catch up. Kinda like what Gmail did for email.

      This is assuming Google succeeds, of course...

    4. Re:Unfortunately, the solution is obvious by geekoid · · Score: 1, Insightful

      for now.

      --
      The Kruger Dunning explains most post on /. http://en.wikipedia.org/wiki/Dunning%E2%80%93Kruger_effect
    5. Re:Unfortunately, the solution is obvious by WillAffleckUW · · Score: 1

      for now.

      I see you fail to realize who actually created the Internet.

      I was on it when it was 110 baud. Baud.

      Now get off my lawn you young whippersnapper!

      --
      -- Tigger warning: This post may contain tiggers! --
    6. Re:Unfortunately, the solution is obvious by aix+tom · · Score: 1

      Well, beside the "download limit/no download limit" and the "content provider pays" there would always be the third option "receiver pays for his data volume"

      That could even be a two-tier system. "expensive" protocols that run "I want that data now!" stuff and cheap protocols that run "Transmit that data off-peak sometime when there is free capacity" stuff.

    7. Re:Unfortunately, the solution is obvious by BadgerRush · · Score: 1

      ... ban download limits for all wired service providers.

      The fact that you, a consumer, is willing to let wireless carriers off the hook, and only demand just and descent service from wired carriers, only show that we all have been drinking too much of the wireless carriers' cool-aid.

    8. Re:Unfortunately, the solution is obvious by AwesomeMcgee · · Score: 1

      Let us all hope long and hard for that option.

    9. Re:Unfortunately, the solution is obvious by mprindle · · Score: 1

      You see how well that went with Verizon's FIOS service. That is exactly what they were on track to do, but it finally became to expensive to run new fiber every and fighting with local governments to get the rights to even lay the fiber.

    10. Re:Unfortunately, the solution is obvious by Dahamma · · Score: 3, Informative

      Actually, no, there are a LOT more than 2-3 solutions...

      The major reason for usage capping is not the backbone costs of all of that bandwidth, it's oversubscription; the cable companies can't provide unlimited guaranteed bandwidth to everyone all the time.

      However, they do have an absolutely MASSIVE pipe coming into your home, even if it is shared - the problem is they are using almost all of it to send you 799 TV channels you aren't watching while you are tuned to the 800th. If they just dumped the traditional broadcast system to use ALL of the available frequencies for IP-based video, the whole oversubscription problem would go away.

      Of course, then they might actually start having a backbone issue, but that's a nice scalable problem they have been continuously solving for decades...

    11. Re:Unfortunately, the solution is obvious by chapstercni · · Score: 1

      Thats cool and all.
      What exactly will you be loading, watching, surfing?

    12. Re:Unfortunately, the solution is obvious by Anonymous Coward · · Score: 0

      That's great for all of you tenured professors downloading your child porn on Internet 2, but that's hardly relevant to society.

    13. Re:Unfortunately, the solution is obvious by dgatwood · · Score: 1

      There is a fourth solution. Google Fibre [google.com] spreads across more of America (the rest of Kansas is next on the cards), and either takes over completely, or forces the others to play catch up. Kinda like what Gmail did for email.

      To play devil's advocate here, do you really think that Google Fiber won't take advantage of their presence on all those nodes to deliver YouTube performance that cannot feasibly be rivaled by anybody else? Pragmatically speaking, then, Google Fiber taking over is the same as #1 on my list, just with a different telecom who happens to also be trying to weasel their way into being a big media conglomerate. You still end up with big media and a ghetto where everybody else lives. The only difference is that Google ends up being the gatekeeper over who lives in the ghetto instead of Comcast. Is that better? Maybe, maybe not.

      --

      Check out my sci-fi/humor trilogy at PatriotsBooks.

    14. Re:Unfortunately, the solution is obvious by Anonymous Coward · · Score: 0

      There is a fourth solution. Google Fibre spreads across more of America ...

      Oh wouldn't the content producers love that. A gigabit service on which the customers are banned from running their own servers. Consume but do not create.

      Google Fiber exists only to widen the imbalance between consumption and creation on the Internet. Google wants you to consume.

    15. Re:Unfortunately, the solution is obvious by Twinbee · · Score: 1

      Why, is the upload speed bad?

      --
      Why OpalCalc is the best Windows calc
    16. Re:Unfortunately, the solution is obvious by Anonymous Coward · · Score: 0

      Google will play nicer because they're dangerously close to monopoly territory (if not already in it). I wouldn't be surprised to see the fiber spun off as an independent company...really it's like chrome...Google wins whether not you use chrome, because it caused the other browser companies (including Google-funded Mozilla) to have to catch up in speed (JS in particular).

      The more people use the internet, the more ads Google shows. They do not care whose tubes or browser or even tablet you use as long as they're fast.

      Google is far from not evil, but once you see the game they're playing you start to see how to make use of it.

    17. Re:Unfortunately, the solution is obvious by Anonymous Coward · · Score: 0

      The content providers already pay their part via hosting...

  7. Yes by Anonymous Coward · · Score: 5, Insightful

    A market controlled by cartels or monopolies is not free, and is every bit as bad as a market controlled by a government.

    I know you were being sarcastic. I am just adding to the thought.

    1. Re:Yes by Anonymous Coward · · Score: 2, Interesting

      You can't have a monopoly or a monopolistic cartel without government intervention. "Free market monopolies" are a misnomer, as the company that has provided such a high quality, low cost product that no-one can compete with them must continue to provide such quality, or risk new competition arising.

      However, the OP is right that it should be like a utility, but utilities need not be regulated, nor be given exclusive rights to some geographical area (which is what you would get with the imposition of a utility model). No, the PROVIDERS need to realize that they are utilities, and price data according to market prices, close to the marginal cost, which is very VERY low. It should be like electricity--no-one really cares about using electricity, nor is there any demand for "unlimited monthly" electricity, but by paying for it by the amount of usage, you limit its consumption while giving proper incentive for construction of additional capacity.

    2. Re:Yes by MightyMartian · · Score: 3, Insightful

      The problem here is that the telecommunications tends towards natural monopolies. The costs of rolling out large area copper or fiber means the market will almost inevitably favor those who get in early. The only reason that cable ever was competitive was because it started out as an entirely different service than telephone, and it was only very late in the game that both cable and telco lines started being used for large scale data transmission.

      Then you go to wireless. Well, there's only so much useful spectrum out there, and unlicensed bands are far too filled with clutter to be of much use, so again, you're left the companies who get on in early dominating the market, with the costs of creating a competing network, even where you have spectrum, or at least there are protocols in place to share the spectrum, new players are not likely to come along very often. For even most moderate sized cities, there are only a handful of meaningful broadband competitors.

      So the only real option you're left with is some sort of government-imposed regulations.

      --
      The world's burning. Moped Jesus spotted on I50. Details at 11.
    3. Re:Yes by Spy+Handler · · Score: 5, Insightful

      exactly right.

      You either go the socialism route and the gov't mandates a reasonable service for a reasonable price, for example 20mbps/2mbps unlimited internet for $49 a month... the public wins.

      OR you go full capitalism and deregulate *everything* while protecting against monopoly/cartels (such as the Verizon/AT&T duopoly) with Sherman Antitrust-esque laws. Result: the public wins even more.

      Right now in the US we have the worst of both worlds, with a gov't protected cartel without the gov't mandated price controls. Crony capitalism at its best.

    4. Re:Yes by calzones · · Score: 5, Interesting

      Collusion, oligopolies, and high barriers to entry for certain enterprises (once established by first-to-market types, or when invested in by rich types) mean a free market does indeed lead to monopolistic abuses.

      Of course, all you have to do is look at human history and the natural world to see that this is the case. Mafias, gangs, cliques, pecking order, castes, nobility, feudalism, etc, etc... It's the nature of all social organizations that some will become strong and leverage that strength against others and some who ultimately become utterly dominant.

      Establishing rules and enforcing them, (i.e., a regulated society that values more opportunity for more members of society and a more level playing field) is the ONLY way to circumvent this tendency.

      --
      Asking people to think is like asking them to buy you a new car
    5. Re:Yes by Anonymous Coward · · Score: 5, Insightful

      as the company that has provided such a high quality, low cost product that no-one can compete with them must continue to provide such quality, or risk new competition arising.

      That is outright false.

      There are a host of perfectly legal things that established monopolies can do that prevent competition from ever arising, and that require no intervention from the government. Here are just a few:

      1) Buy up any emerging businesses, and just shut them down.

      2) Lock up the suppliers of any emerging businesses into exclusive contracts, so the new businesses can't get their supplies (or at least not affordably) and hence can't cash-flow their business long enough to get a foothold.

      3) Lock up the potential customers into long-term contracts, so the new businesses starve before they can get a foothold.

      4) Regionally price your offerings at a loss wherever competition starts to spring up, and starve them out of existence, then re-adjust your prices once they are gone.

      5) Hire all the talent out from under the owners of the new businesses, and let them fall apart.

      6) Use your wealth to out-market the new businesses (as *anyone* can tell you, good marketing beats good product any day of the week).

      7) Sue the new businesses with compeltely frivolous charges. It doesn't even matter if you lose, you drown them in legal expenses.

      There are also some dirty-pool options, like hiring goons to burn down their places of business. But why bother with those...any combination of the above will prevent any serious competition from ever arising, and you will be free to offer crappy service at high prices.

      And, of course, any large and wealthy business *will* have influence over government (that is just how money works). They will get special tax breaks and what-not because of the jobs they create (and the government wants those jobs to be local, obviously). These breaks will not be fairly distributed to potential competitors. Also, laws can be passed that establish quality or regulatory requirements that work as severe barriers-to-entry to any businesses not already established.

      There is, in fact, so much more than this...but you have to suspend your blind faith in complete hands-off governence to think the possibilities up.

    6. Re:Yes by calzones · · Score: 4, Informative

      "high barriers to entry are typically not an issue of acquiring sufficient capital "

      Are you serious? You're telling me that politicians are the reason you can't just start an airplane manufacturing business overnight? Or launch satellites into orbit to provide global communications? Or an offshore oil drilling company... a mining company... a global logistics provider....?

      High barriers to entry are there because the resources necessary to set up shop are hugely expensive and often of a massive scale. High barriers to entry become even higher when there are already established players in a space because you will be utterly incapable of competing against them unless you can match their resources. Nothing at all to do with political influence.

      And in the natural world, the biggest, strongest wolf gets to stay that way by eating first (and the most) while the runt of the litter eats last.

      --
      Asking people to think is like asking them to buy you a new car
    7. Re:Yes by Anonymous Coward · · Score: 4, Insightful

      The problem here is that the telecommunications tends towards natural monopolies. The costs of rolling out large area copper or fiber means the market will almost inevitably favor those who get in early.

      That's like claiming parcel delivery tends towards natural monopolies because laying new asphalt is cost-prohibitive.

      If you forcibly separate the infrastructure providers (road construction) from the service providers (UPS, Fedex, etc), then you have beneficial competition with very little downside.

    8. Re:Yes by rickb928 · · Score: 5, Interesting

      The flaw in this is that 'early' means different things.

      The Bells got into telephony early, and dominated. The Breakup tried to remedy the monopoly, and did so, though the aftermath was a new set of problems.

      When cell service came to be, the government decided the Bells and Baby Bells would noobe allowed to dominate this market, so they created 'A' service and 'B' service, 'wireline' and 'non-wireline'. Does anyone remember which was which? And they oermitted CDMA and TDMA to slug it out. We now know TDMA as GSM, its successor.

      Data service brought an entirely new set of options, and the telecoms were the logical leaders, going from slow speed leased lines to faster, and faster. Proprietary protocols, DDS2, T1/E1, and all the T3 and OC- speeds. SONET, MLPS, etc. The telecoms fought and lost the battle to keep their copper and fiber to themselves. But the CLECs failed to account for other players.

      Cable companies jumped in and provided data service on their networks. Power companies toyed with it, but failed to deliver working solutions.

      Today, Internet service is pretty much split into three providers in most areas, cable, telecom (DSL) and wireless. In the rural areas, the providers are either limited by range or nonexistent, but where service is avaialble, mostly it has 2-3 players. Please, before you flame me with the exceptions, it's generally true that cable reaches a little further than DSL, and wireless is generally limited to the cell footprint. Satellite is a poor quality solution, and is not germane to my examples. FIOS and other telecom or higher speed non-copper services only add competitors, though not many.

      To turm Internet service into a utility in most of the US is to ignore the reality that there is a competitive market, and the utility model doesn;t seem to fit well, at least not to me.

      BUT...

      This is an issue of The Commons. And net neutrality is a disguised Commons issue.

      If the Internet providers are still also providing other services, they have potential incentives to limit one in favor of the other. Case in point, cable services.

      Video over the Internet is insanely popular for several reasons, but two come to mind as direct threats to cable providers: On-demand video, and non-real-time video.

      On-demand video, like Netflix, competes directly with cable company movie channels, both the HBO model and on-demand/rental channels. this is revenue lost to them, and Netflix is literally eating their lunch.

      Non-real-time video I think of as the Hulu model. While cable companies have DVR solutions, again Hulu takes the bread from their mouths. Direct competition.

      BitTorrent is just another delivery method, with the added unpleasantness of rampant copyright violation, which then gets the cable companies in hot water with their bread and butter video providers.

      Add in another factor - video is a bandwidth hog, at least more than even Flash gaming. Probably even PC gaming. This increases their network costs, and logically so, at every part of their network.

      You could make the case that Internet service is a significant threat to the cable companies, yet they are stuck with being their own worst enemies, for now. too much money to turn down, at least at the moment.

      Notice I haven't even mentioned the VOIP services they got into to scrape mor erevenue from their networks, and the threat of Skype etc, and the challenge of various videoconferencing solutions such as Facetime?

      So video, to the cable provider, is a necessary and detested evil. The solutions? Traffic shaping, packet inspection, etc.serve to make the competitive services less useful, and discourage them. Bandwidth caps can nail Netflix and Hulu. Add speed caps, and the cable cos. can deal their competitors a blow. But users then might flee. To where? Well, DSL providers are not much better behaved. Any other provider with a relationship to broadcast media is also of divided loyaltes.

      DSL providers are limited in

      --
      deleting the extra space after periods so i can stay relevant, yeah.
    9. Re:Yes by MagusSlurpy · · Score: 3, Interesting

      No, he's telling you that politicians (i.e. the FCC in the US) are the reason even a company like Apple can't just take their cash and launch their own telecom and have any chance of competing alongside the Big Three - because they control the spectrum allocations. Doesn't matter how many iPhone 6s you sell when you only get enough spectrum to support half a million of them.

      Same with a cable company. Or a railroad. Or a power company. There are plenty of industries where the government stifles competition.

      --
      My sister opened a computer store in Hawaii. She sells C shells by the seashore.
    10. Re:Yes by Anonymous Coward · · Score: 0

      OR you go full capitalism and deregulate *everything* while protecting against monopoly/cartels (such as the Verizon/AT&T duopoly) with Sherman Antitrust-esque laws.

      Uh, that's regulation too, you know. And if the only regulation you have is that companies can't get too big, you'll still have smaller companies carving out a monopoly in a given area. The fact is that once the infrastructure is built, the existing players have a huge advantage. "More capitalism!" doesn't solve every problem.

    11. Re:Yes by Nadaka · · Score: 4, Informative

      And without the FCC you wouldn't have any spectrum, because the guy with the biggest amp will drown out your puny little signal on whatever spectrum you try to sneak into around the behemoths.

    12. Re:Yes by thetoadwarrior · · Score: 1

      So you think if the government wasn't involved at all they wouldn't work together and form duopoloies and other things to artifically inflate the price?

      Also if it were completely free they should have to negotiate land usage with every single land owner. Do you think people won't realise the free market potential there or that this will become an excuse to inflate prices?

    13. Re:Yes by thetoadwarrior · · Score: 2

      How did the government facilitate Microsoft's monopoly? I don't recall them mandating that I use Windows.

    14. Re:Yes by calzones · · Score: 5, Insightful

      My original comment was a reply to this assertion:

      You can't have a monopoly or a monopolistic cartel without government intervention. 'Free market monopolies' are a misnomer, as the company that has provided such a high quality, low cost product that no-one can compete with them must continue to provide such quality, or risk new competition arising.

      That is not narrowly focused on the question of dolling out a limited resource. It is a general statement asserting as factual that monopolies are impossible sans a meddling government. That's a patently false assertion. That's the point of my counterargument.

      Now the more on-topic nuance about my response, which I didn't give voice to, is that telecoms (A) have astronomically high barriers to entry because they require massive infrastructure that relies on land settled upon by other humans (whole cities, towns, and private residencies), and (B) any such massive infrastructure requires protection from other who would seek to reclaim the land for some other reason (save the spotted owl), or potential competitors.

      Hence, even without a government, the barriers to entry are astronomical. If you wanted to run a telecom in a veritable unregulated libertarian wild west, you'd have to have a whole crew dedicated to enforcing that no one messed with your property; you'd have to make so a ridiculous number of deals with land owners costing a ridiculous amount of money. And once established, you could easily bully anyone else seeking to do the same... not that anyone else could really pull it off unless they were already rich on their own.

      In the meantime, all the citizens of the land would be subjected to infrastructure wars between barons seeking to provide telecom service and the constant uprooting of land, cables strewn about the skies, and probably fractured service and abandoned equipment. Hence, society chooses to regulate such an industry. Two separate issues... yet regulation can help abate both.

      I'm not saying government isn't corrupt. I'm not saying competition doesn't drive down costs. I'm not saying government will necessarily solve the problem. I'm just saying that to assert that the monopolies would not exist otherwise is absurd, delusional even, especially in the context of TFA. Finally, I am saying that a government COULD solve the problem.

      --
      Asking people to think is like asking them to buy you a new car
    15. Re:Yes by AdamWill · · Score: 1

      "You can't have a monopoly or a monopolistic cartel without government intervention."

      Whether that's true or false, it doesn't matter, because all mature internet markets have plenty of government intervention. Cell service markets are all cartels because of wireless spectrum regulation: you can't just open up shop as a cellphone provider and start competing with Verizon/Telus/Vodafone/whoever, you have to buy spectrum from the government first. (I think the US has a narrow band of 'open spectrum' but it's not practical to try and run a national carrier in there). There is similarly onerous government regulation on acting as a fixed-line ISP in most markets.

      ISPs, fixed or mobile, resemble utilities so much both in how they operate and in how they're regulated that its absurd to argue that right now they're a free market and government regulation would just ruin them. they're already extremely heavily regulated industries. they are not free markets at all. unless you advocate freeing them of most regulation, you just can't apply free market theories to the market for internet provision in most countries, to do so is absurd.

    16. Re:Yes by Anonymous Coward · · Score: 1

      Generally speaking, the worst of both worlds is what we wind up with whenever it benefits the aristocracy that we have it.

      What benefits us is only of concern to them if it also benefits them. And they are the ones making the decisions.

    17. Re:Yes by Doctor_Jest · · Score: 3

      What's really funny is that all those things occur now with our "socialist governance" here in the United States. So you're basically pointing out that you don't understand what free means. Free doesn't mean unchecked. Free means unmanipulated. The government acts as facilitator for established companies in the market because those companies know that they can buy legislation favoring their established market at the expense of the rest of the emerging market (you see this every day with Cable companies).

      Furthermore, a non-committed arbiter that can handle disputes in the market with no personal gain (something the government cannot do now) prevents most of your items from occurring. How? When the government has no stake in who wins... things work as they should. We are far from that. People think that when someone says "free market" that they're promoting robber barons and evil to run amok. It is another in a long line of misunderstood ideas about free markets. It's easy to think the government can do something when they pretend to do so when it's election time. The trouble is, the government we want to referee the free market doesn't exist... so by the very nature of our current crony-capitalistic state we cannot achieve anything close to a free market, even if we could eliminate some of the corruption between corporations and the government. We can't because we think the government is doing "the right thing" and all those "evil free marketeers" are just trying to squash the middle class or some other nonsense.

      When the government can't be purchased by corporations and legislation can't be railroaded through... we can start to have a free market. That's a pipe-dream I fear, however. Because quite frankly. too many people think like you do and shut off logic. If we got a Constitutionally limited government that we're supposed to have, money couldn't be used to corrupt the free market because the government COULDN'T manipulate things. It's pretty simple, really... but most people are still hung up on the "evil free marketeers" to get past the nonsense and towards the real facts.

      --
      It's the Stay-Puft Marshmallow Man.
    18. Re:Yes by Anonymous Coward · · Score: 5, Insightful

      Without Government interference you'll likely have problems with any type of infrastructure. The right of way laws afforded to utilities for example and the only two other options you have are a free for all (everyone runs everything everywhere) or nobody can run anything anywhere because I own the land you'll need to cross and I'm simply not going to allow you to give my neighbours electricity.

      Utlitly infrastructure shouldn't have the pretence of competition or being privately owned(because unless they allow anyone to dig up the roads, it's never going to be anything but a select number of awarded companies) . It should be ran as some sort of non-profit organisation (preferably with rules relating to conduct in salaries) and their job should be nothing but to provide a state of the art infrastructure at as little as possible cost. Let the resellers foster the competition, otherwise you'll be stuck in the forever cycle of getting shit services from companies that stick their hands out to Government everytime they need to invest anyway.

    19. Re:Yes by roman_mir · · Score: 1, Troll

      The Bells got into telephony early, and dominated.

      - only thanks to the government giving them a monopoly and killing off 3000 viable competitors in the process. Yeah, not AT&T, it was the government that created that monopoly. There are no monopolies without government intervention. Without gov't any sufficiently large business is just an economy of scale moving closer towards its own collapse because of its own weight.

    20. Re:Yes by jthill · · Score: 3, Informative

      You can't have a monopoly or a monopolistic cartel without government intervention.

      Fucking horse shit. The Sherman act was written _precisely_ because it's a la-la-la child's fantasy. You want to see what happens without government intervention? You look at the history of what that act stopped. You want to say oh, it wouldn't happen today? You're going to try to float that _here_, on _slashdot_ ?!!!?!? There simply aren't words. That fantasy is literally inexpressibly stupid.

      --
      As always, all IMO. Insert "I think" everywhere grammatically possible.
    21. Re:Yes by calzones · · Score: 4, Insightful

      This is quite true. I've certainly believed the pros would outweigh the cons if we nationalized the telecom infrastructure and allowed any old company to come along and attempt to compete as a service provider on that infrastructure. Esp. the "last mile" could do to be excised from the cable companies.

      However, the screams that would arise when the telecoms lose ownership of something into which they invested billions of dollars would be deafening.

      While we're at it: no company selling connectivity should be allowed to sell content. Not even affiliated with a company that does. It's an inherent conflict of interest.

      --
      Asking people to think is like asking them to buy you a new car
    22. Re:Yes by calzones · · Score: 1

      bingo

      --
      Asking people to think is like asking them to buy you a new car
    23. Re:Yes by Anonymous Coward · · Score: 0

      You never once mentioned:

      a) What our constitutionally limited government looks like in your vision of society
      b) How said government would prevent the abuses my fellow AC above listed.

      Please do, we're all ears.

    24. Re:Yes by meerling · · Score: 1

      Free market utilities... Like Enron?

    25. Re:Yes by Anonymous Coward · · Score: 0

      That is why you have government owned lines up to the hubs and let companies deal with the last mile. After all, all these wires go through private and public land. Have the government rent out the infrastructure capacity fairly and use that money to pay for maintenance and guaranteed periodic upgrades. Also, offer the ability to speed up upgrades ahead of schedule where companies foot the bill partially or fully in exchange for credit and discount of fees for the amount of credits.

      Of course, this would all actually make sense and work decently and we can't have that in the real world.

    26. Re:Yes by Anonymous Coward · · Score: 0

      Do you even realize the doublespeak logic you are using above????

      "Of course, all you have to do is look at human history and the natural world to see that this is the case. Mafias, gangs, cliques, pecking order, castes, nobility, feudalism, etc, etc... It's the nature of all social organizations that some will become strong and leverage that strength against others and some who ultimately become utterly dominant."

      "Establishing rules and enforcing them, (i.e., a regulated society that values more opportunity for more members of society and a more level playing field) is the ONLY way to circumvent this tendency."

      How exactly is a group known as "government" going to be any better or fairer than a group labeled "mafia" or "cartel" etc?
      Why do you assume that simply because a group has a label of "the state" it is going to be any better than another example above?

      The government you are so fond of has for the most part granted and perpetuated monopolies especially in the telco arena....

    27. Re:Yes by TubeSteak · · Score: 2

      High barriers to entry are there because the resources necessary to set up shop are hugely expensive and often of a massive scale. High barriers to entry become even higher when there are already established players in a space because you will be utterly incapable of competing against them unless you can match their resources. Nothing at all to do with political influence.

      It helps that corporations get to influence the rules which keep out start ups.
      In some industries, businesses like expensive regulations, since they add an extra barrier to entry.

      The GP has a bit of a point about having the right political friends.
      A friend of a friend shared with me the tale of a product they had designed for the rail industry.
      It replaced a piece of hardware (that required regular maintinence) with a wireless box that only needed power.
      The stumbling block was, after passing all the tests and getting all the certifications, they couldn't get a waiver of liability,
      meaning this small company would have to get insurance coverage on the unlikely chance that their product caused an accident.
      Why? Because they didn't have the right contacts to push the waiver through, not that their product had any problems.

      And in the natural world, the biggest, strongest wolf gets to stay that way by eating first (and the most) while the runt of the litter eats last.

      In the natural world, the alpha male dies younger than healthy betas because of the stress of maintaining his dominant position.
      In the corporate world, the alpha essentially lives forever unless brought down by scandal, hubris, unforced errors, or uncounterable shifts in society.

      --
      [Fuck Beta]
      o0t!
    28. Re:Yes by I_am_Jack · · Score: 1

      How exactly is a group known as "government" going to be any better or fairer than a group labeled "mafia" or "cartel" etc? Why do you assume that simply because a group has a label of "the state" it is going to be any better than another example above?

      Because it doesn't operate in its own interest, it operates in the interest of others.

      The government you are so fond of has for the most part granted and perpetuated monopolies especially in the telco arena....

      This makes me wonder if the reason why Libertarians are so convinced of the soundness of their own principles is because they live largely unencumbered by the realities of everyday life.

    29. Re:Yes by Anonymous Coward · · Score: 0

      A Jewish, communist, homosexual liberal ACLU lawyer professor and abortion doctor was once teaching a class on Karl Marx.
      "Before the class begins," the Jewish abortion doctor said, "you must get on your knees and worship Marx and accept that he was the most highly-evolved being the world has ever known, even greater than Jesus Christ!â
      At this moment, a brave, patriotic, pro-life Navy SEAL stood up, holding up a rock.

      âHow old is this rock, Eurofag?â

      The arrogant professor smirked quite Jewishly. He smugly replied, âoe4.6 billion years, you stupid Christian.â

      âWrong. Itâ(TM)s been 5,000 years since God created it. If it was 4.6 billion years old and evolution, as you say, is real⦠then it should be an animal by now.â

      The professor was visibly shaken and dropped his chalk. He stormed out of the room crying those liberal crocodile tears (the same tears liberals cry for the âoepoorâ, who today live in such luxury that most own refrigerators and jealously try to claw justly earned wealth from the deserving job creators).

      There is no doubt that at this point our professor, DeShawn Washington, wished he had pulled himself up by his bootstraps and become more than a sophist liberal professor. He wished so much that he had a gun to shoot himself from embarrassment, but he himself had petitioned against them!

      The students applauded and all registered Republican that day before accepting Jesus Christ as their lord and savior. An eagle named âoeSmall Governmentâ flew into the room and perched atop the American Flag, shedding a tear on the chalk. The pledge of allegiance was read several times, and God himself showed up and enacted a flat tax rate across the country.

      The professor lost his tenure and was fired the next day. He died of the gay plague "AIDS" and was tossed into a lake of fire to rot for all eternity.

      Semper Fi.

    30. Re:Yes by I_am_Jack · · Score: 1

      The problem here is that the telecommunications tends towards natural monopolies. The costs of rolling out large area copper or fiber means the market will almost inevitably favor those who get in early.

      That's like claiming parcel delivery tends towards natural monopolies because laying new asphalt is cost-prohibitive.

      If you forcibly separate the infrastructure providers (road construction) from the service providers (UPS, Fedex, etc), then you have beneficial competition with very little downside.

      You don't actually believe that, right? Because the post you quoted in order to throw up that strawman has absolutely no connection whatsoever. Trying to show a relationship between a utility creating an infrastructure to move its product to market, and then charging to recoup that cost and UPS or FedEx using a publicly provided infrastructure, and charging a fee to move a parcel to cover the labor and overhead (and part of that overhead is the taxes that help pay for the roads they use) in order to do that is about a disingenuous as they come. I'll leave it up to you to supply the reason why it sounded like a good argument at the time you posted.

    31. Re:Yes by Anonymous Coward · · Score: 0

      Rogers Communications Canada business plan, 101.

    32. Re:Yes by tmosley · · Score: 0

      Somalia has the most advanced wireless infrastructure in sub saharan Africa (source: http://www.budde.com.au/Research/Somalia-Telecoms-Mobile-and-Broadband.html).

      So your argument is not based on reality, but rather your own imagination (something common to people justifying government intrusion in private matters).

    33. Re:Yes by Anonymous Coward · · Score: 0

      But he has a firm religious belief that monopolies only occur because of government intervention, and no amount of economic theory or historical fact will sway his faith.

    34. Re:Yes by tmosley · · Score: 0

      You can set up a pirate radio station for a few hundred dollars, and can set up small scale wireless internet for even less. A big tower and a few thousand will let you service a whole city. Your whole argument is asinine. Telecom works fine in Somalia, despite constant war, invasion, and insurgency for the last 25 years. Regulation is clearly not needed in this space. They made it work despite numerous obstacles we don't face.

    35. Re:Yes by tmosley · · Score: 5, Funny

      Because it doesn't operate in its own interest, it operates in the interest of others.

      WAHAHAHAHAHHAHAHAHAHAHAHAHAHAHHAHAHAHAHAHA!!!!!!

    36. Re:Yes by Anonymous Coward · · Score: 0

      Correction, WE invested billions into them, they just handled the routine upkeep of them afterward.

    37. Re:Yes by Genda · · Score: 2

      In American history, this would be a fallacy. There have been any number of ways a large powerful player could wipe out competition. Sell a product below cost until the competition went out of business this knows as "Wrapping a buck around it and giving it away." Large companies in American history have resorted to hired thugs to beat and kill striking workers, denial of service to customers unwilling to be bent and then broken by railroads. While its true that governments were involved, there is nothing stopping the wealthy and powerful from flexing such economic muscle in a free market. Save the law of the land... and would you separate state and commerce?

      The usage of electricity is a poor example because generator capacity is set by peak need. If you could "average out the need" over a given period of time consistently, we could dramatically reduce the need for extra generators.

    38. Re:Yes by blackraven14250 · · Score: 2

      Are you really holding up Somalia as a shining example of free market capitalism working correctly?

    39. Re:Yes by tmosley · · Score: 2

      Stop assuming the question. The government doesn't have to prevent the abuses because they DON'T HAPPEN. Read this article on JD Rockefeller and realize that your whole worldview is both totally wrong and more destructive than a hoard of Mongolian horsemen with titanium bones, laser eyes, and nuclear warhead tipped penises: http://www.thefreemanonline.org/columns/john-d-rockefeller-and-the-oil-industry/

    40. Re:Yes by tmosley · · Score: 1

      Microsoft wasn't a monopoly. They had competitors with products that were either inferior or too expensive. Once their competitors stepped up their game, they lost market share. Simple.

      That said, the government did help Microsoft gain market share by issuing and enforcing patents.

    41. Re:Yes by calzones · · Score: 1

      Privatized Last mile is a horrible idea.

      This is exactly how we get stuck with only a single company to choose from depending on our address. This is especially egregious when developers strike deals with cable companies to make them the exclusive provider to entire neighborhoods and tracts of land.

      --
      Asking people to think is like asking them to buy you a new car
    42. Re:Yes by tmosley · · Score: 1

      Parroting back what you were told in high school will only get you slightly further than parroting back the fairy tales you wer taught in elementary school. Try reading something on your own: http://www.thefreemanonline.org/columns/john-d-rockefeller-and-the-oil-industry/

    43. Re:Yes by tmosley · · Score: 1

      >Implying a country with a central bank can be a free market.
      >Implying that the US has even resembled a free market since the S&L Crisis and subsequent perpetual Fed put.

    44. Re:Yes by tmosley · · Score: 1

      Because we all know there is only one way to move data.

    45. Re:Yes by ae1294 · · Score: 1

      Read me another bedtime story uncle Hitler... Please this troll was so gay it got aids..

    46. Re:Yes by bsdewhurst · · Score: 1

      You don't even have to nationalise it, just force the owners of the companies to split into two companies, one owning the network and the other selling services on the network with the requirement that the network has to sell access to any company at the same price.

      You can also use a carrot for this, see Telecom NZ which split off its fixed line network into a company called Chorus in return for ~$1B, on the condition that it (Chorus who got the money) build an open access fibre network to ~65% of the population within 10 years. I guess in this case the stick in this case was the Government saying if you don't do it we will give the money to someone else and they can build there own network, with blackjack and hookers.

    47. Re:Yes by upuv · · Score: 1

      Total deregulation is a nightmare. You don't have to look far to see how corrupt and mismanaged a system can be. The financial markets under good old Bush progressively got more deregulated and it was the public that lost.

      A degree of regulation is required. Regulation brings other things than penalties for violation of regulations. It brings standards. Standards give common ground for competition. Without the standards or regulations you be left with one other controlling structure, Patents. A deregulated wireless world where patents require each player to invent something completely different than the other. Leads to a world of incompatible wireless systems that constantly interfered with each other. The massive amounts of redundant infrastructure to support divergent technology can only lead to huge consumer costs and poor service.

      There are no winners in a deregulated wireless world. Maybe only the equipment manufacturers would win.

      The author of the article is just PO'd that he got bill shock after he downloaded a lot of naughty stuff while on a trip over his phone. Now he is standing on his soap box hoping someone will simpathise with him.

      Of course you are going to have to pay for what you use. Wireless spectrum is not infinite. It is currently a finite resource. Any finite resource is partially regulated by the economic principle of Supply and Demand. Prices will drop when new tech increases supply thus causing prises to drop. When wireless Internet first started supply was huge compared to consumer base. Thus justifying unlimited plans. This is not the case any more thus a change in the pricing.

      It is rather astounding that people can not remember principle of supply and demand even though it was taught to use in grade school.

    48. Re:Yes by Beer_Smurf · · Score: 2, Insightful

      Yes, being in aviation, I am telling you that the reason I can't start an airplane manufacturing business is very much the government. Government certification costs are usually much higher than the actual development of the plane itself.

    49. Re:Yes by Anonymous Coward · · Score: 0

      This is a bullshit Scientologist-like religious text. Sounds like you're just parroting something you read that some dipshit cult leader wrote.

    50. Re:Yes by MightyMartian · · Score: 1

      I thought he channeled a Tea Party voter quite nicely. He wasn't that much more absurd than Glenn Beck.

      --
      The world's burning. Moped Jesus spotted on I50. Details at 11.
    51. Re:Yes by Anonymous Coward · · Score: 0

      I think it depends. Take Comcast for example. Nothing wrong with the On Demand stuff. However, their buying of NBC bugs me. But, did you mean something totally different?

    52. Re:Yes by Anonymous Coward · · Score: 0

      Nationalize it? WTF are you smoking. Everything involved with the last mile operation is a state or city/local jurisdiction. You will hear screams from the 10 amendment people, the state's and the city or local governments on top of the telecoms, their employees, and almost every land owner they have a right of way across.

      Not to mention this would obligate the federal government to ensuring every home has access or the abilities to get access of some sort. It will also dampen the upgrade cycle quite a bit.

      A much better approach would be open access to the infrastructure at costs. Put in a pretty strong penalty for charging more then costs and require the telecoms and cable companies to give detailed expense reports so those costs can be checked.

      Also, your content verses connectivity is screwed up. There is nothing wrong with selling content as well as connectivity as long as other content is not arbitrarily restricted or tampered with in any way that would degrade a service or communication in favor of another offering.

      It's not that hard to think things through.

    53. Re:Yes by Anonymous Coward · · Score: 0

      Microsoft mandated that your PC seller couldn't put anything BUT Windows on it or they wouldn't get it at all.

      When a corporation has massive control, it is a government.

    54. Re:Yes by fnj · · Score: 1

      Score 5: Brilliant

    55. Re:Yes by LongearedBat · · Score: 1

      Case in point...

      The telecom with infrastucture
      Australia had Telecom (renamed to Telstra) as a government body that built and owned Australia's telecommunications infrastructure. In the 90's that was privatised (but not split up) to introduce competition.

      The problem
      How do you, as a new telecommunications company (first Optus, then many smaller ISP's), compete with a business that owns all the existing infrastructure? You rent off the owner. But Telstra is also selling end products that compete with your end products. Unfair advantage? Most definately, and Telstra squeezed its advantage to the point where Australian services cost much more than necessary. Our expensive and slow internet plans were a running joke compared to other firstworld countries. There was no incentive to upgrade from copper, and Telstra could charge what it wanted, both from service providers who were renting infrastructure and from end users who were buying end products.

      The solution
      A few years ago the government initatied the building of the NBN (Natioanl Broadband Network) that is intended to be government owned and should only sell infrastructure wholesale, and should only charge what's necessary for building and maintenance. The intent is that, on the NBN, all other service providers will be able to compete on an equal footing.

      The screams
      Of course Telstra complained bitterly. That's to be expected. But Telstra did worse than merely complain and promise to behave nicer... it acted like a spoilt child. For example, when the government asked for tenders, Telstra delivered its tender after the deadline and still expected and demanded its tender to be accepted anyway, while the government was trying to play fair, at least on the surface. (Though I think that the government had a lot of tacit support in hoping to exclude Telstra as much as possible at this stage as most people were fed up with Telstra's bad behaviour at every turn.) Eventually, Telstra managed to insist on taking part of the NBN by leveraging its existing ownership of the current infrastructure as blackmail material.

      Personally, I'm looking forward to the NBN, and hope that its goals will not be changed, as the NBN ought to enable fairer competition in the ISP market.

      I can't find references now, but although the Wiki page only contains broad strokes, it does elude. http://en.wikipedia.org/wiki/National_Broadband_Network#Agreement_with_Telstra_and_Optus_2011

    56. Re:Yes by Anonymous Coward · · Score: 0

      5) Hire all the talent out from under the owners of the new businesses, and let them fall apart.

      I dunno, but getting some businesses willing to seriously compete for labor sounds like it'd be a good thing, instead of crying to daddy government to let them hire more temporary foreign labor, and when that fails, to protect their economic rents though other means.

    57. Re:Yes by Anonymous Coward · · Score: 1

      The Bells got into telephony early, and dominated. The Breakup tried to remedy the monopoly, and did so, though the aftermath was a new set of problems.

      What a ridiculous post, both in length and distance from the truth.

      The problem is simple, when they broke AT&T up in 1984, they did it wrong. They looked at the situation, saw they were making all their money from expensive long-distance service, said that is where the natural monopoly is, and so heavily regulated that. Since they didn't make much money on local service they simply left it broken up into the regional bells and left them alone. The trick is, while they made their profits off of long-distance, they were able to because they were supported by being the only local phone company.

      Turns out the local loop is a real natural monopoly. It costs $$$$ to put in a local loop to 1 house in a neighborhood, but it only costs $$$$+$ to put in a local loop to every house in a neighborhood. As such the real solution is for local governments to own all the local loops, then charge a fee for access to the central office. Competition works very well at handling the links between central offices, but horrendously for the local loops.

    58. Re:Yes by rickb928 · · Score: 1

      Which loops? Cable, Telco copper, or Telco fiber (assuming the Telco leaves the copper after the fiber).

      Much focus on the 'loop', when in the competitive markets there are at least 2, and they need regulators, not public ownership.

      --
      deleting the extra space after periods so i can stay relevant, yeah.
    59. Re:Yes by Anonymous Coward · · Score: 0

      Is that you, roman_mir?

    60. Re:Yes by Zontar+The+Mindless · · Score: 2, Interesting

      Somalia has the most advanced wireless infrastructure in sub saharan Africa...

      It's also one of the best places in the world to get kidnapped, hijacked, pirated, or just shot (or beheaded) for no particular reason.

      I'm sorry---you were saying...?

      --
      Il n'y a pas de Planet B.
    61. Re:Yes by Zontar+The+Mindless · · Score: 1

      As at least he didn't talk about Mussolini making the trains run on time.

      --
      Il n'y a pas de Planet B.
    62. Re:Yes by Anonymous Coward · · Score: 0

      Get back to us when you learn the difference between, "Doesn't always do something perfectly" and "Doesn't do it at all" or "Always does it completely wrong", will you?

      Such "logic" comes from my 9-year-old daughter when she's mad about not getting own her way every time. What's your reason?

    63. Re:Yes by OeLeWaPpErKe · · Score: 1

      We used to have a monopoly on cell phones here in Belgium. Before the "opening of the market" they covered barely half the country, only allowed 3 cellphone models on their network and they were never caught upgrading any tower.

      I guess this is a case of "pick your poison".

    64. Re:Yes by mjwx · · Score: 1

      A market controlled by cartels or monopolies is not free, and is every bit as bad as a market controlled by a government.

      In fact it's worse. Governments only have to recoup cap ex and op ex, private cartels have to make a profit and they have to keep making more profit than they did last year.

      --
      Calling someone a "hater" only means you can not rationally rebut their argument.
    65. Re:Yes by fritsd · · Score: 1

      No, I think it would work, if you'd *split* the companies and nationalize the "outer-facing" half, rather than nationalizing all of them. So the long-distance stuff with expensive equipment and long stretches of glass fiber and massive routers (i.e. with a very high barrier to entry) is nationalized, and sells bandwidth equally to all the ISPs which do all the battling for customers and "the last mile" bits and bribing the city government or blowing up competing free municipal wifi projects, etc.

      --
      To be, or not to be: isn't that quite logical, Slashdot Beta?
    66. Re:Yes by Anonymous Coward · · Score: 0

      I think you're expecting everyone to completely ignore the unbridled abuses committed by our predecessors in the last thing resembling a "free market," namely the early years of the industrial revolution in this country. employers literally got away with murder, and consumer safety wasn't even a slight concern. those who attempted to address these issues were frequently met with violence.

      despite your most sincerely-avowed beliefs, unmanipulated does in fact mean unchecked. if the government can't even influence the "free marketeer," how can they hope to prevent bad behavior?

      the only point I needed to take from your elegant defense of the "evil free marketeers" is that you share their mindset. foolishly enough I had hoped we, as a society, had moved beyond the exultation of avarice, but as this political season has aptly shown, the spectre of John Galt can be found just about everywhere.

    67. Re:Yes by Anonymous Coward · · Score: 0

      If you actually read that link, you will discover that the country has "problems with frequency spectrum coordination" and "interconnection between networks," as well as limited broadband access to the rest of the world. Sure, the packet fee may be cheap, but what's the point when you can't connect to anything?

      Incidentally, you will also find that the article does not make any claim about "the most advanced wireless infrastructure in sub-Saharan Africa," mainly because it isn't true. (What it does say is "some of the best and cheapest service in Africa," which is a very different thing.)
      I don't know who can actually claim to be "the most advanced in sub-Saharan Africa," but I decided to look up Botswana since I happened to know they are one of the more economically successful and stable countries in the region. With a mobile penetration rate of 164% (vs 51% for Somalia), and 3G/WiMAX networks, they seem to be hell of a lot more advanced than Somalia.

      So your argument is not based on reality, but rather your poor reading comprehension, wishful thinking, and a disturbing lack of even cursory intellectual rigor (all of which are common to people who think getting rid of the government solves all the problems of the world).

    68. Re:Yes by hairyfeet · · Score: 1

      I'm sorry AC but you are so full of shit your eyes are brown. You see we already tried pure capitalism and what happened was the "gilded age" or as many of us called it "The age of the robber barons".

      Its actually very simple AC, lets say you, me, and a half a dozen of our rich friends decide to pretty much own this country. Now YOU are in cattle and coal and ME, I own the railroads. Now if someone tries to compete with you I simply charge them 5 times what I charge you per head of cattle to use my railroads and voila! they go broke and you buy them out for a song. in return you scratch my back by giving me a much lower price than you charge my competition for beef, so while they serve hamburger I'm serving steak and sell me coal at one price and my competition? they get it 5 times higher. Again we BOTH make out like bandits and we can kick back and smoke our cigars and laugh at the peasants.

      Those who haven't looked at their history and actually believe the "free market" horseshit really needs to read up on the age of the robber barons, because it was as close to 100% pure unfiltered capitalism as you could get, damned near libertarian heaven. You had people working in sweatshops for pennies, child labor, a handful of guys owning every damned thing, hell they even bought their own military and police to enforce their own laws!

      this is why capitalism, like every other ism, simply doesn't work. All it takes is time and those that already have wealth will continue to build larger and larger piles of money until it gets to the point they can have pure monopolies. Read up on Standard Oil to see just one example. All it takes is a handful of the uber rich talking over cigars and brandy and soon you have a nice little cartel controlling everything and crushing any competition that dares to interfere with profits. Again read your history, look up Teddy Roosevelt and the busting of the trusts. those trust pretty much owned the whole damned country, didn't need government to do it either, just a handful of rich old guys getting together and slicing up the pie.

      --
      ACs don't waste your time replying, your posts are never seen by me.
    69. Re:Yes by Anonymous Coward · · Score: 0

      more destructive than a hoard of Mongolian horsemen with titanium bones, laser eyes, and nuclear warhead tipped penises:

      Gentlemen. We have a movie to make.

    70. Re:Yes by hairyfeet · · Score: 2

      Dude you DO realize you are simply arguing the exact same thing the communists did? 'Oh its not the system, its the people IN the system!" well no shit, if you could get everybody to hug and be friendly you wouldn't need any regulations now would ya?

      What amazes me is how few of you "free market is God" types will accept the fact that we already tried that and it was called "the age of the robber barons" by historians. look it up, they didn't regulate shit, hell you could sell rat poison to babies, no rules at all. No food regulations, business regulations, environmental regulations, it was total free for all...so what happened? Those at the top simply bought their own army and police and did whatever the fuck they wanted. You had sweatshops and child labor and monopolies up the ass..NOT because the government did shit, just because those at the top made these nice little cartels called "trusts" that let them control everything. Railroads, cattle, oil, shipping, all owned by trusts or big cheeses like Morgan and Rockefeller and those that tried to start anything to compete? if they were lucky they were crushed like a bug, if not a Pinkerton would just burn their place to the ground.

      So sorry Doc, your libertarian pipe dream is just that, it depends on those with wealth NOT being douchebags, yet we've seen time and time again capitalism rewards the sociopaths among us.

      --
      ACs don't waste your time replying, your posts are never seen by me.
    71. Re:Yes by hairyfeet · · Score: 0

      BWA HA HA HA HA HA...oh wait, you were serious? BWA HA HA HA HA HA HA HA!

      I take it you never ran BeOS or OS/2 back in the day, did you? Stomped the living shit out of Win 3.x by a country mile! Both could multitask, something Windows 3.x couldn't seem to do without crapping out, hell BeOS you could sit there and play music AND work on pages AND edit video at the same time!

      But since you were dumb enough to bring it up MSFT was a perfect example of how your free market doesn't work, they said "You'll take our OS and NOT sell anybody else's or we'll fuck you HARD" so bye bye BeOS and OS/2. Intel did the exact same thing, which is why when the Athlon 64 was using 40% less power while stomping the hell out of the power piggie P4 you couldn't find a single Dell or Compaq with Athlon chips. One of the OEMs compared the Intel bribes to cocaine as a matter of fact.

      So sorry friend but your free market fantasy is about as close to reality as John Galt and Andrew Ryan are to real people, its total bullshit, always HAS been bullshit, and never once, not a single time, can you show us that it has EVER worked.

      --
      ACs don't waste your time replying, your posts are never seen by me.
    72. Re:Yes by Anonymous Coward · · Score: 0

      Didnt the US governement give AT&T Billions in the past to lay the infrastructure anyway? I am not quite sure since in not from the US but I remember reading/hearing about it. Also didnt they split up AT&T way back?

    73. Re:Yes by Anonymous Coward · · Score: 0

      The last point is a law we could actually pass, though it probably would (should) be unconstitutional. But you are right that as a society, we cannot simply take what someone else has done. But we can be proactive... the FCC doesn't have to sell the spectrum it has and could instead begin building infrastructure.

      The flip side of this is that the government doesn't have to be NEARLY as concerned with the bottom line and results because there is less accountability.
      http://www.washingtonpost.com/local/trafficandcommuting/metro-riders-and-some-experts-wonder-why-dupont-escalator-work-must-take-so-long/2012/04/02/gIQALk30qS_story.html

      Not to mention it can be really hard to sue the government when something sucks or they overstep.

    74. Re:Yes by Anonymous Coward · · Score: 0

      Learn the difference between a troll and a joke.

    75. Re:Yes by purpledinoz · · Score: 1

      Do what Germany is doing, not sure exactly how they regulate the telecom industry. But prices here are going down while speeds and data limits are going up.

    76. Re:Yes by tsm_sf · · Score: 1

      When smaller oil men screamed about rate discrimination, Vanderbilt's spokesmen gladly promised the same rebate to anyone else who would give him the same volume of business. Since no other refiner was as efficient as Rockefeller, no one else got Standard Oil's discount. Many of Rockefeller's competitors condemned him for receiving such large rebates. But Rockefeller never would have gotten them had he not been the largest shipper of oil. These rebates, on top of his remarkable efficiency, meant that most refiners could not compete. From 1865 to 1870, the price of kerosene dropped from 58 to 26 ceres per gallon. Rockefeller made profits during every one of these years, but most of Cleveland's refiners disappeared.

      --
      Literalism isn't a form of humor, it's you being irritating.
    77. Re:Yes by Anonymous Coward · · Score: 0

      I'm for the 2nd option.

      Although option 3 would've been nice if it weren't for our massive debt. (Gov't building the infrastructure, and allowing deregulated companies to lease the pipe)

    78. Re:Yes by Disfnord · · Score: 1

      You can set up a pirate radio station for a few hundred dollars because those pesky government regulations reduce your competition by enforcing harsh penalties for running a pirate radio station. Without said regulations, the number of low-watt broadcasters might easily be so numerous as to make your own virtually invisible in the sea of noise.

    79. Re:Yes by Anonymous Coward · · Score: 0

      in other words, fantasy land where fantasy people make 100% dispassionate fantasy decisions and are not swayed by anything less than the certifiable truth. You have the mind of a child.

    80. Re:Yes by neonKow · · Score: 1

      Why on earth is this modded up? Everything about this post is wrong. I don't even need to go into hypothetical situations to prove you wrong--there are tons of historic examples proving these statements wrong.

      You can't have a monopoly or a monopolistic cartel without government intervention. "Free market monopolies" are a misnomer, as the company that has provided such a high quality, low cost product that no-one can compete with them must continue to provide such quality, or risk new competition arising.

      So wrong. All you have to be is first, and big, and you can stay a monopoly without any government intervention. You can easily strong-arm competition out of the market.

      Let's say you are Microsoft, and you own 95% of the PC OS market. You sell Windows OS to Dell, HP, and Compaq who need to preload it on their PC that they sell or they will lose 95% of the market. If any of Dell, HP, or Compaq suddenly want to sell computers preloaded with MySuperFantasticOS, which is a higher quality OS than yours, you can threaten to not sell Windows OS's to them at bulk rate any more, so none of the major PC makers are willing to sell MySuperFantasticOS preloaded. The upstart OS can never gain much traction, and the company quietly folds a few years later, unable to recoup costs of production.

      The inertia of the market keeps the lesser product at bay long enough to kill it.

      However, the OP is right that it should be like a utility, but utilities need not be regulated, nor be given exclusive rights to some geographical area (which is what you would get with the imposition of a utility model). No, the PROVIDERS need to realize that they are utilities, and price data according to market prices, close to the marginal cost, which is very VERY low. It should be like electricity--no-one really cares about using electricity, nor is there any demand for "unlimited monthly" electricity, but by paying for it by the amount of usage, you limit its consumption while giving proper incentive for construction of additional capacity.

      Also completely wrong. There is a reason providers don't "realize that they are utilities." It's no benefit to the company to be classified as a utility. It's just a set of restrictions that declare that their services are essential and cannot be denied to people who reasonably try to pay for it. For instance, utilities aren't allowed to cut heat and electricity to people who are a little behind in bill payments in the winter.

      Companies that are not utilities are for the most part happy to cut out the customers that are the least profitable, unless the gov't forces them to do otherwise. As part of a deal to buy up more of the wireless spectrum, AT&T had to agree to build more infrastructure in rural areas (which would normally not be profitable). Car insurance companies have to sell a certain percentage of their insurance to high-risk customers.

      The problem with your thinking is that you think ISPs are the ones struggling to find a solution to the coming internet video crash. This is false. They are the ones creating the problem, and if Hulu and Netflix die off, the ISPs will only be happier for it. The telecoms are making big bucks off this information age boom we're having, and they're squeezing to get more money out of customers because they can, not because they need to.

    81. Re:Yes by neonKow · · Score: 1

      There is no reason to believe that no government regulation is better than mildly corrupt government (yes mildly. Check out other governments for actual, super-corrupt governments) when you have clearly corrupt corporations at play willing to do whatever it takes to stay on top. However, what you are describing is not in any way "free." It just a "fair" market, where there will have to be someone in charge of determining what is fair competition, and that someone has to be incorruptable.

      It's a pipe dream because it's such a vague, half-baked notion. You want a government that won't manipulate, but will keep things fair for free competition. It has to be one that also has the long-term vision to keep things stable, and strong enough to re-stabilize things when unforeseen stupidity takes down the market (see the most recent recession), since there is never going to be a bullet-proof policy that catches and prevents all stupidity.

      People are hung up on "evil free marketeers" because most people that scream "free market" also scream "deregulation" in the same breath. You can hardly blame the people.

    82. Re:Yes by ultranova · · Score: 1

      So school teaches fairy tales, but random pages on the Internet tell The Truth?

      Right.

      --

      Forget magic. Any technology distinguishable from divine power is insufficiently advanced.

    83. Re:Yes by Anonymous Coward · · Score: 0

      You don't have to turn to history for examples. Current day Mexico is a perfect demonstration of monopolistic abuses.

    84. Re:Yes by Anonymous Coward · · Score: 0

      We can't because we think the government is doing "the right thing" and all those "evil free marketeers" are just trying to squash the middle class or some other nonsense.

      Ever heard of Carlos Slim?

    85. Re:Yes by Anonymous Coward · · Score: 0

      The Govt. is an arm of the monopolies.

    86. Re:Yes by Anonymous Coward · · Score: 0

        A Judeo-Bolshevist homosexual capitalist banker and smoker was teaching a class on Karl Marx, known ethnic Jew.

        "Before the class begins, you must get on your knees and worship Marx and accept that he was the most highly-evolved Ubermensch that the world has ever known, even greater than Adolf Hitler."

        At this moment, a brave, folkish, nationalist Waffen-SS member who had served 1500 tours of duty and understood the necessity of non-Marxist socialism and hated the Jews for stabbing the Germans in the back stood up and held up a rock.

        "How old is this rock?"

        The arrogant banker smirked quite Jewishly and smugly replied "4.6 billion years, you stupid Nazi."

        "Correct. It's been 4.6 billion years since geothermic forces created it. The natural scientific model must be applied to the political sphere, and thus foreign elements must be removed so that the rock of Germany will be pure."

        The banker was visibly shaken and dropped his copy of the Treaty of Versailles. He stormed out of the room crying those Jewish crocodile tears.

        The students applauded and all registered NSDAP that day and accepted Hitler as their Fuhrer. An eagle named "Ahnenerbe" flew into the room and perched atop the Swastika Flag and shed a tear on the chalk board. Mein Kampf was read several times, and Wotan himself showed up and enacted Germanization across Eastern Europe.

    87. Re:Yes by Anonymous Coward · · Score: 0

      This isn't actually the problem: a regulator to control use of spectrum and ensure abusers don't shut down military or emergency services spectrum is a good thing. Please don't kid yourself about protecting legal spectrum use by private companies being the reason the FCC et al exist. They are very much an 'oh... them too'.

      The problem, and it is not solely an American one; most (all?) countries seem to have the situation is that the government bodies are not actually independent and non-partisan. This seems to apply in Democracies, Dictatorships, Stalinist countries and pretty much everything in between. Some people help some other people ot do something - maybe put their guy on the Big Chair - and then there mayt be the odd policy 'consideration' later. Please consider your Government (any colour) Bought. 'Who by?' is something you will find out at some point later in the term or possibly only through later analysis.

      This is actually what is being aluded to and any amount of 'Young Persons Guide To Capitalism' dogma is totally irrelevant.

      Sometimes people just act as weak humans with all their frailties - not Ubermensch with a head full of theories.

    88. Re:Yes by SuricouRaven · · Score: 1

      Sure you can. Just go look up 'natural monopoly.' It occurs when a single player has taken over, but economic conditions (Such as a very high capital cost to build infrastructure) or exclusive business arrangements prohibit anyone else from competing with them. Broadband is a case of both - the cost to enter is very high due to the great expense of laying cables, so no sensible investor would take the risk, and the big players are able to negotiate favorable transit arrangements amongst themselves that a newcomer would not benefit from.

    89. Re:Yes by SuricouRaven · · Score: 1

      Microsoft benefits from a positive feedback system. Windows is the most popular OS, and thus the one on which all software is available and throughly tested, every product designed to work on, every device supplied with drivers and almost all employees capable of using without too much trouble. This in turn means that it's in general the most convenient OS to use, and thus it remains the most popular. Had history gone differently, a few managers made different decisions, we may all be using a descendant of OS/2 today and grumbling about how IBM has taken over.

    90. Re:Yes by Anonymous Coward · · Score: 0

      So, if I understand correctly, what you're saying is a government powerful enough to control greedy corporations can be corrupted whereas a government without the power to control greedy corporations can't. It would seem, then, either we need to be more vigilant and enact systemic reforms or we better figure out which wealthy person's boot we want to our children to lick for the rest of their lives as assets for profit extraction. I think you've made it easy for me to decide.

    91. Re:Yes by DirtyLiar · · Score: 1

      And without the FCC you wouldn't have any spectrum, because the guy with the biggest amp will drown out your puny little signal on whatever spectrum you try to sneak into around the behemoths.

      Actually it'll be the guy with the deepest pockets. There are more methods than just out-shouting your competition.

      I mean, the size of your amp won't matter if your antenna keeps falling down, or your radio station burns down, or you can't sell any ads.

      --

      THINK! It's patriotic

    92. Re:Yes by DirtyLiar · · Score: 1

      Yes, Somalia is the perfect "free and unfettered marketplace", so how-come businesses aren't falling over themselves to relocate there?

      --

      THINK! It's patriotic

    93. Re:Yes by shiftless · · Score: 0

      You're telling me that politicians are the reason you can't just start an airplane manufacturing business overnight?

      Yes. I could build and manufacture airplanes just like Wilbur and Orville Wright did, in their garage, out of wood and screws. I could build a car this way, too. But can you imagine the red tape in trying to get this business approved and licensed and to actually sell the product on an "open" market?

    94. Re:Yes by shiftless · · Score: 0

      No, it sounds more like he was using a specific example of one thing in Somalia to successfully refute an argument.

    95. Re:Yes by Crosshair84 · · Score: 1
      Yea, I was taught that propaganda in school too. How about we look at what actually happened.

      What amazes me is how few of you "free market is God" types will accept the fact that we already tried that and it was called "the age of the robber barons" by historians. look it up,

      Historians know that the robber Barron myth was just that, a myth. I recommend "The Myth of the Robber Barons: A New Look at the Rise of Big Business in America " It's only $10. There areother writings on this online available for free.

      http://www.amazon.com/The-Myth-Robber-Barons-Business/dp/0963020315

      Here is a lecture by the author.
      http://www.youtube.com/watch?v=4Vw6uF2LdZw

      they didn't regulate shit, hell you could sell rat poison to babies, no rules at all.

      The drug that caused the most deaths prior to FDA licensing was Elixir Sulfanilamide. It was poorly researched and ended up killing 107 people. Now compare this worst-case example from before FDA licensing to just one case caused by "drug lag" under the FDA. The "drug lag" for Interleukin 2 killed 3,500. This is typical for the FDA, there is no repercussion for killing thousands of people by delaying the approval of a new drug, but there are for approving a bad drug. Thousands die every year because the FDA is slow to approve new drugs.

      No rat poison being sold to children. Something about being bad for repeat business.

      No food regulations,

      You're seriously blaming the prevalence of food-born illness in the 19th century to the lack of regulation? Could it possibly be due to the fact that mass produced refrigerators and low-cost pasteurization techniques had not been invented yet? What regulations that would have been practical in the 19th century would you propose?

      business regulations,

      The only regulations needed are to enforce contracts and punish fraud and theft.Other than that Market regulation proved wildly successful in the 19th century given the rapid rise in pay and living conditions. What regulations would you have proposed?

      environmental regulations, it was total free for all...so what happened?

      The environmental problem was the result of government failing to enforce private property rights. At the beginning of the 19th century, people frequently went to court against factories for pollution and had injunctions issued against the factories and were awarding damages to the plaintiffs. The pollution of a neighbors property was considered trespassing. Thus factories were motivated to reduce the amount of pollution. They could either buy out the neighbors, continually pay damages, or reduce the pollution they created. A frequent method was to burn Anthracite coal, as it was clean burning and produced little soot and pollution for neighbors. Though expensive, burning Anthracite coal meant the factories no longer had to pay damages for pollution. Research was done and primitive scrubbers were developed for use in factory boilers that used dirtier Lignite coal.

      As the century went on, the government took the view that industrializing, to compete with England, was top priority, so in the name of "the public good", the government had the courts stop issuing injunctions for pollution. With the factories free to pollute the property of their neighbors, research into and purchase of coal scrubbers and the use of expensive Anthracite coal ceased. The result was a century of unregulated pollution. A problem created by the government itself by failing to do something it was supposed to do.

      Those at the top simply bought their own army and police and did whatever the fuck they wanted.

      They bought their own "armies" because the local police either were no

    96. Re:Yes by shiftless · · Score: 0

      Citations needed

    97. Re:Yes by leaen · · Score: 1

      > Free market monopolies" are a misnomer, as the company that has provided such a high quality, low cost product that no-one can compete with them must continue to provide such quality, or risk new competition arising. Like quality and cost of U.S. Steel and Standard Oil products in 19. century?

    98. Re:Yes by Anonymous Coward · · Score: 0

      You're on the right track here... But I disagree with how quickly you resolved that ISPs shouldn't be turned into a utility and by assuming there is indeed competition. Where I think the breakdown is lies in the distinction between the infrastructure components required to delivering internet service (cables, spectrum, fiber, etc.) and the actual service itself.

      You can see this quite clearly by simply examining how the different services position themselves in the market. The Cellular carriers (at least in the US) compete solely on their control of a scarce resource... spectrum and towers... they position themselves by marketing "coverage." This, I believe, is a bad monopoly. You'll never see "quality" service... only what's tolerable. This happens because it's cost prohibitive for new players, and in addition, the control of the resource gives them a huge amount of control to prevent new players from entering.

      Cable companies position themselves as one-stop-shops that can offer all your media/communication needs. They do this because they own the copper and are actually allowed local monopolies by the government... most people live in an area where they only really have a choice of 1 cable provider. Again, they control a scarce resource and once they have that control, can exert a lot of power in preventing newcomers.

      Local ISPs on the other hand are an entirely different animal. They provide internet service on-top of existing telco cables. In other words, they provide service on top of infrastructure without actually controlling the infrastructure. In this realm, you see plenty of competition in a way that's actually beneficial to the users... They position themselves as having better service, customer support, etc. than even the telcos they lease their lines from.

      In general, I believe things that are based on a shared resource like these examples... things I call infrastructure, are best suited to be treated like utilities. They should be run by government regulated (not necessarily government run) monopolies whose sole purpose is to distribute the use of these resources fairly... not to necessarily to profit (not beyond operating, maintenance, and upgrade costs anyway). It's the same thing with your electricity and your water... it's not beneficial to society if companies are allowed to control these shared resources in order to maximize profit.

      However, I'm only talking about managing the sharing of resources at the lowest level practical. In the case of wires, that means the physical wires. Everything else that's used on those wires (phone, DSL, etc.) should be purchasable by anyone on the free market, and they should be allowed to do whatever they want with it. In this way, we will have true competition of services that will work to the benefit of users and businesses.

    99. Re:Yes by dannys42 · · Score: 1

      (ugh.. sorry for the repost didn't realize I wasn't logged in, and slashdot won't let me delete my anonymous post)

      You're on the right track here... But I disagree with how quickly you resolved that ISPs shouldn't be turned into a utility and by assuming there is indeed competition. Where I think the breakdown is lies in the distinction between the infrastructure components required to delivering internet service (cables, spectrum, fiber, etc.) and the actual service itself.

      You can see this quite clearly by simply examining how the different services position themselves in the market. The Cellular carriers (at least in the US) compete solely on their control of a scarce resource... spectrum and towers... they position themselves by marketing "coverage." This, I believe, is a bad monopoly. You'll never see "quality" service... only what's tolerable. This happens because it's cost prohibitive for new players, and in addition, the control of the resource gives them a huge amount of control to prevent new players from entering.

      Cable companies position themselves as one-stop-shops that can offer all your media/communication needs. They do this because they own the copper and are actually allowed local monopolies by the government... most people live in an area where they only really have a choice of 1 cable provider. Again, they control a scarce resource and once they have that control, can exert a lot of power in preventing newcomers.

      Local ISPs on the other hand are an entirely different animal. They provide internet service on-top of existing telco cables. In other words, they provide service on top of infrastructure without actually controlling the infrastructure. In this realm, you see plenty of competition in a way that's actually beneficial to the users... They position themselves as having better service, customer support, etc. than even the telcos they lease their lines from.

      In general, I believe things that are based on a shared resource like these examples... things I call infrastructure, are best suited to be treated like utilities. They should be run by government regulated (not necessarily government run) monopolies whose sole purpose is to distribute the use of these resources fairly... not to necessarily to profit (not beyond operating, maintenance, and upgrade costs anyway). It's the same thing with your electricity and your water... it's not beneficial to society if companies are allowed to control these shared resources in order to maximize profit.

      However, I'm only talking about managing the sharing of resources at the lowest level practical. In the case of wires, that means the physical wires. Everything else that's used on those wires (phone, DSL, etc.) should be purchasable by anyone on the free market, and they should be allowed to do whatever they want with it. In this way, we will have true competition of services that will work to the benefit of users and businesses.

    100. Re:Yes by rickb928 · · Score: 1

      Somewhat, but you make an uncessary leap when you go from cable to 'local ISPs'.

      My old home state of Maine has a competitive ISP that leases access to telco lines and regularly spanks both the incumbents and cable providers (or at least they were in 2006). Here in the Phoenix area, it's pretty much the cable provider and ILEC that own the wired business. There are niche players in stationary wireless, and of course the 3G/4G players.

      We do have a competitive situation, though it is two players, and one leverages their all-in-one service while the other has a bit of a kludge. IF there were FTTH here, they could deliver the video and compete evenly.

      The scarce resource, however, is NOT copper, or fiber, but pole and conduit (we have a lot of buried utility here including telco) space. These were old bargains, where municipalities granted exclusivity, sometimes because the first player in 'required' it (pledges of improved service in exchange for monopoly) or in a competitive situation the municipality offered exclusivity in exchange for concessions (mostly fees). If you open up the pole or pipe space, you make it possible to have a competitive environment.

      My home in Mesa has two cable services. Some time in 2006-7 the secondary player gave up and sold out to the big guys. They built their own plant. But they lost. Now we have cable and DSL as the primary options. Tempe tried to build a municipal WiFi system, but the contractor was a failure, and the enconomics were flaky, giving it away downtown and then charging for it elsewhere, or something else similarly stupid.

      In Maine, the ILECs were required by the MPUC to lease their networks at wholesale rates, effectively decoupling their copper from their services. It worked. This would allow us to consider the copper as the utility, and mirrors electrical utilities in many states, where supply and distribution are decoupled. I'm not sure it has changed much except the cost of the supply portion, and sometimes the source ('green' v non-'green').

      My fear of limiting the utility to distribution is that we might extend the utility to routing etc. For cable systems, it is possible to offer more than one DOCSIS provider, but there are problems. In DSL, not nearly so simple, but by switching the local loop to one or another trunks, we have a way to offer more than one provider. But providers are what, routers and shapers? Connections to NAPS? Unlike TV, where channel lineup is a likely differentiator, what does my ISP offer me?

      SO how do we give ISPs differentiators in a competitive environment?

      --
      deleting the extra space after periods so i can stay relevant, yeah.
    101. Re:Yes by dannys42 · · Score: 1

      What I'm saying is that we make the copper itself the utility as you suggested. Same for every /type/ of scarce resource (spectrum usage, whatever)... copper's the most straight forward.. the others may require some thinking about... but as I said, the goal is to take the lowest-level that's practical.

      But if you did that, then the cable companies, phone companies, etc. all essentially become *SP's.... whether it's Media-Service Providers, Realtime Voice Service Providers, or Internet Service Providers.

      At that level, people can compete. But it's impossible to really compete fairly if one company owns the scarce resource.

      Yes I agree that sharing some of these hardline solutions (DOCSIS, and even DSL as you mentioned) may be difficult today... but I think that's simply because there's no market for it. The engineering effort to allow for it, while not trivial, certainly shouldn't be difficult. If the market for it existed, people will find a way to make it happen.

      As for giving ISPs differentiators... I'm not sure I understand the problem. In the ISP space right now, there plenty of the available and I have my choices.... unfortunately, DSL as a technology is lagging behind some of the others controlled by the monopolies, so I'm no longer using an independent ISP (though generally I've had much better experience working with those types in the past).

      But what you're asking is kind of like asking "how do we give differentiators to makers of facial tissue?" There's plenty of brands out there and people buy different ones for different reasons. Let those businesses figure out their model and which customers they want to go after; as long as it's a level playing field, it's fair... that's the best we can do at this level (this level being figuring out what government policy should be).

    102. Re:Yes by gpronger · · Score: 1

      You say collusion, oligopolies, and entry barriers, like they're a bad thing??? Where would our Banking System and Wall Street be????

    103. Re:Yes by Burning1 · · Score: 1

      I'll see your libritarian news-source and raise you a wikipedia article.

      http://en.wikipedia.org/wiki/John_D._Rockefeller

      Doesn't seem like a terrible guy, but is by no means the free-maket saint you make him out to be, either.

  8. The solution is.. by Anonymous Coward · · Score: 1

    National fiber optic network. Let the old telco's die with their old ways.

  9. This has been a long time coming by EmagGeek · · Score: 3, Interesting

    With so many people ditching Cable and Sat TV plans in favor of an Internet-Only household, and with the Cable Companies being the majority providers of Internet Access, of course we had to see this coming.

    Vz and Comcast aren't going to sit idly by while their subscribers ditch the media services and keep only the delivery service, and spend their money at Netflix and other media services.

    The question is, will it be considered anti-competitive for them to allow unlimited delivery of their own media over the pipe, while charging extra for media from their competitors? I certainly think that's anti-competitive, and where net neutrality needs to come into play. But, I doubt we'll see it happen, at least in the US.

    1. Re:This has been a long time coming by farble1670 · · Score: 1

      The question is, will it be considered anti-competitive for them to allow unlimited delivery of their own media over the pipe, while charging extra for media from their competitors?

      comcast is already doing part of this. anything you download from "xfinity TV" doesn't count against your monthly cap.

    2. Re:This has been a long time coming by stephanruby · · Score: 1

      ...and with the Cable Companies being the majority providers of Internet Access

      Cable companies may be the majority providers of internet access and they may even have a stranglehold on some markets where there are no other choices, but in their most lucrative areas, the most heavily populated metropolitan areas -- there are plenty of options.

      So no, it's not going to be the end of internet video as we know it. For most of us, we'll be just fine. For the rest of you, you'll have forego internet video, or perhaps just move to a better location. It's just a trade-off decision. That's all. Internet video will survive.

    3. Re:This has been a long time coming by Jonner · · Score: 1

      With so many people ditching Cable and Sat TV plans in favor of an Internet-Only household, and with the Cable Companies being the majority providers of Internet Access, of course we had to see this coming.

      Vz and Comcast aren't going to sit idly by while their subscribers ditch the media services and keep only the delivery service, and spend their money at Netflix and other media services.

      The question is, will it be considered anti-competitive for them to allow unlimited delivery of their own media over the pipe, while charging extra for media from their competitors? I certainly think that's anti-competitive, and where net neutrality needs to come into play. But, I doubt we'll see it happen, at least in the US.

      Of course it's a giant conflict of interest that cable companies provide Internet service. However, it's not obvious how this should be fixed. So far, it doesn't seem likely that truly independent ISPs will come along as a result of purely market forces. The government could force the businesses to be separate, but they don't have a terribly good record dealing with stuff like that.

  10. Not everyone by mu51c10rd · · Score: 1

    Same here, my phone service is unlimited and uncapped. My ISP is also unlimited, unthrottled, and uncapped. Not everyone goes with the same 2-3 big carriers. And I have no major complaints with my service...

    1. Re:Not everyone by Rockoon · · Score: 1

      Indeed. My Cable ISP has been upgrading my service every 1 to 2 years without asking for more money, and doesnt do any traffic shaping or port blocking of any kind. The service started at 2Mbit/64Kbit and is now 15Mbit/1Mbit.

      The ISP started as a very small cable company and had announced data caps back in 2006 or so that never got implemented, but then they got bought out by a multi-state cable company (Metrocast, not one of the top 5.) I think that because they were small that they could not get a decent peering agreement so it was either cap the data or sell out to someone that could.

      I've read on various forums that some of their service areas have very poor quality, but my area is not one of them. The service has been top-notch right from the start (I was a day-1 adopter) when it was set up by by the original small cable company, and that might have something to do with it the disparity between areas. The only beef I have ever had with them over the internet service is that they stopped supporting my old docsis 1.0 modem last year, but it was so that they could start offering even faster service. I still dont see why they couldnt have left a few channels allocated for the docsis 1.0 folks.

      --
      "His name was James Damore."
  11. Maybe in the USA, not elsewhere. by Anonymous Coward · · Score: 2, Interesting

    I'm in Australia. Internet access was once metered by the hour ($10 per hour dial-up) then prices fell to under a dollar an hour. Then I got ADSL in the very early 2000s with a whole gigabyte over a month, always-on. Then it increased to three per month. Then ten, fifteen, forty, then a jump to 200, and in 2012 I'm 'limited' to over a terabyte a month.

    A fucking terabyte.

    I can't stream that much video (even in good quality) and actually watch it in a month without quitting my job and family time and attaching myself to the couch with cheese & bacon balls and becoming an obese live-in hermit.

    Oh, and the cost for those plans is a third it was when I was on 1GB quotas.

    Yes, it came from an awful over-priced start, but the goods for cost is growing and keeps growing here.

    1. Re:Maybe in the USA, not elsewhere. by Jimbookis · · Score: 1

      I agree. USAians need to stop freaking out about lack of unlimited - it's hardly the end of the world and a real 1st World Problem. In .au we've been living with limited quotas since broadband began but like the OP said, value for money is getting better all the time. With the 1TB plans available now and video compression getting better (by that I mean h.264 encoders will do a better job with less bits over time) I just can't flapping imagine how even a household with 3 teenagers could warrant use of 1TB.

    2. Re:Maybe in the USA, not elsewhere. by jonwil · · Score: 1

      The problem in the USA is that the caps that companies like Comcast are talking about are specifically set so low as to make using the internet as a primary source of video entertainment impossible.

      The #1 goal of the cable companies is to make sure that replacing broadcast cable as a source of entertainment with content from the internet is impossible (or if not impossible, at least so expensive as to be unviable for most people)

    3. Re:Maybe in the USA, not elsewhere. by Shinobi · · Score: 1

      I'm in Sweden, and we(my family and I) use our connection heavily(multiple 1920x1080 streams etc, gaming(with all the assorted downloads etc. In fact, games and stuff install faster over the net than from DVD nowadays), and for my work. Throughout september, we transferred about 3.5TiB inbound, and 1.5TiB outbound, and it was not a very active month.

  12. A lesson to Americans by Hentes · · Score: 4, Insightful

    Free market never really works well with critical infrastructure.

    1. Re:A lesson to Americans by Issarlk · · Score: 2

      It's my understanding that there's no free market in the US for internet acces. The big players have local monopolies, and are all too happy with that situation to compete with each others.

    2. Re:A lesson to Americans by geekoid · · Score: 1

      I have a choice of providers. all of them 'big' players, and yes, they do complete. It's why I have 25/25Mb for 30 bucks, no contract.

      --
      The Kruger Dunning explains most post on /. http://en.wikipedia.org/wiki/Dunning%E2%80%93Kruger_effect
    3. Re:A lesson to Americans by __aaqvdr516 · · Score: 1

      That's nice for you. Not everyone has that. My choices are: satellite with cap, WISP (locally run) with cap, or a tethered phone with a cap.

    4. Re:A lesson to Americans by Anonymous Coward · · Score: 1

      Free market never really works well with critical infrastructure.

      Or, to be more exact, Free market never works in a presence of a fucking monopoly. It's not how critical infrastructure is, it's that it is monopolized.

      No one besides Cox (or whatever you have) has access to the cable running to my house. Even if you had the money to roll out a parallel infrastructure, you won't be able to do that.

    5. Re:A lesson to Americans by lightknight · · Score: 1

      Shhhhh. His idea of a free market is that it's run by the private sector, not by the public sector.

      "You keep using that word. I do not think it means what you think it means."

      --
      I am John Hurt.
    6. Re:A lesson to Americans by Anonymous Coward · · Score: 0

      If you're going to make grand claims about your internet service that is probably non existent you should at least put up a reputable link to what "service" you think you're getting. If you're in the middle of Kansas getting Googles test service I'll believe you when the rest of the country can have it.

    7. Re:A lesson to Americans by thegarbz · · Score: 1, Insightful

      Free market never really works well with government funded or subsidised infrastructure.

      FTFY.

      If this was really a freemarket then there wouldn't be a monopoly.

    8. Re:A lesson to Americans by brit74 · · Score: 1

      What a silly opinion. You should read up on things like barriers to entry. Or, take this quote from Adam Smith (that socialist who wrote "The Wealth of Nations"), who didn't quite trust the market, either: "People of the same trade seldom meet together, even for merriment and diversion, but the conversation ends in a conspiracy against the public, or in some contrivance to raise prices."

    9. Re:A lesson to Americans by tmosley · · Score: 1

      Men with guns show up to put you in a box for some period of time, and seize all your assets.

      You know, government enforced monopolies.

    10. Re:A lesson to Americans by evilviper · · Score: 1

      If this really was a free market, there would be no infrastructure... if it could possibly work, there would be no need at all for Eminent Domain. You inevitably run into someone who will demand ridiculous prices for use of their property, and they may be in critical areas without alternatives.

      And don't tell me about technology coming to the rescue... These same types of people will be happy to block the line-of-site of their neighbors, and maybe even take the effort to intentionally jam your satellites until you pay them to stop doing so...

      Telecommunications is the ultimate in natural monopolies. Unregulated, you'd never see more than one in any area.

      --
      Slashdot gets worse every day... Pipedot: News for nerds, without the corporate slant
    11. Re:A lesson to Americans by Rockoon · · Score: 1

      Dont you see the opportunity here?

      Get involved in the local politics and seek out a cable company that wants to build out in your area. Give them an exclusive for a no-cap guarantee. If this isnt feasible its because you live way out in the middle of nowhere and as far as I am concerned, tough shit (you have the benefits of living out in the middle of nowhere, so dont expect sympathy for the couple of downsides)

      --
      "His name was James Damore."
  13. Bandwidth is really, really, really freakin' cheap by xtal · · Score: 1

    The market will fix this, or legislation will.

    Bandwidth is cheap and it gets cheaper every year. Carriers make a lot of money on bandwidth resale even at the fairly small level (few gbits/sec feeds). Not many people are aware of HOW cheap it actually is though.

    Most of the problem can stem from the fact municipalities were too short sighted, or unable legally, to run fiber infrastructure that could be leased to ISPs (egress). A modern fiber network has effectively unlimited bandwidth.. and then there's next year's kit coming.

    A better question is what's going to happen to the content / cable providers in a gigabit unlimited environment.

    --
    ..don't panic
  14. Come to New Zealand! by Anonymous Coward · · Score: 1

    Unlimited internet is unheard of over here. I pay $90 a month for 50GB of internet, and barely get 1MB/s even after rewiring my home. If I go over my 50GB, my speed is reduced to dial up until the start of a new month.

    1. Re:Come to New Zealand! by sd4f · · Score: 1

      Same issue over the pond in Australia, unlimited plans aren't cheap, most of it has been plans with a data cap. With that said, i struggle to use any of my caps (50gb broadband, 1.5g on phone). Clearly we haven't got stuff like netflix over here.

    2. Re:Come to New Zealand! by Anonymous Coward · · Score: 2, Informative

      I pay 40 € per month for a 16 Mbit/s dl and 1 Mb/s ul uncapped internet access on adsl2+. And still find it a bit pricey.
      I'm in the heart of Europe.

    3. Re:Come to New Zealand! by Anonymous Coward · · Score: 0

      I pay 8.90 € per month for unlimited 100/10 Mbps in Finland, Helsinki capital area. I think this is an acceptable price - especially since I get the promised speed and there appear to be no caps.

  15. Profit in scarcity by DigiShaman · · Score: 1

    As some markets mature (some, not all) with few players remaining leaving an oligopoly, the agreed upon consensus is that there's bountiful profit in scarcity. So you artificially restrict a resource to improve profit. It's a win win for the providers. They sell less, and make even more profit because now you have competition for those resources and thus will pay more. More so if you're a monopoly for your area.

    --
    Life is not for the lazy.
  16. Just move to Saskatchewan by LiroXIV · · Score: 1

    SaskTel has unlimited data on all plans for high-speed. Only problem is that its still over copper/fibre to the node, and they've only just begun rolling out fibre to the home in select areas now. Until you get switched to it, you can't get any higher than a certain speed tier without dropping their IPTV service from the bundle (however, their IPTV service is pretty good; its based off the same hardware as AT&T U-verse)

    1. Re:Just move to Saskatchewan by Anonymous Coward · · Score: 0

      Just move to Saskatchewan

      Ewww I don't want to have sex with Yeti just to get good Internet. Get some PRIORITIES, man!

  17. At the risk of pointing out the obvious... by Jeremi · · Score: 2

    There was never any such thing as "an unlimited data plan".

    There were plans that were misleadingly labelled as "unlimited", but what they really were, was plans where the ISP simply let people use up bandwidth in a first-come-first-served fashion. Whenever the demand reached or surpassed the infrastructures capacity, the de-facto limits of the hardware kicked in, regardless of what the sales droids had promised in the brochure.

    For a company to offer a genuine "unlimited plan", the company would have to build up enough capacity to allow 100% of their unlimited-plan customers to use 100% of the bandwidth capacity of the wire running to their house, 24/7/365. The cost of such an infrastructure would be significantly larger than most people would be willing to pay for, especially since most people don't use or need anywhere near that much capacity.

    So my feeling is that the demise of "unlimited plans" in the marketing is a good thing -- at least we're no longer trying to fool each other into believing bandwidth is infinite (as opposed to finite but cheap).

    --


    I don't care if it's 90,000 hectares. That lake was not my doing.
    1. Re:At the risk of pointing out the obvious... by Mitreya · · Score: 1

      There were plans that were misleadingly labelled as "unlimited", but what they really were, was plans where the ISP simply let people use up bandwidth in a first-come-first-served fashion. Whenever the demand reached or surpassed the infrastructures capacity, the de-facto limits of the hardware kicked in, regardless of what the sales droids had promised in the brochure.

      We are not talking about BANDWIDTH. We are actually talking about THROUGHPUT (monthly data cap)

      The throughput was, in fact, unlimited. If you left your connection on 24-7, you could download quite a bit per month (subject to available speed). They want to get rid of the unlimited throughput now.

      The only good news is that now they wont have any reason to advertise their service as unlimited! It was deceptive before, it will be outright false now.

    2. Re:At the risk of pointing out the obvious... by thegarbz · · Score: 1

      So my feeling is that the demise of "unlimited plans" in the marketing is a good thing -- at least we're no longer trying to fool each other into believing bandwidth is infinite (as opposed to finite but cheap).

      I couldn't disagree more. I would happily have unmetered data being used as a first come first served with a few speed problems throughout the day than have a finite and arbitrary limit imposed on my plan.

      How about they just sell it the way they is rather than justify this change as a good thing. "Unlimited broadband, maybe 100mbps, maybe 1mbps, but unlimited."

      This allows people who actually want or need to use the bandwidth to use it and plan around it. i.e. schedule downloads to run at night when the bandwidth is spare.

    3. Re:At the risk of pointing out the obvious... by rohan972 · · Score: 1
      You seem to both miss and make the point being made.

      The throughput was, in fact, unlimited. If you left your connection on 24-7, you could download quite a bit per month (subject to available speed).

      Your description of throughput as unlimited is at incompatible with "quite a bit" and "subject to".

    4. Re:At the risk of pointing out the obvious... by Anonymous Coward · · Score: 0

      Since my ISP says my connection is unlimited, and it does not have any caps that I know of (over 1 TB of transfer a month is common for me) I consider it as unlimited for all practical needs. Maybe I will run some dummy transfers 24/7 just for the hell of it, but I don't need to right now.

      Yeay to Singapore and cheap fibre everywhere here!.
      PS : I use M1 as my ISP and it costs me about 30 USD to get 100 mbps up / down fibre.

  18. We still have a month by fustakrakich · · Score: 1

    Try to make this an election issue. Demand the ISPs are converted into common carriers and be made into dumb pipes.

    --
    “He’s not deformed, he’s just drunk!”
  19. Regulation and competition are the only answers by rastoboy29 · · Score: 1

    We've allowed last-mile internet to devolve into monopolies and duopolies.  Same for cell carriers.

    Would else could you expect?

    Sad...the internet is American, dammit, and we have the worst internet in the first world!

    1. Re:Regulation and competition are the only answers by AwesomeMcgee · · Score: 1

      I don't like the first world anyway, the successive revisions are going to be way better. Cyborg brain and martian mansion, here I come!

  20. Overly Dramatic Much? by p0p0 · · Score: 1

    Few people use their cellphone for serious online use. Most of them use it because it is convenient and it is there. Most might be irritated if the cellular telcos put huge caps on it, but in the end no one is really that completely put off by it. Many people will be angry about it but will continue on their merry way paying for it. There is not huge amount of people that would be seriously inconvenienced by it, and certainly not the apocalyptic way it is worded.

    Now caps on wired are not gonna be as tough as they make it out to be. The major Canadian telcos charge and arms and a leg for low bandwidth/cap internet, but the lower tier providers offer pretty much whatever they want. At the moment, I'am paying $70 (split amongst roommates) for 25 down/5 up and an unlimited cap. The price did increase earlier in the year by a few dollars as Bell tried to put the squeeze on my provider (TekSavvy)) but it is still infinitely better than any plan they offer. Now I know things are worse a little farther south for those United Statians but I have hope that the telecoms capping practise won't go on for absolutely that long. Eventually something in the country is going to reach a breaking point for the general public, and it just might be the internet that pokes the figurative bubble. I can't say much for other countries, but I've heard mixed reports of excellent/shitty internet from all over.

    Somewhat accurate, but a little overblown it seems to me.

    1. Re:Overly Dramatic Much? by PCM2 · · Score: 1

      Few people use their cellphone for serious online use. Most of them use it because it is convenient and it is there.

      You might be surprised. I've had people tell me they use their phones to stream music and podcasts while driving. They don't use the radio, they don't use the CD player, they just stream all day long.

      That's the kind of user who's going to run into a phone bandwidth cap. Unlike with wired internet connections, it's not the techie types running BitTorrent that suck up the bandwidth. Geeks actually might be more likely to think, "Streaming music this way is wasteful and inefficient, and the sound quality isn't even that good." It's the less technically-minded types who just think, "They tell me I can do this, so I will."

      --
      Breakfast served all day!
    2. Re:Overly Dramatic Much? by geekoid · · Score: 1

      Or they think, I'm listening to it on the road, so quality would mostly be drowned out anyways.

      --
      The Kruger Dunning explains most post on /. http://en.wikipedia.org/wiki/Dunning%E2%80%93Kruger_effect
  21. Okay gramps... by Chibi+Merrow · · Score: 1

    You know, my Dad told me his great-grandmother used to spit tobacco juice on bee stings, too. Who needs all that flashy modern medicine crap, anyway...

    --
    Maxim: People cannot follow directions.
    Increases in truth directly with the length of time spent explaining them
    1. Re:Okay gramps... by shiftless · · Score: 0

      Yeah, my granddad did that for me once when I got stung by a yellowjacket. Gave me a whole wad of tobacco to put on it, actually. It actually worked; killed the sting in no time.

    2. Re:Okay gramps... by Chibi+Merrow · · Score: 1

      Yeah, and text-based, dial-up friendly websites work just fine for serving up very simple, text-based content.

      Some of us want to actually organize things, look at pretty stuff, or get work done, however...

      --
      Maxim: People cannot follow directions.
      Increases in truth directly with the length of time spent explaining them
  22. Worst part is that all ISP's would need to do it by NinjaTekNeeks · · Score: 1

    There are two providers where I live, ATT and Cable, both offer TV/Phone/Internet and pricing is pretty similar. If one were to give up unlimited data, the other would have to as well, otherwise there would be a huge loss of customers as they shift over to the other provider. I understand that this is specific to markets where there are multiple providers but the choice between unlimited from one provider and limited from another really isn't much of a choice.

  23. And nothing of value would be lost. by Anonymous Coward · · Score: 0

    People might have to talk to each other, or read books, or go outside. Or they might buy DVDs again.. if they are paying $200 a month for cable, they can already buy 10 DVDs a month. If they used redbox they could rent 5 dvds per day, and still have money left over.

    1. Re:And nothing of value would be lost. by rkfig · · Score: 0

      You know, I think you intended to troll, but I was looking for anyone else whose first thought was thank god. I am so tired of listening to people whine about not being able to stream high def TV all day while torrenting several things and direct downloading a few ISO images and having all 3 kids and the wife streaming pandora without the ISP giving them a problem. No, I don't care about any pet theories about how convergence will play out and how that will dictate whatever bandwidth or any shit like that. I really miss the days before AOL, when virtually everything online was actually of value, instead of being petabytes of stupid fucking cat videos. /rant Goodbye karma. Nice knowing ya.

  24. There are a few big players working on it. by lattyware · · Score: 1

    Obviously, Google are trying to do something in the US, and here in England, Virgin Media and Sky are both doing relatively good stuff (Virgin pushing speeds, Sky offering a truly unlimited package - unfortunately neither does both).

    --
    -- Lattyware (www.lattyware.co.uk)
  25. Unlimited data is dead? by Anonymous Coward · · Score: 0

    Not for Sprint users! Dead and gone? What are you talking about?

  26. consumers are idiots by epine · · Score: 0

    There's no immediate end to the bandwidth explosion. This would all sort itself out given a bit more time and space. Yet not only do the consumers need to watch Batman XIII no less than five minutes from now, they also want to watch it Holographic HD. Stupid fucks. What else can you say? Another decade, the network will hardly even notice the imposition of people born yesterday zooming in expound upon the blade orientation that deposited a snick of razor burn astride the groomable peach-fuzz.

    Meanwhile, the networks have engineered this stampede of stupid fucks to justify tilting the economic and political landscape on a semi-permanent basis.

    Stupid fucks over the glossy cliff. Happens every time.

  27. Just get me to NOTA by Miamicanes · · Score: 1

    It's easy, really... Google just has to find a way to smack down the incumbent network providers (AT&T, Comcast, etc) so they can't stop municipalities from laying their own fiber municipal networks with an access point every mile or so, then empower citizens to take matters directly into their own hands and lay their own fiber bundles in trenches they dig with their own shovels (or hang their own fiber from a public support attached to the lowest rung of the city's utility poles) to get to those access points if their HOA drags its feet or tries to tie them into proprietary services). Few things will put the fear of God into any HOA than being told their homeowners have the inalienable right to string wires from poles and dig their own trenches if they don't hurry up and get their own acts together. Get my fiber to a 10-gig switch with direct connectivity into NAP of the Americas in downtown Miami, and AT&T and Comcast can both go straight to hell as far as I'm concerned.

    1. Re:Just get me to NOTA by Anonymous Coward · · Score: 1

      Few things will put the fear of God into any HOA than being told their homeowners have the inalienable right to string wires from poles and dig their own trenches

      The sound you hear is the sound of millions of old ninnies with nothing better to do than go around and harass people having a heart attack. Thanks!

  28. Re:Yes or reply to someone who ignored Adam Smith by WillAffleckUW · · Score: 5, Insightful

    You can't have a monopoly or a monopolistic cartel without government intervention. "Free market monopolies" are a misnomer, as the company that has provided such a high quality, low cost product that no-one can compete with them must continue to provide such quality, or risk new competition arising.

    I see you failed to read all seven books of Adam Smith on what capitalism is, and are a servant of the Mercantilists that opposed Capitalism.

    --
    -- Tigger warning: This post may contain tiggers! --
  29. GOOGLE by WindBourne · · Score: 1

    Simple as that. They are installing a network, getting it right and then will start building it out. It IS an unlimited model and it will put immense pressure on everybody else to change to that model. After all, that is the way REAL competition works.

    America's problem is that the American politicians, esp. neo-cons, have been pushing monopolies for all solutions. IOW, they love the communist model. Hell, just look at the all of the neo-cons pushing Constellation and now SLS, over what private space can do for a FRACTION of the money.

    --
    I prefer the "u" in honour as it seems to be missing these days.
    1. Re:GOOGLE by geekoid · · Score: 1

      "over what private space can do for a FRACTION of the money."
      no, private industry can not do that for a fraction of the money. Assuming you were being figuratively. If you where being literal, then bear in mind 2/1 is a fraction.

      And no private industry is biling anything that they can do. And, frankly, I don't think they ever will. while there are great technologies, and a lot of money finding secondary uses for that technology, but no money in the actual goal. And skimming the atmosphere is not the same thing.

      Why would a private company go to mars? or to a moon to see if there is life in thee water?
      Any mining attempts will loose value becasue the increase is metals would lower the prices too much to make it worthless.

      Maybe some company would spend billion to do a great space mission in hopes of capitalizing on all the spin off technology. Tat would take a 30 year outlook. Not a lot of companies will take that kind of outlook and a mulit-billion dollar investment.

      The constellation cold be used with more then just the Ares.

      --
      The Kruger Dunning explains most post on /. http://en.wikipedia.org/wiki/Dunning%E2%80%93Kruger_effect
    2. Re:GOOGLE by WindBourne · · Score: 1

      No, private industry IS doing it for a fraction of what the SLS does. SLS had almost all of the components developed and yet, it will cost 20B to launch 70 tonnes to LEO by 2022. Worse, it will cost 1-3B per launch. SpaceX will deliver 54 tonnes to LEO for 100 M by 2014.

      I would say that is quite the fraction.

      --
      I prefer the "u" in honour as it seems to be missing these days.
    3. Re:GOOGLE by R3d+M3rcury · · Score: 1

      IOW, they love the communist model.

      Uh, I'm not sure that's what you mean. In a communist model, the government owns the factories. That wouldn't be right.

      Fascism, maybe?

  30. Ummmm...no it wont. by Anonymous Coward · · Score: 1

    It will simply give Google Fiber the opportunity come in and clean house. Welcome to the new world Telcos and Cable Carriers.

  31. You must live in a really weird place. by eggstasy · · Score: 1

    Around here 100 mbit optic fiber is the default internet connection that comes with your cable and you can access their TV channels from "the cloud", so every iPad is now a portable TV.
    Thanks to the joys of "FON" (http://corp.fon.com), if you allow your wifi router to resell unused bandwidth, you can have free wifi anywhere in the country, so long as you stumble upon a FON link. And they're everywhere.
    But apart from that, we do have flat-rate everything, including 3G, to the extent that some non-TV-watching people prefer to buy 3G access for their laptop instead of a normal internet connection.

  32. Yawn by Anonymous Coward · · Score: 0

    People are willing to pay, so there will be someone willing to provide. Capitalism is quite wonderful that way.

  33. So far I've been lucky by Cito · · Score: 1

    I live in the deep south and have been lucky so far "Knock on wood"

    we have 2 options for internet here in this tiny 1 redlight town. Comcast cable (low speeds since its tiny town), or ADSL2+ through ISP who is promising an upgrade to VDSL next year.

    I would never use comcast ever, due to bandwidth caps which I go over all the time using my DUmeter app to calculate monthly useage.

    but my landline provider is who i have adsl2+ which why upgraded to 2 years ago so I have 12 megabit down / 1 megabit up, with full unlimited package for 69.99/mo which is my landline phone + 12 megabit dsl connection.

    Some months I'm usually around 250-300 gigs /month but last month I was 412g total up/down traffic for month.

    so far the ISP doesn't care, there's no cap.

    Of course shit could change anytime but I won't budge off local landline DSL since they keep promising to stay unlimited.

  34. 47-99% by Anonymous Coward · · Score: 1

    Corporations control the government! We need more government!

  35. Make a buck - fairly by XB-70 · · Score: 1

    I have a simple proposal with simpler regulations: sell internet connectivity based on MINIMUM standards, not 'up to' or 'maximum' or 'capped'. The vendor MUST guarantee a minimum speed to the modem with 99% uptime. Any failure will be easy for all parties to monitor. Let competition and the market decide the pricing and speed packages, but let the end user be guaranteed of getting what they are paying for.

    --
    *** Don't be dull.***
  36. I'm Fine With It by CanHasDIY · · Score: 1

    So, in other words, we give the content cartels just enough rope, and they'll hang themselves for us? Cool.

    Full Circle. We'll get there.

    --
    An enigma, wrapped in a riddle, shrouded in bacon and cheese
  37. Re:Worst part is that all ISP's would need to do i by Anonymous Coward · · Score: 0

    I don't think you realize what the term 'oligopoly' means. It's blind luck that you're still unlimited, as it appears they just haven't gotten around to making limits in your area.

    Y'see there wouldn't BE any huge loss of customers shifting, since that's how oligopolys work. They will collude together behind closed doors when to end unlimited bandwidth, and then when both stop it at approximately the same time, well... goodbye unlimited bandwidth, that's all there is to it.

    So milk your bandwidth while you can, because it has a huge target painted on its back. It's only a matter of time before they take it down. Probably very little time. Honestly, I'd be surprised if there's any unlimited internet in North American 2 years from now.

  38. Back to Plain Text Store and Forward? by Greyfox · · Score: 1

    You mean... like "The Good Old Days?" Swell! I'll just dust off my old UUCP manual! You know, back in the 90's, netnews accounted for several TERABYTES of data a week across MCI's pipe! This was back when a few hundred megabytes was large for a hard drive. Ah here it is... Whoo, that's a lot of dust... I had a bang path you know? True story. The first company I worked for shelled out for a uunet connection for a while. Back before the September that never ended. We built this network, the users, the techies. We built it and the corporations came in and made it a graphical web, sucking all the life force and money out of it. And now here we are again. Once they've drained it all dry, tied it all up in IP lawsuits and tossed its empty husk aside, perhaps we'll be the only ones left again. And the cycle will continue.

    --

    I'm trying to teach myself to set people on fire with my mind... Is it hot in here?

    1. Re:Back to Plain Text Store and Forward? by Z34107 · · Score: 1

      If UUCP was so great, and the graphical web so awful, why are you using the latter and not the former?

      --
      DATABASE WOW WOW
    2. Re:Back to Plain Text Store and Forward? by Anonymous Coward · · Score: 0
      Rule 1: Do not talk about how some of us are.

      Put another way, using a utility to download YouTube videos and play them back locally is no different. If I want to watch the video 5 times this month, it only needs to be "streamed" to me once, and the bandwidth savings are independent of the size of my browser's cache.

      The model whereby traffic that travels over port 119 to a node that stores a copy of a very large cache (and which distributes contents to other large nodes) is no different than the traffic that travels over port 80 to request data from an edge node of a content distribution network.

  39. power, water, natural gas, sewage by Chirs · · Score: 1

    Around here all these are public utilities run by either the city or the province. (I'm in Canada.) And actually the old-school twisted-pair phone system is run by the province as well.

    I think it would make perfect sense to run 'net access as a utility. It naturally lends itself to the utility pricing model as well--a flat amount per month just to get the connection and maintain the lines, then a reasonable fee per gigabyte.

    1. Re:power, water, natural gas, sewage by Anonymous Coward · · Score: 1

      Problem with that is power and other utilities are moving to 'smart metering' which basically just penalizes you for usage.

      The idea is that it forces people to conserve energy and resources. I have yet to see the evidence.

      All it really does is increase the bottom line by raping people financially when they MUST use power (fridge, AC, etc) during the day.

      The flip side of the argument is that if, just IF people actually DO conserve the utility... it means they get away with not having to provide better service nor upgrade service when required... instead, they are REWARDED for NOT upgrading service.

      It allows utility companies to pull ENRON like bullshit and start screaming about shortages that are only being created by themselves.

  40. Low bandwitdh cap by Anonymous Coward · · Score: 0

    I already have a low cap, for a high price and "high speed"... So this isn't anything new to me.
    120GB cap, $67 per month just for the internet and 30Mbps Down / 2Mbps Up speed. There's just no competition here, it's between the big two and their reseller... (Bell and Videotron)

  41. Where are these caps? by ajs · · Score: 1

    I just downloaded a 10.8GB beta version of the Rift expansion and then spent the evening watching Netflix. Where are these caps people talk about?

    1. Re:Where are these caps? by ExecutorElassus · · Score: 1

      fo reals, though. Where I live (Germany) *nobody* is selling capped internet. Providers are in bidding wars to offer faster and cheaper internet than the other guy. I get a real rate of about 4.5MB down/150k up, with no monthly limits beyond that, for €20 a month. My cell phone plan is the cheapest I could get, and it doesn't cap, either (but throttles after 50MB a month), and it costs €10 a month.

      This article needs to be re-summarized to "broadband service in the US is slowly but steadily regressing."

    2. Re:Where are these caps? by Nyder · · Score: 1

      I just downloaded a 10.8GB beta version of the Rift expansion and then spent the evening watching Netflix. Where are these caps people talk about?

      That is what I used to think, till they started enforcing the caps. Which only happened 2 weeks ago...

      --
      Be seeing you...
    3. Re:Where are these caps? by Anonymous Coward · · Score: 0

      Even that isn't completely true. Connectivity for people who don't pay attention and probably won't hit the caps, maybe. But I've got truly unlimited mobile data (Sprint) and use around 10G a month across 4 phones. And T-Mobile apparently just started offering uncapped data plans again.

      For broadband, if you go with some bargain-rate plan you get caps, but I get Comcast Business to my home, and have guaranteed speeds of 20/12 which regularly exceed the guarantee by double as well as access to first-rate customer service 24/7. I pay a little more for it, but I can push a terabyte of data through the connection every month easily, and I've had a tech come out to replace a broken router on 2 hours notice on a Sunday afternoon.

      In the end, you get what you pay for. The squeeze is on plans that advertised "unlimited" those who didn't understand or need it, but like the sound of it because who likes limits? That bubble popped, but ACTUAL unlimited services appear to be alive and well, even in the US.

  42. ROFL by Anonymous Coward · · Score: 1

    unlimited wireless broadband: (1mbit) 15euro/month
    unlimited wireless broadband: (10mbit) 20euro/month

    the joys of socialist austria

  43. no problems with pay per use if price is right by Chirs · · Score: 1

    It costs big ISPs something like 3 cents per gigabyte.

    The logical pricing model for an ISP is to treat it as a utility and charge a reasonable flat monthly cost for customer service and keeping the lines maintained (maybe $20 or $30) then a reasonable price (10-30 cents per gig?) for data throughput.

    That way the bills reflect the true cost of the service, and there is minimal cross-subsidization.

    The problem I have is with ISPs that want to charge $2/GB for a wired connection.

    1. Re:no problems with pay per use if price is right by Firehed · · Score: 1

      So charge me $0.10/GB (plus even a small connection fee, as you do with some utilities) and call it a day. It's important to be able to get a sense of my usage throughout the month, but that price seems more than fair. I'd need to burn through nearly a terabyte of data to pay what I do now... and even I'd have difficulty doing that - and that's living with several other people that use just as much if not more bandwidth than I do, and I'm not a light user. Our house does 300-400GB/month based on some old router logs.

      Even charge more for higher bandwidth as they do now, or for higher bandwidth priority. Or penalize with above-average usage, as also happens with many utilities. But a random data cap is just stupid. It penalizes the people who want your service the most and does nothing to help the 95% of your users that just care about things working. Just squeeze down bandwidth a bit during heavy use times.

      --
      How are sites slashdotted when nobody reads TFAs?
  44. interstate highway system by bigmo · · Score: 1

    The interstate highway system in the US was built by the government to increase bandwidth on the highways. It made it much easier to get lots of cars and trucks across the country cheaply, and did in fact create a lot of jobs both for the highway workers as well as auto workers. Making the automobile an unalienable right seemed like a good idea in the 50's with 30 cent gas; now, maybe not so much.

    The last 30 years or so have made it seem that we might have been better off going more slowly and letting the market decide if highways were better than rail or possibly other transport systems that never got to see the light of day due to unrealistically inexpensive highway travel. It's seems equally obvious at this point in time that more internet bandwidth is also an unalienable right. On the other hand, it's hard to say what unintended consequences might come from mandating perhaps unrealistically inexpensive bandwidth for communications.

    I can't think of any reason why cheap unlimited internet bandwidth might be counterproductive. On the other hand cheap unlimited travel seemed like a good idea 60 years ago before pollution and energy became the problems they are now. I think we should pay for the bits we use now at a realistic market rate that isn't skewed by mixing the price of content along with the price of bandwidth to make it seem cheaper.

    1. Re:interstate highway system by Anonymous Coward · · Score: 0

      to increase bandwidth on the highways

      Bandwidth... on highways...?

      You do realise that bandwidth refers to the chunk of frequencies used by a communications medium? e.g. ADSL Annex A has about 900 KHz bandwidth downstream and 110 KHz up.

    2. Re:interstate highway system by Rockoon · · Score: 1

      The real issue is that if the government comes in and builds up the network, thats exactly the network it will be 25 years later. If they decide on 20Mbit today, then 20Mbit will soon be the maximum available with no hope of more. Companies that offer more now will soon see that the only customers they have left are the ones that use more, and that their ISP business is suddenly wholly unprofitable.

      Talk about monopolies..

      --
      "His name was James Damore."
    3. Re:interstate highway system by Shinobi · · Score: 1

      Wow.... Just wow...

      Empirical proof: Here in Sweden, many FTTP/FTTH rollouts have been done by municipalities, with national government aid. Some administration/government-owned corps also run and rent out backbone capacity, for example the railroad network administration and maintenance corp, having run fiber along large parts of the railroad network. Quite a few telecoms also got favourable loans to build out their networks, yet we do not get the stagnation you are claiming should have happened. In fact, my privately owned telco rolled out Gb/s offerings here in this not-so-high-average-income suburb of Stockholm.

      The problem is not with government itself, the problem is the intersection between some people working for the government and the corporations.

    4. Re:interstate highway system by Rockoon · · Score: 1

      Quite a few telecoms also got favourable loans to build out their networks, yet we do not get the stagnation you are claiming should have happened. In fact, my privately owned telco rolled out Gb/s offerings here in this not-so-high-average-income suburb of Stockholm.

      Privately owned is not government run, dumbass. Has the government run provider rolled out Gb/s? No? yeah... thats right... not even close.

      --
      "His name was James Damore."
    5. Re:interstate highway system by Shinobi · · Score: 1

      Your original premise also contained the premise that if government was involved, it would prevent high-performance rollouts etc. Also, the government rollouts do have high performance too, via the municipal networks which the private telcos provide service on top of.

      So you are wrong, as usual

  45. old news for us isolated Canadians! by Anonymous Coward · · Score: 0

    I pay $119.95/month for 110GB with an overage of $10/GB!! Can you guess which monopoly runs this city??

  46. difference of scale by Chirs · · Score: 1

    Back in the dialup days an ISP could just get a few ISDN lines and a bunch of phone lines and modems and scale out. Since it used the phone system for the link between the subscriber and the ISP there were no "last mile" issues, that was already covered by the phone system.

    Nowadays the speeds are much higher so you pretty much need a dedicated connection to each house--which basically means either the phone company or the cable company taking care of the physical wire.

    Theoretically you *could* let them take care of the last mile and then branch off to a bunch of ISPs for upstream connectivity, but that adds complexity.

  47. Only In The US Is DSL Considered Broadband by Anonymous Coward · · Score: 0

    The real problem is that the US network infrastructure is so unbelievably behind the times. If the US government would just ignore the telecomm lobbyists for five goddamned minutes and spend some taxpayer money on fiber, we'd all have a hundred times the bandwidth, streaming video would be no problem, and the telecomms could go right back to charging obscene fees for doing very little.

  48. Google by Anonymous Coward · · Score: 1

    This should pave the way for Google to provide the last mile of service and monitor EVERYTHING instead of just email, etc.

  49. not really that much data by Chirs · · Score: 1

    If you streamed 128kbps data 24/7 for a month, you're looking at roughly 41GB, which really isn't all that much. 720p H.264 video runs about a gigabyte an hour, so it adds up a lot quicker.

  50. Can't happen soon enough by Anonymous Coward · · Score: 0

    Good riddance. Maybe then we'll see some devs that care about efficiency again, and stop seeing pages shipping 10 megs of unminified javascript.

    In the meantime though, the moment this happens -- adblock is going on /every/ computer in the house, and if I see anything that detects it, I will write a bypass that fakes it.

    Next up: I'll be blocking commercials on all appliances and videos.

    And when the ad market implodes because of metered bandwidth, another problem caused by corporate greed will die a messy, nasty death.

    Cable companies -- your ad revenue is next. And to the phone companies... well... you never profited from it anyway.

    And believe me, just wait for those of you that are injecting ads into pages. You think you had issues with copyright infringement before? Just wait until I press charges for fraud and theft when you artificially inflate my usage...

  51. Depends on the cap... by Endophage · · Score: 1

    Whether I'm actually watching or just have it on as background noise, I consume about 40 hours per week minimum of media, mostly via Hulu and Netflix over my home broadband connection. That comes in at about twice the US national average for TV watching. On top of that, I'm an active online gamer and I work as a software developer (sometimes from home) for a cloud storage company (testing involves a lot of data flying back and forth). I go through about 100GB of bandwidth per month (so far I've maxed out at 120GB). As long as Comcast keeps its cap at the 250GB level I really don't see the average user going anywhere near that...

    That being said, I would like to see mobile caps increasing (without an increase in price obviously). At the moment, I just use my phone for email, navigation and some news. If I had a more reasonable cap, I could see myself getting a 4G tablet and using it for Netflix and Skype with family abroad.

  52. not if you don't live in a monopoly by slashmydots · · Score: 2

    Nobody would have the balls to do that in my 100,000 person city because we have 4 ISPs that I know about, more likely 10. As far as physical lines, there's 1 coax and 1 telephone line owner so that's at least 2 truly separate ISPs. As soon as AT&T institutes a cap, everyone switches to Time Warner and vice versa. But if it was just AT&T, they're capping you.

  53. Pennies a Gig by Kagato · · Score: 1

    The real kick in the pants is the costs for backbone internet are pennies a gig. It's the last mile that's really screwing the consumer. You'll notice Comcast doesn't sell "Internet" they sell Xfinity. I think the market can work, but I think it needs a little truth in advertising. If Comcast had to have a black box that said "Limited Internet Service - We reserve the right to limit/slow down any service for any reason" I think the consumer choice would be more clear.

  54. Only in the U.S.? by runeghost · · Score: 1

    Is there any other First World country that's having this problem, or is this crackdown on unlimited data only going to happen in the United States?

  55. No, this won't happen by gelfling · · Score: 1

    People aren't going to suddenly pay hundreds of dollars for this. Metered systems will go broke. Nice try though

  56. We need to make them obsolete by kawabago · · Score: 1

    We need a new technology that removes the need for telecoms and cable providers entirely. They should be this generations buggy whip manufacturers.

  57. Cable companies suck by Vince6791 · · Score: 1

    dsl and cable internet all suck. I went from $90(3mbit down, 768 up) a month which sucked in the afternoon got 500kbits and barely anything up. Than I got TWC 20Mbit, 768kbit up for $50 but drops to 1Mbit download in the afternoon around 1-3pm, I get home from work and i get shitty 1mbit even lower, how nice. Now I got fios 75Mbit with 35Mbit up and it never drops, no caps, but no tv, for $90. People need to start boycotting these companies ripping people off and just go with fios if it's in your neighborhood.

  58. What a load of crap! by pbjones · · Score: 1

    lots of places have capped plans, without crashing the on-line video industry. What a load of crap!

    --
    There was an unknown error in the submission.
  59. The coming internet video crash... by CrackedButter · · Score: 1

    .. in America.

  60. What? by gr8_phk · · Score: 1

    Tell us all how a "free market" can remain "unmanipulated". The large company has the resources to do all those neat monopolistic things, as well as have their buddies run for office, or bribe the officials, or in some way manipulate the government that is supposed to referee the market as you say. In order to get to what you claim a free market should be we'd need to enstill values of fairness in every person (impossible) without getting that confused with entitlement (we all deserve the same regardless of what we do) which is also impossible. We need to stick to systems that acknowledge the realities of human behaviour, not try to live in some fantasy world. Granted, a real system needs to *try* to limit peoples bad behaviour (eliminate it is impossible), but you can't just bury your head in the sand. You say "It's pretty simple, really" but don't offer any system that can actually work other than your fantasy - which you also call a pipe-dream. So which is it?

  61. it's not a complex issue at all by Anonymous Coward · · Score: 0

    it just shows what happens when you remove regulation from monopolies but don't (really) require competition

  62. That's why. by Jafafa+Hots · · Score: 1

    "It's a dangerous trend that will threaten the budding Internet-based video business â" whether from Netflix, Hulu, iTunes, Windows Store, or Google Play..."

    That's exactly WHY they are doing this. Not because they can't handle the traffic, but because they have their own competing plans.

    They're blocking the competition from their pipes. They don't want to be a utility, a dumb pipe, they want to be a content delivery system - THEIR content.

    These companies mostly use public rights of way (in the case of cable, fiber) and broadcast spectrum and municipal tower site regulations (cell), and they are licensed with a requirement to comply with the best needs of the community in order to get that use and its built-in virtual monopoly.

    Municipalities can and do need to demand network neutrality from these companies or revoke their charter to operate in that municipality.

    --
    This space available.
  63. the solution is called TLMC - The Last Mile Cache by fredan · · Score: 1

    I'm currently working on a presentation and better specification on this subject. Currently the website tlmc.fredan.se does not contain anything useful at this moment.

    To give you something in the meantime so can TLMC cache the content (read: only static content!) from a content provider and also give the customers of that ISP the possibility to cache the content at their homes as well (if their ISP is participating in TLMC).

    TLMC is transparent, which means that neither part don't have to do anything if they don't want to.

    If the content provider don't want to participate but your ISP does, well nothing can't get cached at the ISP, so no joy there either.

    If your ISP don't want to participate in this as well, sorry, you as a enduser has to load the content thru your ISP to the origin where the content servers.

    The Last Mile Cache is build upon that the Content provider do what it is best on (sending large amount of static data) and the ISP do what it is best on, handling cache server located so close to end user as possible.

    If both the content provider and the ISP do participate in this, you will be able to watch movies with better quality than what they can give you on a blu-ray disc today.

  64. Death of the 'net? Guess I'll be watching at 11. by tconnors · · Score: 1

    It's a dangerous trend that will threaten the budding Internet-based video business â" whether from Netflix, Hulu, iTunes, Windows Store, or Google Play â" then jeopardize Internet services of all sorts. It's a complex issue, and though the villains are obvious â" the telecom carriers and cable providers â" the solutions are not. The result will be a metered Internet that discourages use of the services so valuable for work and play.'"

    Where do people come up with this crap? Welcome to the rest of the world! Data isn't free to transmit. There are limited quantities of it. Being a scarce resource, it either has to be metred out, or you have to put up with large amounts of contention to an uncontrolled resource where there's no incentive to upgrade the capacity.

    The rest of the world still uses data despite capacity caps that have been exponentially increasing over the years. The internet hasn't yet died in Australia where we've had capacity caps for as long as I've been on the interwebs last millenium. I rent broadband from a provider not associated with the national monopolist, at about 2/3 of the national monopolist price, and get a 150GB quota for it on their base level plan. Despite browsing all the pr0n I want, I don't come *near* that plan limit.

    HTFU and deal with it, and start paying for what you actually use. Welcome to your free market.

  65. Electricity? by brit74 · · Score: 1

    "The result will be a metered Internet that discourages use of the services so valuable for work and play."

    You'd think that should've already happened - afterall, whenever you use your computer, you're using metered electricity. Why haven't people already stopped using their computers?

  66. The *US* Internet Video Crash by Anonymous Coward · · Score: 0

    Things work great here in the non-free market. Because companies are non-free in being able to rip you off when they have a larger stick.

    100 Mbit/s real flatrates are seen as normal.

    The USA can *easily* surpass that... If the people finally realize that they are a force to be reckoned with too... If they don't let the companies treat them like livestock.
    Who knows... maybe you can even form some kind of organization to enforce rules for not being ripped off... You could call it something like “government”! :P

  67. Oh My God! by badford · · Score: 1

    How will future toddlers watch Dora?

    --
    -badford
  68. Beginning? by Anonymous Coward · · Score: 0

    I've had a bandwidth cap since the middle of last decade. And it wasn't from a national ISP. One spanning two states, which meant it wasn't some podunk backwater operation, either.

    "Rich" internet has been dead for some time. It wouldn't be bad if, like a public utility, usage was effectively unlimited with tiered rates. I don't mind if I pay more for bandwidth usage over 250 or whatever GB.

    The problem is, every ISP cap I've seen has been a flat rate, "You hit this limit, we disconnect you and then have a nice talk," line of shit.

    Meanwhile, prices increase while networks are not improved. So it isn't about the money - or rather, of course it is, but it has nothing to do with not having the money to be able to support ever-increasing Internet usage.

  69. My internet got shut off for downloading too much by Nyder · · Score: 1

    A couple weeks ago I woke up and found the Internet signal on my DSL modem was red, so i called up and was told I have downloaded more then the 250 gb I am allowed a month, so they turned off my internet, and I needed to upgrade my service. Well, I got hung up on after I told the worker what I thought about that. So I called back, and the person I talked to hadn't even heard of that, and was surprised it happened, and got my internet turned back on.

    But it comes down to I have a 250gb limit each month on my DSL internet.

    I was downloading about 1000gb a month. This is going to be hard, because IMO, 250 gb isn't very much. I am disabled, I don't work, I am on the internet all day. It's basicly my lifeline to the world. And it's seriously limited because of greedy corporations.

    --
    Be seeing you...
  70. I used a computer well before the internet. by Anonymous Coward · · Score: 0

    And I can do without it now.

    Make no mistake the price for the lower end 3down 1 up is outrageous from COX and I have been thinking of cuttin the cord on the TV too.
    I dont want to eat dog or cat food when I get old and the way it is going I will be lucky to afford that. They already increased the age I can collect social security one promise broken by our government now the want to cut the amount to as I am 50 and getting close this is when they screw me.

    I cant believe people will vote to allow that I no longer have any faith in my fellow man. It is everyone for himself and my behavior from now on has to reflect that.
    Or I will have no one to blame but myself for not being realistic about just how bad things have become.

  71. Re:Death of the 'net? Guess I'll be watching at 11 by Nyder · · Score: 1

    ... Despite browsing all the pr0n I want, I don't come *near* that plan limit.

    HTFU and deal with it, and start paying for what you actually use. Welcome to your free market.

    So you are saying because it doesn't affect you it's not a problem?

    --
    Be seeing you...
  72. For work and play? by Anonymous Coward · · Score: 0

    Which services are valued for work? Capping internet usage will boost productivity, and simply reroute cash from the entertainment industry to something less trivial.

    Entertainment is too accessible and such low quality that it's driving human evolution in the wrong direction.

  73. Forbidding vertical integration solves the problem by Anonymous Coward · · Score: 0

    The problem with telcos is that they provide the wires and the services on the wires and in some cases the services that use the services that use the wires.

    If telcos were only allowed to provide wire access and ISPs were only allowed to provide data access then this would solve a lot of competition problems.

    For DSL, this is almost how it works except that AT&T would not be allowed to offer DSL service to consumers.

    For cable companies, this would mean Comcast would either only provide the cable connection (no TV or Internet content) or just the content with someone else providing the physical cable.

  74. Check out sonic.net - no data caps by Animats · · Score: 1

    Sonic.net, one of the few remaining independent ISPs, annoys the rest of the industry by insisting that data caps are unnecessary. They offer service only in parts of northern California, but I've had them in Silicon Valley for a decade. In a few areas, they offer gigabit fiber to the home for $70 per month. And they throw in phone service. Their main offering is 20mb/s for $40/month, which they offer anywhere they can lease a copper pair from the telco. Outside of that range, they offer $6mb/s.

    None of these have service caps. There is no caching. There is no censorship. The EFF approves of their privacy policy. They just deliver the bits.

    The reason for this is simple - they don't sell cable TV. So they have no incentive to force people to sign up for "programming". (They do resell DirecTV as a sideline, but that comes in via a satellite dish, not over the Internet.)

    Sonic's CEO says that, while per-user data consumption is going up, wholesale network connectivity rates are going down faster. So they're not worried about user data consumption.

  75. Stop doing business with them by macemoneta · · Score: 1

    "People are still getting used to the notion that unlimited data plans are dead and gone for their smartphones. The option wasn't even offered for tablets. Now, we're beginning to see the eradication of the unlimited data plan in our broadband lines, such as cable and DSL connections."

    My cable company (Optonline) offers unlimited, uncapped, unthrottled bandwidth. That doesn't mean that there aren't periods of contention, but it's not the ISP slowing down the service. We also switched to Republic Wireless, which offers unlimited, uncapped, unthrottled voice, text, and data (yes, even cellular data) for $19/month. They are still in beta, but we've been happy with the service. If your service providers aren't offering these services, switch. If you can't switch in your area, complain to your township, county, and state to bring in competitive services.

    The thing is, real unlimited shifts the burden to you, and that's a responsibility that many people can't handle. It's like being on the LAN at the office; if someone is monopolizing the bandwidth, you know it. You (or the admins) will have a chat with them about playing nice. As long as everyone plays nice, you can get the bandwidth you need, when you need it. Throttling comes in when people refuse to play nice, and have to be forced.

    Even back in the old landline telephone days when local calls were free, some people would leave the phone off the hook for days / weeks / months. Maximum call lengths had to be instituted as a result. Most people never hit the limit, and never even knew they existed. When people can't play nice, we can't have nice things.

    --

    Can You Say Linux? I Knew That You Could.

  76. Re:Yes or reply to someone who ignored Adam Smith by OeLeWaPpErKe · · Score: 0

    It's awesome that the US even has unlimited data plans to lose. Aside from Sweden, I know of no place in Europe that has them.

  77. Duh by Anonymous Coward · · Score: 0

    Show me any other business that wouldn't jump at the opportunity of charging competitor's customers just for shopping at the competitor. The ISPs have simply found a way to do so.

  78. Re:Yes or reply to someone who ignored Adam Smith by DF5JT · · Score: 4, Informative

    Austria has unlimited data plans.

    I have a SIM card from drei.at that you can use without a contract and recharge on a monthly basis. It comes at 15 EUR a month and gives you high speed HSDPA+ without a cap. Also, my regular internet comes wireless these days: I have an LTE contract at 49 EUR a month that gives me unlimited 100MBit down and 10MBit up. I live in central Vienna and I actually get the advertised speeds.

    There you go Sweden, plus we have better weather and better food (and we don't extradite ;-))

  79. Re:Yes or reply to someone who ignored Adam Smith by vectorious · · Score: 2

    UK has them - Three has mobile and several suppliers, notably Sky has unlimited landline

  80. I use wireless broadband by Anonymous Coward · · Score: 0

    I got a quota of 20GB per month. I won't use music-services like Spotify. I don't even think about using VOD for rental movies. I don't buy music or e-books that I need to download. I don't buy any games on-line. I get RSS feeds so I don't have to view all the news-articles at sites. And, I disable Flash because I don't need it. So, there is a lot of companies missing much revenue because I got a limited broadband.

    And, more people are getting this kind of broadband. I'm not alone. Not even close. On mobile platforms people must buy apps to do basic stuff. But, because of all the limitations they won't get much ad-revenue. If this trend continues, I think the net will see lost revenue. Even some of the big companies will bleed financially.

  81. Re:Yes or reply to someone who ignored Adam Smith by Anonymous Coward · · Score: 0

    Ohh please.
    I am from Germany and as far as I know every major provider has unlimited data plans. I currently pay 15Euro / month for unlimited data with high speed 500MB. If I'd pay more I'd get fully unlimited but I don't need that much.

    I think the problem is that people are too selfish to use a shared medium. They have an "unlimited plan" so they want to run a torrent client on their cell phone.
    The result is what we see now and that's why we can't have nice things.

  82. Splitting the providers (elec. example) by fritsd · · Score: 1

    Exactly.

    This is how it was done in the Netherlands with respect to electricity providers (ISPs are also utility companies, methinks): split them into a nationalized government-owned high-voltage-grid company (TenneT) and competing customer-facing utility companies. Of course they hated this, and the lawsuits haven't finished yet (now at ECJ level), but it seems to have payed off hugely in favour of the inhabitants of the country. (ZOMG SOCIALISM!11one!).

    Legal article (in Dutch): http://nl.wikipedia.org/wiki/Wet_onafhankelijk_netbeheer.

    It is important to remember that the government makes the laws and the corporations obey it (begrudgingly), otherwise this can't work. So no idea if it would be applicable in the USA where corporations are people.

    --
    To be, or not to be: isn't that quite logical, Slashdot Beta?
  83. Re: by Anonymous Coward · · Score: 0

    Sky offer an unlimited service. My neighbour says its very fast and he has a £96 surcharge to prove it. There's a strong incentive to provide a fast "unlimited" service when you're charging unsophisticated clients per gigabyte.

  84. The End of unlimited dsl plans ? by Anonymous Coward · · Score: 0

    The End of unlimited dsl plans ?

    Not here, but maybe in the third world.

  85. Alarmist by ForgedArtificer · · Score: 1

    Most people in my own country of Canada haven't had unlimited data for years and everyone I know still has a NetFlix account.

    Not that I LIKE not having unlimited data but it actually has not limited my internet use to any significant extent.

    --
    The right to offend is central to the right to free speech.
  86. Re:Yes or reply to someone who ignored Adam Smith by 21mhz · · Score: 3, Informative

    Finland — I didn't even see "limited" data plans last month when I shopped for a plan, it was all about how much bandwidth you can use.

    --
    My exception safety is -fno-exceptions.
  87. Re:Worst part is that all ISP's would need to do i by Anonymous Coward · · Score: 0

    Here in the Netherlands we had unlimited data, then one of the providers boasted that they have the equipment to classify all usage by deep packet inspection.
    They kind of suggested that the plan was to introduce special pricing for some kinds of usage, e.g. using VoIP over internet instead of using the phone service offered by the provider.
    Some privacy fanatics made a big fuss out of that looking into customer's data, and parlementary questions were asked if providers are allowed to do that.
    As a result, a law was passed that prevents providers from doing that. It was widely hailed as one of the first "net neutrality" laws in operation.

    The providers subtly retaliated. Unlimited data plans were gone. Now we all pay by the megabyte. No matter what data is being sent.

  88. Goverment = barrier to entry by Anonymous Coward · · Score: 0

    He is partially right: some of the biggest barriers to entry are put into place by government. It's called "rent seeking". Why does a city limit the number of taxis with medallion systems? Usually, because the established taxi companies want to avoid competition (and already own all of the medallions). Why does a hair stylist need a license to cut hair? There is no sensible reason, except that the established stylists (especially the chains) can afford the cost more easily than a new startup.

    Sometimes government regulation is useful. Yes, there are natural monopolies, and it is the government's job to keep them under control However, in far too many cases, government regulations are bought and paid for, specifically to raise barriers to entry by startups.

    1. Re:Goverment = barrier to entry by C0R1D4N · · Score: 1

      We can fix without eliminationg the regulation. For example, make certification processes free for all and pay the cost with a separate tax on the industry as a whole.

  89. Missing Option - Celebrate by Anonymous Coward · · Score: 0

    From another point of view, this could be described as encouraging people to get off the computer and DO SOMETHING! Go to a coffee shop, gym, park, movie, dance with real members of your preferred sex. It's a wonderful world out there to explore.

    Mike

  90. Reverse the charges by nurbles · · Score: 1

    To me, the biggest problem with metered network service is that it is billed by how much data the customer receives instead of how much be transmits. This is backwards because it allows a spammer or obnoxious advertiser to transmit a huge video advertisement to the customer AND make that customer PAY for the privilege of suffering through the advertisement!

    If, instead, the transmitter was billed for what he ships, then it is up to him to decide if it is worth it for him to pay to send a several megabyte video ad to thousands or millions of people and/or come to some reciprocal agreement with customers to pay for the data sent. Sites like You-Tube, would, of course, need to become pay-per-view sites, but that's what they will be anyway on a metered internet if we're paying for all of the bytes we receive. Sure, the billing system may be complex, but c'mon... look at what we can already do! Don't tell me it cannot be done. And I'd be surprised if some creative genius (quite possibly one of /.'s readers <smile>) will find a way to do it relatively easily.

  91. Let us get real here by Anonymous Coward · · Score: 0

    Yes let us regulate it as an utility.... But you will STILL pay per usage. No utilities I know of are pay flat for finite resource (and make no mistake, bandwidth use electricity and is finite). Electricity ? gas ? Water ? Landlines ? All those are not flat , but pay per usage. Mobile phone sometimes make you part of a flat fee, but usually they arrange it so that the flat fee is more expansive than paying for comms , exept a few rare case of people phoning a lot. Heck even initially you had to connect and pay per usage (the good old modem days). The intermediate period of growth and flat rate weas an anomaly. Now what we need is competition to make sure the pay per usage does not shaft user, but pay per usage *IS* the normal wy to handle utilities stuff in limited availibility.

  92. Re:Yes or reply to someone who ignored Adam Smith by war4peace · · Score: 3, Interesting

    Romania.
    It does have and will probably always have unlimited data plans. For mobile devices there are speed caps once you go over a certain threshold, but that's it. The difference between subscriptions is basically the threshold size (6 GB, 20 GB, 100 GB, etc).
    For regular broadband (CAT5, fiber optics and so on) there's no threshold and probably there won't be any, because ISPs here are in direct competition. There's no location I know of in Bucharest where you can't choose between at least 3 different ISPs. There are offers for new subscriptions, e.g. 6 months for 50% price or 3 free months, etc.
    RDS (my ISP) offered me a free as in beer 3G dongle which allows unlimited traffic with no monthly threshold. I have downloaded a few ISOs through 3G when their regular line was down a few weeks ago at about 4 Mb/s sustained throughput.

    --
    ...gis sdrawkcab (usually not responding to ACs; don't bother posting as AC)
  93. Let content creators bid on bandwidth by Grayhand · · Score: 1

    Content providers have a vested interest in unlimited service. Let them team up and bid on bandwidth as a group. Right now there's no competition because there's a form of quiet capping where rather than increasing service to steal away customers from those with caps all the others bring in caps to cut costs and increase profits. It's the opposite of what capitalism should be. The idea that it's prohibitively expensive is a lie because other countries do it. The difference is greed. If capping results in 5% more profits then who cares about the customers they cap and take the attitude of 'what are you going to do about it"!

  94. Charge for usage by Anonymous Coward · · Score: 0

    Same old crap. Bandwidth hogs need to pay for what they use. If your local "monopoly" ISP was going to start charging exorbitant rates any time now, they would have done so years ago. But they haven't. People count on ham-fisted regulation from dinosaurs like the FCC hoping that they can get all the internet they could possibly want -and more- for $20 a month. Won't happen. Grow up.

  95. Re:Yes or reply to someone who ignored Adam Smith by Niedi · · Score: 1

    Germany has them as well for landline, it's actually the standard option
    for mobile, most german providers will slow you down to GPRS speed after a certain amount of data consumed per month (anywhere between 100MB and 30GB depending on the contract)

  96. Data packages will shrink ... by RockDoctor · · Score: 1
    ... until competition appears, such as posting out DVDs to your home address with a pre-paid return envelope. With (say) 3 DVDs (or Blue-rays, not that I've felt any inclination to attend to that technology) at home at any one time, and about a 2 day turn around time, that's in the order of a MB/minute equivalent data rate. I'd been using the internet for 8 to 10 years before I could routinely achieve rates like that.

    As competition from that (or other) sources increases, data companies will start to lose customers until they lower their charges. Isn't that how competition is meant to work?

    --
    Birds are not dinosaur descendants;birds are dinosaurs, for all useful meanings of "birds", "are" and "dinosaurs"
    1. Re:Data packages will shrink ... by SuricouRaven · · Score: 1

      But without the ability to attract impulse watches, such a business would be at a disadvantage.

      There is a place to look for solutions. A group of users that have need to move video around the internet, and are famed for their rapid rate of technological improvement and adaptability. Pirates. In a world where caps are common... give them a couple of years to tinker with compression technology, and they'll be cramming blu-ray movies into two gigabytes with no perceptible loss of quality. Standard size for a 720p movie is already 4.4GB, and there's room for improvement yet.

    2. Re:Data packages will shrink ... by RockDoctor · · Score: 1

      But without the ability to attract impulse watches, such a business would be at a disadvantage.

      With lower prices, such a business would be at an advantage.

      "an advantage" or "a disadvantage" does not equate to either "immediate total dominance" or "catastrophic failure before the day is out". If your business model is predicated on "impulse buys", then you have just got yourself into a business where you are going to be destroyed by a new competitor one evening while having your after-dinner nap.

      Concerning your suppositions for compression techniques ... I'll let you invest your money in that. I gave up counting compression technologies that have come and gone back in the mid-90s (when I had to assess a couple of dozen for work ; we ended up rolling our own proprietary one partly for technical reasons, partly for commercial ones). There will always be a new one next week, and I really don't care enough to waste my time studying imaging neurology and psychology in order to understand the problem for photographic images. If it is, indeed, a problem. Perhaps a more important problem is a "me me now now immediately bwahhhhhawahh!" attitude in many of the younger generations.

      --
      Birds are not dinosaur descendants;birds are dinosaurs, for all useful meanings of "birds", "are" and "dinosaurs"
    3. Re:Data packages will shrink ... by SuricouRaven · · Score: 1

      There has been a rapid succession of compression technologies, and for good reason: Because each one was better than the one before, providing smaller files or some other benefit. Often by utilising more capable hardware. The big data-user now is video, for which h264 is the state-of-the-art codec. But just as h264 replaced divx replaced mpeg2 replaced mpeg1... something is going to one day replace h264. Probably with a handy reencoder at the recieving end, for compatibility with all the h264-accelerated hardware people have now.

      In the case of photos, JPEG remains top. Not because it's better, but because it's good enough that there is no justification for switching. Benefits would be small. Not true for video. Same thing with audio: MP3 absolutly sucks compared to just about anything more recent, but it's supported in so much hardware and provides good enough performance for most people. But bring in caps, and that may change.

  97. Re:Yes or reply to someone who ignored Adam Smith by El+Rey · · Score: 2

    "capitalists left to their own devices would rather collude than compete" -- Adam Smith

  98. Back to the bad old days by nurb432 · · Score: 1

    Anyone still remember the days of GEnie or compuserve when you were almost afraid to login to check mail due to your 'hard' cap? Depending on how much spam you got, you might get billed and have no time left over for fun.

    Opening up to unlimited was the biggest boost to the internet there was since opening it to commercial use. While i don't see a 'crash' coming, i do see a slow collapse to where its a shadow of its current self.

    --
    ---- Booth was a patriot ----
  99. Regulation by nurb432 · · Score: 1

    Doesn't undo the damage, and could make it worse and move to a total pay-per-use. You don't have unlimited water or power do you? No, you pay for every electron that flows thru your house.

    --
    ---- Booth was a patriot ----
  100. Re:the solution is called TLMC - The Last Mile Cac by ThatsMyNick · · Score: 1

    I dont find much information on the webpage, so I will ask you directly. How different is your proposal from Akamai (or equivalents)?

  101. You mean iPhone caps. Not Smartphone caps by Anonymous Coward · · Score: 0

    This article is Apple FanBoi myopic. You want unlimited data? Go to walmart and buy a family mobile plan. They'll support any GSM phone, but TMobile works best. It's about $54/mo for all you can eat talk, text and data.

  102. Yes, yet anybody dig up the roads by tepples · · Score: 1

    because unless they allow anyone to dig up the roads

    That's exactly the solution. When a given part of town is due to be resurfaced, let every utility who has paid the permit fee lay its conduit. Natural monopoly is a myth.

  103. Solar air conditioning by tepples · · Score: 1

    The usage of electricity is a poor example because generator capacity is set by peak need. If you could "average out the need" over a given period of time consistently

    I thought that's exactly what photovoltaic and photothermal solar power did: extend the capacity at peak air conditioning times.

  104. WISPA: No matching results. by tepples · · Score: 1

    WISPA's search lists 0 WISPs that serve my ZIP code (46808).

  105. Single digit GB/mo by tepples · · Score: 1

    Uncapped internet? Never had it, never really needed it. I have 120GB a month and that's all I need

    How would you deal with 5 GB/mo, which is typical in areas that happen not to have a cable operator?

  106. Go back for a master's degree by tepples · · Score: 1

    How many people are going to want to go back for a master's degree just to get I2 access? It's like Facebook before the fourth quarter of 2006: the cost of getting an e-mail address matching *@*.edu just wasn't worth it.

    1. Re:Go back for a master's degree by WillAffleckUW · · Score: 1

      How many people are going to want to go back for a master's degree just to get I2 access? It's like Facebook before the fourth quarter of 2006: the cost of getting an e-mail address matching *@*.edu just wasn't worth it.

      Most alumni can buy special data plans that get the same level of service.

      --
      -- Tigger warning: This post may contain tiggers! --
  107. If all TV went to VOD by tepples · · Score: 1

    the problem is they are using almost all of it to send you 799 TV channels you aren't watching while you are tuned to the 800th.

    If everybody were watching an individual unicast VOD stream instead of a "channel", then 800 TVs turned on in a neighborhood would use just as much bandwidth. How many subscribers are in a particular "neighborhood" (or whatever they call it in DOCSIS)?

    1. Re:If all TV went to VOD by Dahamma · · Score: 1

      Well... I used to work for @Home Network until some brain dead execs bought Excite and Blue Mountain Arts and threw away a great business. The average coax portion of the HFC network served ~400 homes, with the Canadians (Rogers & Shaw) pushing it up to ~1000. And the statistics of shared networks are that not everyone uses it at once - for most streaming today it's about 10-20% of homes on average.

      But even if it were 50% or more, there would be PLENTY of bandwidth, given that they have already converted most of the content to H.264 and opened up a bunch of frequencies for DOCSIS data. If you allocated all of the channels (and by channels that's 6Mhz bands up to about 1Ghz for decent coax plant) that's 150 channels x 40Mbps = 6Gbps shared. That's enough for streaming a 1080p H.264 stream to all of those homes, or much more likely streaming that to 10-20% of those homes along with misc downloads, web browsing, occasional 2+ stream in one home, etc, with a lot to spare for the occasional spike.

  108. It'd make the commute longer by tepples · · Score: 1

    or perhaps just move to a better location

    Which might make the commute to and from one's job unreasonably long if it happens to be located near the worse location due to zoning laws.

  109. Blackouts by tepples · · Score: 1

    With so many people ditching Cable and Sat TV plans in favor of an Internet-Only household

    Let me guess: You're talking about households with no sports fans. The leagues' online streaming services tend to black out any game that's shown on traditional cable. A lot of traditional cable channels' web sites have begun using "authentication" as well: viewers have to log in using a username and password provided by the participating cable or satellite TV provider.

  110. Farming and zoning by tepples · · Score: 1

    With zoning laws as they are, with people being fined just for operating a victory garden, how can one grow food without living out in the middle of nowhere?

  111. Divide that by 15 or so by tepples · · Score: 1

    If you streamed 128kbps data 24/7 for a month, you're looking at roughly 41GB, which really isn't all that much.

    A typical U.S. data plan capped at 3 GB/mo would allow streaming less than two hours a day at that rate. If your daily round-trip commute is longer than that, or you want to do something else with your phone while away from open Wi-Fi, tough droppings.

  112. What's less wasteful? by tepples · · Score: 1

    Geeks actually might be more likely to think, "Streaming music this way is wasteful and inefficient"

    What's the less wasteful and more efficient way to shuffle a large selection of non-payola music in a vehicle? Buy every song on a streaming station's playlist?

    1. Re:What's less wasteful? by True+Vox · · Score: 1

      Well, yeah, I guess, if you're streaming from Pandora. Personally, I just use Spotify. Yes, I realize I don't "own the music", but considering the amount of "new" (that is, music that I was unfamiliar with previously, not necessarily newly released). The $10 a month seems fair to me, considering that I have a big appetite, and often grow bored of something I've heard 100 times.

      Anyway, with Spotify (and I assume others like Rdio and Mog or what ever their called), you can choose to stream, or choose to download to the device, as the situation warrants. If you have the songs downloaded, you don't need ANY connection to play them (though you do have to call home even so once every 30 days).

      --
      "Gratuitous complexity is akin to chaos" - True Vox
  113. Satellite "fraudband" by tepples · · Score: 1

    Where are these caps people talk about?

    Largely in rural areas and small towns unserved by a cable television provider. They typically have to rely on satellite ISPs such as WildBlue and Hughesnet, whose plans tend to come with a single digit GB/mo cap.

  114. You're funny! by DirtyLiar · · Score: 1

    You can't have a monopoly or a monopolistic cartel without government intervention

    Why is that? What stops a business in a free (and unfettered) market from gaining an advantage over the competition, and then using anti-competitive business practices to buy up and / or drive all their competition out of business?

    Some of the anti-competitive practices that businesses have used in the past:
    1) Sending employees over to the competition to steal proprietary information and / or sabotage them.
    2) Pay hoodlums to beat-up the competitions owners / employees / customers.
    3) Burn down the competition's buildings, manufacturing plants, retail outlets.
    4) Pay people to spread rumors pertaining to the competition's product's safety, lifespan, composition.
    5) Pay people to spread rumors about the competition's owners, employees, and backers. (Ohh, they're Jews / *iggers / kike's / hippies....)
    6) Use advertising and news outlets to spread disinformation about their competitors.
    7) Place fraudulent advertisement to promote fake prices / sales / cash-back / rebates in the name of their competition.
    8) Make fraudulent claims about the product in their competition's name.
    9) Just flat out kill the competition.
    10) Use an advantage of excess money to sell their product below the cost of manufacture, forcing less liquid / less monied competition out of business.
    11) Convince the competition's suppliers to break their contracts.
    12) Make fake businesses to supply the competition with non-existent raw materials.
    13) Pose as their competition and make false claims / take false orders / deliver faulty materials.
    14) Buy the loyalty of the competition's employees and use them to sabotage their business.
    15) Poison / adulterate / sabotage competitor's products.
    16) Convince or pay distributors and retailers to loose the competitions orders.
    17) Pay distributors / retailers to redirect the competition's orders to themselves.
    18) Pay people to bring fraudulent lawsuits against their competitors.
    19) Pay off Judges / Juries / expert witnesses in the lawsuits.
    20) Pay corrupt officials (an interesting concept in a "free and unfettered market") to re-zone the retail and manufacturing locations of the competition.
    21) Piracy A: Stop the competition's delivery trucks, take their product, then sell it as your own.
    22) Piracy A: Break into the competition's warehouses, steal their product, sell it as your own.
    22) Piracy B: Make shoddy products and sell it in the competition's name.

    Just when I think I can't think of more, I do. So I'll stop here.

    See, there are laws that prevent all of that, some call it regulation.
    Without those laws, there is noting but personal morality to prevent them. And we're all abundantly aware that there are always people who, when left to their own devices, show a distinct lack of morals.

    Do you remember an experiment in de-regulation, called "Prohibition"? All sorts of mom-and-pop businesses pop'd up all over the place. Then a few people decided to organize and push their competitors out of business.

    In fact we have a similar experiment going on called "The war on Drugs". Like marijuana, cocaine, meth, etc... Yet they are all available to anyone with sufficient desire, without regulation to prevent adulteration, monitor purity, or even guarantee ingredients. Making their purchase a crap-shoot, in which you may get shot.

    --

    THINK! It's patriotic

  115. In the USA, not elsewhere. by stooo · · Score: 1

    Yep. US only problem. Don't care.

    --
    aaaaaaa
  116. In the USA, not elsewhere. by stooo · · Score: 1

    Perhaps, in some years, people will organize themselves in towns and create community-made non-profit ISP's. this already exists in some places...

    --
    aaaaaaa
  117. Spotify requires Facebook by tepples · · Score: 1

    Personally, I just use Spotify.

    I thought Spotify was only for people who've joined Facebook, and I've read that in some cases, Facebook requires a new user to scan and e-mail a copy of a state-issued ID. Is it worth it to join Facebook just to use Spotify?

  118. Re:the solution is called TLMC - The Last Mile Cac by fredan · · Score: 1

    it's different in that the cache server are placed at the ISP, with the possibility for the user to have an own cache server at their home.

    I will try to update the site during the next week with more information of how an setup with TLMC will work.

  119. Re:the solution is called TLMC - The Last Mile Cac by ThatsMyNick · · Score: 1

    Sounds interesting, I will keep an eye out. Thanks for posting it out here.

  120. Re:Yes or reply to someone who ignored Adam Smith by WillAffleckUW · · Score: 1

    Exactly, the Tragedy of the Mercantilists who think they are Capitalists but aren't.

    --
    -- Tigger warning: This post may contain tiggers! --
  121. Read books by YaddaMinski · · Score: 1

    Maybe this will encourage more reading of books.

  122. MOD PARENT UP by LanMan04 · · Score: 1

    That is all.

    Lameness filter.

    --
    With the first link, the chain is forged.
  123. Math...who needs it? by saveferrousoxide · · Score: 1

    Its cheapest plan, at about $40, will carry a 300 GB limit, while the most expensive plan, about $200, comes with 600 GB. Anyone who exceeds the limit on any plan can pay $10 for each additional data bucket of 50 GB.

    So... I could get the $40 plan and get up to 1.1TB of data (16 * 50GB + 300GB) for $200 OR I could pay the $200/month and get 600GB. Hm. Someone didn't think that all the way through did they?