Netflix Hoping For Free Network Access From ISPs
sabri writes: Netflix soared on Wall Street today after their earnings announcement. They also stated that they hope to get more free network access arrangements (aka "free peering"). Fortune reports: "Netflix hopes the Charter peering pledge could serve not only its own interests, but establish an industry-wide practice for internet TV. Hastings said he hopes free peering will spare the emerging industry from the sort of battles that continue to plague the cable TV industry industry, in which stations go dark whenever distributor and content owner haggle over a 'retransmission' price."
Free peering typically means that each carrier sends and receives about the same amount of data - they each benefit equally from the peering. How much data is inbound to Netflix? About 1/10000th what comes out.
That said, why isn't Netflix's traffic upload "paid for" when they pay their data centre ISP? or is that too perfect world?
Coming soon, higher prices and commercials.
"If any question why we died, Tell them because our fathers lied."
Extrapolation - if your business makes money off the intertubes...
It make use of free peering.
You make money on someone else's back.
You owe [insert company name here] money
[Conclusion] Either the highway robbers, um, [insert company name here], um gatekeepers, um people who are not, emphasis on not, double charging, get a fair, percentage of your take - or it's just not fair.
Back when Google was a significant chunk of the Internet's bandwidth, they started running their own fiber. With Netflix at their likely peak, they should use some of their excess money to start rolling out their own fiber network. If they do it right, they'll be in the market for peering arrangements that are mutually beneficial, and they'll have something to fall back on when the studios decide to cut out their middleman.
TOECDN was made for this.
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