Verizon's Mobile Video Won't Count Against Data Caps -- but Netflix Will (arstechnica.com)
Earthquake Retrofit writes: Ars Technica has a story about how Verizon Wireless is testing the limits of the Federal Communications Commission's net neutrality rules; Verizon has announced that it will exempt its own video service from mobile data caps—while counting data from competitors such as YouTube and Netflix against customers' caps.
You are wrong. Netflix will put servers physically next to Verizon's. The cost is that of a few feet of fiber and some ports. It's probably cheaper because your "general" incoming bandwidth isn't used.
The last mile for towers and cell sites are very restricted technically. The bottle neck is NOT the backhaul. it is the number of people that can connect to a sector. It is something like 40 concurrent connections.. and they all have to share the bandwidth for that sector. Wireless just doesn't scale for high bandwidth usage.