[kwlug-disc] Today in Usage-Based-Billing News

John Van Ostrand john at netdirect.ca
Thu Nov 4 09:36:25 EDT 2010


----- Original Message -----
> Some days the news is just so happy it makes me want to cry.
> 
> http://www.cbc.ca/technology/story/2010/10/28/crtc-usage-based-billing-internet.html
> 
> Summary:
> - Bell gets to implement usage-based billing for customers to ISPs
> that rent its network.
> 
> - Bell gets to raise rates (arbitrarily?) to encourage those ISPs that
> are grandfathered in to switch to metered billing instead.
> 
> Hopefully I am misunderstanding something.

As much as this negatively affects me, I think it was a long time coming. Residential and SOHO Internet was a gold rush with each vendor grabbing as much market share and hoping to make money at it. Almost all the small ISPs that you knew 10 years ago lost the race (because they ran out of money) and had to sell out to ISPs with deeper pockets.

It was at least controllable in the modem days of 56K. When DSL came out it was insane. A business could choose from a T1 for $2,000/month or a DSL line for $70. The ISP was betting that most consumers simply wouldn't max out their usage, at least not all at the same time. And it was fine for a while. Now we install entire operating systems through the network, watch movies, share media, etc. And DSL speeds are crazy fast.

Eventually Internet will replace phone service, long distance, cable and satellite, the providers of those will still want their money. That $100+ Many of us spend on that combination of services will now likely still go to the same place.

-- 
John Van Ostrand 
CTO, co-CEO 
Net Direct Inc. 
564 Weber St. N. Unit 12, Waterloo, ON N2L 5C6 
Ph: 866-883-1172 x5102 
Fx: 519-883-8533 

Linux Solutions / IBM Hardware 




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