[LINK] More Geist: Myths and Fallacies About Usage Based Billing

[Kim Holburn]

He reiterates 3 important points here that we could do well to note:

http://www.michaelgeist.ca/content/view/5718/125/

> Myths and Fallacies About Usage Based Billing
> 
> Thursday March 31, 2011
> Bill St. Arnaud has posted a paper on usage based billing that challenges some of the frequently made claims on UBB. St. Arnaud notes that the paper demonstrates three important facts:

> 1. Internet video streaming services actually reduce costs for Internet backbone networks operated by telephone and cable companies, even as traffic volume grows;

> 2. There is no correlation between volume of Internet consumption and costs for telephone and cable company last mile providers and that congestion, if any, is more of an artifact of design assumptions made by the operators; and

> 3. Cable and telephone companies operate competing video streaming services over the same last mile infrastructure used for Internet access services, which generally are not priced based on usage, and yet somehow seem to able to avoid congestion as well as provide the service for fraction a price of what they charge for delivery of the same video content delivered over the Internet.

-- 
Kim Holburn
IT Network & Security Consultant
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