Mikael Abrahamsson writes: >So what will people do? Stop selling when their networks are full? Ignore >the economics and let other business carry the cost of bulk internet? Go >for cheaper platforms? Go bankrupt (if no other business can carry the >cost) ?
This problem will be fixed when the excess capacity built in the latter years of the boom is gone. That's not to say that the adjustment won't be painful - I'm sure a few more provider failures are in the offing - but obviously if the marginal price for bandwith doesn't pay for the capital costs of expansion, either eventually bandwidth will be more expensive, or the equipment will be cheaper. Joe