On Nov 12, 2009, at 2:02 PM, RickG wrote:

> Chuck,
>
> That's the point. The consumer is NOT paying for excessive bandwidth  
> use.
> When bandwidth runs us over $100/meg and one customer uses $300's  
> worth for
> $50/month there is something wrong.

Right, but if that's the case you either charge them or lose the  
customer (on purpose I mean). You don't try to charge the organization  
they are downloading from.

> The unlimited bandwidth model only works
> when you can oversubscribe the bandwidth. With bandwidth usage  
> climbing
> exponentially, the model will soon break. Furthermore, some educated
> consumers are finally realizing that they are subsidizing the  
> bandwidth
> hogs. They ask how is that fair?
> As far as my Netflix idea, I agree my original idea is probably not  
> a good
> solution.

Yep, that's what I was trying to say. I know you're just batting ideas  
around, which is always healthy.

Chuck

> I was also a GM at a cable company and maybe we should use them as
> a template? HBO, and the other premium channels charge the cable cos  
> for the
> customer's usage which we passed on to the customer for a profit.  
> Both HBO
> and the cable co makes money and everyone wins.
> Really, I'm just kicking around ideas because something has to  
> happen. I'm
> not saying I have the right ideas.
> As far as the phone companies, AFAIK the LECS still have an exchange  
> rates
> for calls that terminate on another network. It's just transparent  
> to the
> end users. At any rate, this discussion is much needed.
>
> Thanks to all on this list for their ingenuity which makes this the  
> best
> business field to be in (IMHO)!
> -RickG
>
> On Thu, Nov 12, 2009 at 12:10 PM, Chuck Bartosch
> <ch...@clarityconnect.com>wrote:
>
>>
>> On Nov 7, 2009, at 2:25 PM, RickG wrote:
>>
>>> In the past, l worked for two electric companies. Their business
>>> models were
>>> dependant on meters. As far as internet access, Compuserve and AOL
>>> had the
>>> right idea from the start. Instead entrepanuers took advantage of
>>> their
>>> weakness at the time. What we are now seeing is the downside of the
>>> $50/month "all you can eat" business model. When usage was low due
>>> to less
>>> apps, it worked fine but were now seeing exponential growth of  
>>> usage.
>>> Besides that, one thing we (ISP's) are really missing, are  
>>> agreements
>>> between each other for payment of access to our networks. For
>>> instance, the
>>> phone companies pay each other for access to each others networks. I
>>> realize
>>> this is very complex but shouldnt Netflix (or their provider) pay us
>>> for
>>> utilziation of our networks?
>>
>> I do not see why they (Netflix) should, no. The consumer is already
>> paying you for it. Netflix is not another ISP. It's a "phone call".  
>> My
>> phone company does not charge my local hardware store for calling  
>> them
>> if they are with a different phone company any more than it charges  
>> my
>> mom when I call her back in Minnesota (I live in New York). My  
>> *mom's*
>> phone company might charge her for the the call, depending on the
>> plan, but that's about as far as it goes.
>>
>> The provider idea could bite us hard.
>>
>> Note that originally the settlement fees were demanded by the
>> established phone companies to mild the upstart cell companies for
>> revenues. They weren't smart when they started those agreements and  
>> it
>> came back to bite them later when CLECs exploited the ideas in novel
>> ways with the advent of the Internet where you could guarantee  
>> certain
>> incoming-only calls. But they aren't going to be so stupid as to not
>> think of those loop holes a second time ;-).
>>
>> Chuck
>>
>>> -RickG
>>>
>>> On Sat, Nov 7, 2009 at 1:59 PM, Eric Rogers
>>> <ecrog...@precisionds.com>wrote:
>>>
>>>> I do agree with you and that works if there are other options.  One
>>>> customer who was downloading 160G, came from DSL and moved into  
>>>> this
>>>> neighborhood and now wants high speed where we are the only
>>>> option.  It
>>>> is only a matter of time before others are using Netflix and  
>>>> others.
>>>> They come in all gaming consoles now.  Why not have the customers  
>>>> pay
>>>> for upgrades?  If there is a high demand for services, the demand
>>>> drives
>>>> growth; or fees stifle demand.
>>>>
>>>> Maybe my logic is flawed, but if 5% of the customer base is  
>>>> straining
>>>> the network, shouldn't they pay more?
>>>>
>>>> Eric
>>>>
>>>> -----Original Message-----
>>>> From: wireless-boun...@wispa.org [mailto:wireless-
>>>> boun...@wispa.org] On
>>>> Behalf Of Travis Johnson
>>>> Sent: Saturday, November 07, 2009 12:22 PM
>>>> To: WISPA General List
>>>> Subject: Re: [WISPA] Metered Billing
>>>>
>>>> 10% of your customers will use 90% of your resources. Direct that  
>>>> 10%
>>>> customer base to cable or DSL and stop worrying about adding
>>>> complexity
>>>> to your network.
>>>>
>>>> Travis
>>>> Microserv
>>>>
>>>> Chuck Profito wrote:
>>>>> Marlon does this and smiles every time he signs a Bandwidth Hog!
>>>>>
>>>>> -----Original Message-----
>>>>> From: wireless-boun...@wispa.org [mailto:wireless- 
>>>>> boun...@wispa.org]
>>>> On
>>>>> Behalf Of Eric Rogers
>>>>> Sent: Saturday, November 07, 2009 4:56 AM
>>>>> To: WISPA General List
>>>>> Subject: [WISPA] Metered Billing
>>>>>
>>>>> We are on the verge of changing to a metered or tiered billing
>>>> structure
>>>>> with Caps that once they exceed the cap; it doesn't shut off, but
>>>>> they
>>>>> get charged the overage.  Netflix is getting out of control and I
>>>> don't
>>>>> want to punish the customers that only use it occasionally.  I  
>>>>> think
>>>>> they are very innovative solutions and don't want to hinder new
>>>>> applications.  I just want people that download 160 GB in a month,
>>>> when
>>>>> the average is nearly 10 GB a month, to pay their share for
>>>>> expanding
>>>>> the network.
>>>>>
>>>>>
>>>>>
>>>>> Who has dabbled in the metered/tiered services and what were your
>>>>> customers responses?
>>>>>
>>>>> What are your tiers?
>>>>>
>>>>> Have attitudes changed toward your company as being greedy?
>>>>>
>>>>>
>>>>>
>>>>> We already have everything in place to do it, just need to send  
>>>>> out
>>>> the
>>>>> letter saying we are doing it and why.
>>>>>
>>>>>
>>>>>
>>>>> Eric Rogers
>>>>>
>>>>> Precision Data Solutions, LLC
>>>>>
>>>>> (317) 831-3000 x200
>>>>>
>>>>>
>>>>>
>>>>>
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>>
>> --------------
>> Chuck Bartosch
>> Clarity Connect, Inc.
>> 200 Pleasant Grove Road
>> Ithaca, NY 14850
>> (607) 257-8268
>>
>> "When the stars threw down their spears,
>> and water'd heaven with their tears,
>> Did He smile, His work to see?
>> Did He who made the Lamb make thee?"
>>
>> From William Blake's Tiger!, Tiger!
>>
>>
>>
>>
>>
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--------------
Chuck Bartosch
Clarity Connect, Inc.
200 Pleasant Grove Road
Ithaca, NY 14850
(607) 257-8268

"When the stars threw down their spears,
and water'd heaven with their tears,
Did He smile, His work to see?
Did He who made the Lamb make thee?"

 From William Blake's Tiger!, Tiger!





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