Netflix Deal With Comcast: Net Neutrality Domino? - InformationWeek

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Netflix Deal With Comcast: Net Neutrality Domino?
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Lorna Garey
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Lorna Garey,
User Rank: Author
2/25/2014 | 5:02:22 PM
Re: Pollyannas think carriers won't use their clout
RRadina, Do you hold Netflix harmless here? Agreed 100% on Comcast and competition. When FiOS came to my neighborhood, suddenly Comcast really, really liked us. All those pesky yearly rate hikes? Fuggedaboutit. Expect that when Google Fiber gets to Boston, Comcast will start sending us annual fruit baskets.

However, Netflix is playing games, too. That's what I meant by motives.
Lorna Garey
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Lorna Garey,
User Rank: Author
2/25/2014 | 11:07:13 AM
Re: Pollyannas think carriers won't use their clout
Well, I assume that you're channeling the late, great Gandolfini as Tony Soprano. And as someone raised on ziti and gravy, I can relate. However, as with some Sopranos episodes, this is one case where the motives are somewhat fuzzy. If I were thinking of starting a service to compete with Netflix, I might take a moment to think twice. Capisce?
Charlie Babcock
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Charlie Babcock,
User Rank: Author
2/24/2014 | 8:35:20 PM
Netflix motivated to pay to safeguard customers, discourage competitors
Netflix is willing to pay, not just to protect its customers' streaming needs, but to increase the price of admission for potential Netflix competitors. Amazon would also like to be a streaming content provider but it may not have counted on the cost of streaming going up, now that it's investing in content.
WKash
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WKash,
User Rank: Author
2/24/2014 | 8:31:55 PM
Re: Pollyannas think carriers won't use their clout
Everytime we see content providers and carriers go at it over proposed rate increases, and the war of ads begins over who's depriving whom of service, it's clear that those who control the pipes into homes and businesses have too little competition. Time for the FCC to finally have the same oversight over Internet providers as they do broadcasters.

 
Lorna Garey
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Lorna Garey,
User Rank: Author
2/24/2014 | 4:41:46 PM
Re: Pollyannas think carriers won't use their clout
"In fact, LR reported Comcast as saying, "Netflix receives no preferential network treatment under the multi-year agreement."

Come on, if that's so, what are they paying for? To NOT be slowed down? That sounds much like the baseball bat/china shop analogy.
D. Henschen
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D. Henschen,
User Rank: Author
2/24/2014 | 3:32:43 PM
Re: Pollyannas think carriers won't use their clout
Reports have it that both Comcast and Verizon have been crimping Netflix' bandwith since the January ruling on Net neutrality. Yes, there are technical differences between "paid peering" and "paid prioritization," but the bottom line is that Netflix is paying a carrier money to ensure good service. Which content provider will be next and how many carriers are going to get on that line for payments?
Lorna Garey
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Lorna Garey,
User Rank: Author
2/24/2014 | 1:15:53 PM
Re: Pollyanna's think carriers won't use their clout
There's also the fact that this helps Netflix stifle competition. It can afford to pony up the vig to Comcast. A smaller startup seeking to compete? Not so much. It's bad for consumers.
D. Henschen
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D. Henschen,
User Rank: Author
2/24/2014 | 12:30:03 PM
Pollyannas think carriers won't use their clout
The court of public opinion will not hold carriers in check. How many times have these guys held up Fox, CBS and other big content providers in the cable world? Now it's happening with Internet content, and the only thing to stop them from holding content providers over a barrel is the law. There's not enough competition and freedom of choice for the free market to work.


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