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BF69
Premium
join:2004-07-28
Camden, TN

reply to bbeesley

Re: Only part of the network costs

said by bbeesley:

IP transit costs are only a small portion of the total cost of delivering service to a group of subscribers and saying these have gone down is akin to saying "gas prices are cheaper so the cost of a car is going down"

bandwidth consumption continues to necessitate investment in Long-Haul and Metro network capacity at rate that appears to be accelerating (100G interfaces are not cheap) and increasing speeds to subscribers requires investment in local delivery infrastructure

It could be argued that revenues are increasing and this should be included as well

A study on bandwidth costs really needs to include all the above to get a clear picture of whether it is getting cheaper or more expensive to run these networks

Those cost are already paid by the customer. The fact is Comcast bandwidth costs are at least 1/3 of what they were when they started this cap in 2008 yet only increased the cap by 20%.

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