Net neutrality fans lose on Capitol Hill

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Re: Google's profits

This discussion is about increasing the speed of video downloads. The telcos want to set up special pipes for the purpose, and be paid by those who use those pipes to increase the popularity of the service, and thus their profits.

Bass ackwards. The Googles, eBays and Amazons of the world are providing the value in subscribing to a telco ISP in the first place. Who would sign up for $50 a month if there was nothing to look at?

Additionally, Verizon is paying CBS to carry CBS' programming on Verizon's IPTV network. How Google is different than CBS is lost on me. Care to enlighten?


This discussion is about increasing the speed of video downloads. The telcos want to set up special pipes for the purpose, and be paid by those who use those pipes to increase the popularity of the service, and thus their profits.

One can argue that Google profits from Intel's increasingly powerful CPUs. Should Intel send Google a bill? Surely investments in CPUs are at least as large as investments in laying fibre. And we get back to the chicken or egg proposition, don't we? Would the telcos be investing in capacity if there were no Googles at the other end of the line? Maybe Google should bill AT&T. Why not? It's providing value to AT&T by attracting subscribers to the telco.


The telcos are themselves or via partners going to be selling video. They can gain competitive advantage by overcharging their competitors.

They sure aren't acting like they're part of a dynamic, competitive market, are they?

Posted by: none none   Posted on: 03/28/06 You are currently: a Guest | Members login | Terms of Use

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