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ISPs complain about video bandwidth

Written by Rich Fiscus (Google+) @ 13 Aug 2007 7:22 User comments (12)

ISPs complain about video bandwidth Analysts believe that ISPs have started to revolt about delivering net video because of the fickle European broadband market and because publishers are effectively transferring their distribution costs on to the ISP.
Ian Fogg, an analyst at JupiterResearch, wrote on his blog: "If ISPs had healthy margins for broadband, this wouldn't matter anything like as much. But European consumers are highly price sensitive on broadband access, so ISP margins are poor."

In addition, he said, most large ISPs have launched their own TV services.

"These internet delivered TV offers both push up ISPs' bandwidth and network costs, and they potentially undermine the ISPs' own TV services. So ISPs vocally use the issue of higher costs, while ISPs are also concerned about revenue protection for their TV services."

While services like BBC's iPlayer are popular with consumers, ISPs aren't happy about providing the bandwidth required for their customers to take advantage of them.

Arguably, the real question is whether ISPs should be selling services based on peak throughput being offered, or a more realistic number of sustained data transfer. As long as the former number is used instead of the latter you can expect consumers in many places to complain that they're not getting the service they're paying for, and ISPs complaining that they can't provide the bandwidth required for streaming video.

Source: BBC News

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12 user comments

113.8.2007 16:10

Wow, those profit margins are not high enough SO STICK IT TO THE CONSUMER and complain how much they are downloading BULL$#!T. look at how thw ISP's in JAPAN operate and take an example of that. They provide the consumer with superior internet access with little complaint about bandwidth. LIMIT ACCESS = MORE MONEY FOR EXTRA ACCESS. Somebody show me any EUROPEAN ISP YEARLY finacial statement's that show a loss.....There shareholder's are crying they need more money. The europeans are highly price sensitive because they know when there bent over and taking it in the a$$.

213.8.2007 17:38

ISPs sell 10 times more bandwidth than they have and then complain when users use more than 10% of the band they pay for... they have been looking for ways to throttle P2P and now will try the same with video...

313.8.2007 17:43

Originally posted by tefarko:
ISPs sell 10 times more bandwidth than they have and then complain when users use more than 10% of the band they pay for... they have been looking for ways to throttle P2P and now will try the same with video...
i agree ISPs should be forced to sell only what bandwidth they have.. then i suppose that they would jack prices complaining thats the only way to get more. Supply and demand....

413.8.2007 20:56

This is similar to the debate of what is ownership? When an ISP offers you "unlimited" usage, are you correct in assuming that you are entitled to unlimited usage?

513.8.2007 21:07

Unlimited means unlimited.
Access means access.

We're already hearing the same moaning from US ISPs.

If they keep bitching about it, they need to be regulated.
If they think it's bad now, wait until public service commissions start investigating why so much bandwidth is withheld and why America is 20 years behind every other developed country on this!
In other words, maybe it's time to start treating ISPs like a utility.

This message has been edited since its posting. Latest edit was made on 13 Aug 2007 @ 21:09

614.8.2007 0:00

No supprise there. I upgraded my broadband from 4mb to 20mb when Virgin Media (UK) upgraded about 3-4 weeks ago. First ime on, I had fantastic speeds but then it dropped off not long after I started downloading large files. Turns out the put a 3gb limit between the 4pm and 12am GMT, as soon as you hit the limit you are dropped down to 5mb speed. Acording to them, its a 'fair use' Policy. Pure rubbish!! As the man says: Ulimited should mean unlimited!!!

714.8.2007 10:06

I'm currently running Comcast at 12Mbps, and I can't say that I'm noticing any greater speeds than when I was paying for the 4Mbps package. My computers (3) are all on 24/7 with heavy downloading / streaming going on between all of them. One machine is a more or less permanent UT server, so I know Comcast sees a lot of traffic coming from my line.

It really would not surprise me that they are throttling my connection.

817.8.2007 19:07

All this means to me is that ISP's have to bring out the newer faster Broadband cable technology for consumers at an affordable price. Then this issues would not occur.

918.8.2007 6:27

borhan9 you're absolutely correct and the truth is the ISP's have all the bandwidth we need to run anything. they're just waiting to see exactly what the limit is we'll pay to get the bandwidth necessary for video on demand, web tv etc. they just flip a switch and it's there, don't let them make you believe there's some drawn out process, call it what it is, just a switch, a handshake. from what I understand over fiber bandwidth is almost limitless. I say everyone boycott these on demand services that, let's be honest here, don't look that great anyway. streaming a flick over the web sounds great in theory, but really go have a look and tell me if you think it's worth a cent.

1019.8.2007 19:29

Cox cable where I live throttles any Newsgroup downloads to 1.9Mbps. Normal downloads are arounf 7Mbps. Big brother IS watching!

1120.8.2007 6:33

re: newsgroup throttling - Some ISP's use bandwidth shaping and control your d/l by what port your using. A big workaround is to use SSL. Most Newsgroup providers will give you this added service for a couple bucks more a month.

1221.8.2007 22:40


I knew that Orwell had the right idea....

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