Originally posted by: cmetz
spidey07, as long as the business model is "unlimited*" (* - not really), residential ISPs and customers will have interests that pit them against each other. Charging for usage is the only way to align their interests. There's plenty of precedent in utilities - electric, water/sewer, gas, etc. Land-line telephones are unusual in that they are "unlimited" and ISPs are unusual in that they are "unlimited." But cell phones have usage pricing and customers are okay with that - and the tiered block pricing model seems to be a reasonable compromise that gives both customer and provider more predictability. I think that an ISP that offered cell-phone like plans *and explicitly did not filter or muck with your traffic in any way* would be an interesting business model, and as current major ISPs are getting more customer hostile I think they could pick up users at an interesting rate.
Of course, there are always folks who just want to pay $50/month and sustain several megabits of download and a megabit of upload throughout every second of that entire month. Those users are abusers. There's no other way to put it. Those people want to be subsidized by everyone else, to get a lot of data for as little cost as possible. While I can't fault folks for trying to get the best deal possible, those people simply aren't economic given the current business models. ISPs who deal with those users by simply kicking them off solve their own problem, but do nothing to really solve the greater problem.
"What is mom gonna do when johnny has a 1500 dollar internet bill?"
How about explaining to little Johnny that his piracy saved him $200 on DVDs and cost $1,500 in bandwidth this month? Sounds like a self-correcting problem to me! (Maybe we can solve two big residential ISP problems here
Yes, it *is* possible that home users who are in the top 1% of residential data volume are downloading Linux DVDs. A *lot* of Linux DVDs. Every second of every month. Yeah, it's possible.
The pricing tiers just have to be reasonable, and documented. Just like cell phones. I pay $X a month, and I get Y minutes of talk time. So say my ISP charges me $50 a month and I get 20GB/month of downloads, with $0.10/MB overage. If little Johnny isn't doing anything he shouldn't be, then he need not know there's tiering going on at all. In fact, what we have today is something similar to that, except that it's not clearly documented when you go over your allotment, and the overage charge is that they pull the plug on you.
This would also encourage makers of certain protocols and games to be more efficient with their use of the network. Right now, there is not much incentive to do that.
VirtualLarry, the USPS is an excellent point to introduce into this conversation. You do realize that you subsidize all that junk mail you get, right? It costs you $0.41 to send a letter with up to three pages folded up. It costs them pennies to send a cardboard letter-sized junk mail item. They have better lobbyists than you do, and the USPS is basically a government entity.
Do you want the same government to set the rules for the ISP business? Care to guess how this one works out?
Oh, and if you think all recipients get the same service from the USPS, you should do more work with the mailing industry. The USPS discriminates in huge ways between various senders and the average Joe, and between various receivers and the average Joe. Once again, money and volume figure heavily into this picture.
The government set up a postal system to guarantee cheap delivery to everyone, a wonderful, egalitarian dream. But slowly, over time, that changed. They don't advertise it widely, they even will claim that it's the same egalitarian system it once was, but when you dig into the details, it's not - the lobbyists got in there and the rules favor certain folks.
This is exactly what a goverment decided and enforced network neutrality will be like. It will start out with what everyone thinks is great, and then the lobbyists and politicians will change that when they think nobody's looking. Slowly, subtly. The way so many things in our government start out with good ideas but often go astray in the implementation. I'd like the Internet to be better than that.