On Tue, 22 Jul 2014, Derek Balling wrote:

On Jul 22, 2014, at 1:50 PM, David Lang <[email protected]> wrote:
Think about this in terms of mail delivery. Would it be reasonable for FedEx or 
UPS to decide that they are delivering a lot of things to a warehouse 
somewhere, so that warehouse should pay them for the privilege of delivering 
the packages to them (even though the people shipping the packages already paid 
the shipping)?

Wait, I fear your analogy has broken.

Shipper - Netflix
Fedex/UPS - Verizon
Recipient - Residential Customer

... Explain to me how the "Shipper" in your analogy has paid Fedex/UPS for the 
shipping?

no, in this case Shipper is the person who initiates the traffic, in this case the Residential Customer

Remember, Netflix doesn't choose to send the traffic to you, you ask Netflix for the data.

Some people say that Netflix needs the local ISPs more than they need Netflix because the customers are on the local ISPs. That's only the case if the customers can't move away from them because there is no competition. Change that fact and then the situation changes and if you have the choice between one ISP that works with everything and another that Netflix doesn't work on, you would find that a lot of people will move to the one that Netflix works on.

And that's why fixing the competition problem is the key, not trying to micromanage the backbone interconnects.

I agree that fixing the competition problem is the best way to solve this problem, but it's going to take a long time to do so, and in the meantime something needs to be done to mitigate the damage.

micromanaging the backbone interconnects isn't a good answer, but things like the FCC "fast lane" are a step in the wrong direction.

If this wasn't the case, why would Verizon care that Netflix is claiming that people using their network can't get as an experience?

Because (hypothetically) it's defamatory. I may not be "threatened" by someone saying I {did bad thing}, but I'm still going to raise a stink when someone makes it as an assertion of fact.

Well, if it happens to be true it's not defamation.

David Lang
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