& cplSiteName &
Video

CES 2011: Will Consumers Pay Per Bit?

1/12/2011
50%
50%
Newest First  |  Oldest First  |  Threaded View        ADD A COMMENT
jdc55
50%
50%
jdc55,
User Rank: Light Beer
12/5/2012 | 5:15:28 PM
re: CES 2011: Will Consumers Pay Per Bit?


If the service providers want to start charging for service based on usage I would not have a problem with that. However, I woulod also expect that when they quote a speed to me I would hold them to a service level agreement that specifies a speed and not a "best effort" where nothng is guarenteed.

exaero
50%
50%
exaero,
User Rank: Light Beer
12/5/2012 | 5:15:27 PM
re: CES 2011: Will Consumers Pay Per Bit?


The respondents all seem to assume their bills will go up with usage based billing.  If the question was rephased:  "would you be interesed in a lower cost internet access package with usage limits?"  You may get different answers.    I suspect when the average user says "I use my internet connection all the time", they are referring to how much time they spend in front of a computer or smart phone, not how many HD movies they are downloading per week.   The issue for access providers is really the investment needed to support over the top video services, not telecommuting or web browsing. 

paolo.franzoi
50%
50%
paolo.franzoi,
User Rank: Light Beer
12/5/2012 | 5:15:25 PM
re: CES 2011: Will Consumers Pay Per Bit?


exaero,


Why would a company implement a more complicated billing mechanism to lower the price?  The only sensible reason to implement this is that people then end up either reducing their service usage (which means that existing infrastructure lasts longer) for the same price OR the average consumer pays more.


 


seven


 

exaero
50%
50%
exaero,
User Rank: Light Beer
12/5/2012 | 5:15:24 PM
re: CES 2011: Will Consumers Pay Per Bit?


I agree that in a stable market where churn is low, like wired internet access, there is little motivation for carriers to reduce prices.  But AT&T did offer lower priced data plans for the iphone when they dropped their unlimited data plans.  


Internet access providers face capital investment challenges as customer adopt over the top video.  Funding for that investment will have to come from somewhere.  It could come from raising prices for subscribers, or from charging content providers for access to subscribers.   Of course if you charge the content providers, they will need to extract that revenue from the subscribers themselves or from advertisers.


This is driving the net neutrality argument.  It appears the FCC is going to forbid charging content providers for access to customers, so from my perspective, usage based access plans are inevitable.   

diogenes00
50%
50%
diogenes00,
User Rank: Light Beer
12/5/2012 | 5:15:23 PM
re: CES 2011: Will Consumers Pay Per Bit?


Perhaps if the telcos offered the information to have more educated consumers? If they came to me and said "on average you use 100 Mb/wk; would you be interested in a lower price with a 100 Mb/wk soft cap, with a additional per-bit pricing over and above that?" I'd be able to respond one way or the other. But without the critical information of how much I'm using currently, I don't see how I'd be able to respond correctly.

paolo.franzoi
50%
50%
paolo.franzoi,
User Rank: Light Beer
12/5/2012 | 5:15:21 PM
re: CES 2011: Will Consumers Pay Per Bit?


 


The starting cost of the iPhone service dropped...as long as basically you did not use the service.  Which raises the cost of the service.  Which is my point.  The iPhone became a hit with an all you can eat plan.


All of this is what you say in your last paragraph.  The reality is they want consumers to pay more for Internet Access.


seven


 


 


 

Educational Resources
sponsor supplied content
Educational Resources Archive
From The Founder
Cisco's Conrad Clemson, recently promoted to head up the company's Service Provider Apps & Platforms developments, talks to Light Reading's Founder and CEO Steve Saunders about how he's bringing cloud video, mobile and virtualization together to empower network operators.
Flash Poll
Live Streaming Video
Charting the CSP's Future
Six different communications service providers join to debate their visions of the future CSP, following a landmark presentation from AT&T on its massive virtualization efforts and a look back on where the telecom industry has been and where it's going from two industry veterans.
LRTV Interviews
Masergy: Ability to Adapt Key for NFV

1|16|17   |   6:40   |   (0) comments


Speaking at Light Reading's 2020 Vision in Rome, Masergy's VP, Global Technology, Ray Watson, said agility is key to providing the mix and match NFV-based services that are driving business for the managed service provider today.
LRTV Interviews
Equinix: The Data Explosion

1|13|17   |   4:16   |   (0) comments


At Light Reading's 2020 Vision in Rome, Eric Schwartz, president of EMEA, Equinix, talked about how Equinix is helping its customers manage the influx of data today, and how it's preparing for a future filled with millions of connected IoT devices.
LRTV Interviews
Heavy Reading: The Changing Data Center Landscape

1|12|17   |   6:05   |   (1) comment


At Light Reading's 2020 Vision event in Rome, Heavy Reading's Senior Analyst Roz Roseboro talks about how virtualization is impacting data center evolution and how that evolution is affecting the relationship between service providers, data center operators and public cloud providers.
LRTV Interviews
Boingo: Prepping for Millions of Devices

1|12|17   |   5:07   |   (1) comment


At Light Reading's 2020 Vision in Rome, Boingo's CTO Derek Peterson discusses how wireless operators will address the needs of low-bandwidth and high-bandwidth apps at the same time, the need for more MHz, the impact of IoT and more.
LRTV Interviews
Comcast Shows Off Gig Gateway at CES

1|11|17   |     |   (1) comment


With its largest presence at CES in years, Comcast took the wraps off its long-awaited gigabit gateway and a new platform for managing the home WiFi network. Light Reading Senior Editor Mari Silbey sat down with EVP Chris Satchell to discuss the latest Comcast advance, and met with VP of Product Strategy and Development Andrea Peiro to walk through a demo of the ...
LRTV Interviews
Colt: End-to-End Key for 2017

1|10|17   |   6:21   |   (0) comments


At Light Reading's 2020 Vision Executive Summit in Rome, Nico Fischbach of Colt said having a multi-carrier, end-to-end service proposition is going to be key for 2017 -- and SD-WAN is instrumental in making it happen.
From the Founder
Cisco's Clemson on Mobile Cloud Video

1|9|17   |     |   (1) comment


Cisco's Conrad Clemson, recently promoted to head up the company's Service Provider Apps & Platforms developments, talks to Light Reading's Founder and CEO Steve Saunders about how he's bringing cloud video, mobile and virtualization together to empower network operators. "If you think about where we're going… whether it's a mobile application, or a video ...
LRTV Custom TV
VMware Telco NFV Solutions – Preparing for 5G & IOT

1|9|17   |     |   (0) comments


Shekar Ayyar, EVP & Corporate Strategy/General Manager of Telco for VMware, discusses VMware's Telco NFV solutions role and foundation for the Imminent Arrival of 5G & IOT.
LRTV Interviews
Heavy Reading: Big Video Set to Disrupt

1|6|17   |   4:39   |   (0) comments


At Light Reading's 2020 Vision Executive Summit in Rome, Heavy Reading's Adi Kishore talks about the challenges of managing and monetizing bandwidth-intensive video, and how service providers will need to transform their networks to cope with the big video explosion.
LRTV Interviews
Heavy Reading: IoT Set to Disrupt

1|5|17   |   7:07   |   (0) comments


Heavy Reading's Senior Analyst of IoT, Steve Bell, tells Light Reading how the Internet of Things (IoT) will transform service provider markets, business models and mindsets, and how virtualizing the network core and Fog networking is key to meeting the agility and flexibility demands of IoT in the future.
LRTV Custom TV
Ensemble SmartWAN Explained

1|5|17   |     |   (0) comments


Ray Le Maistre and Prayson Pate, CTO of the Ensemble division at ADVA Optical Networking, discuss the details around the recent Ensemble SmartWAN announcement from ADVA and its potential impact on the SD-WAN movement as it goes virtual.
LRTV Interviews
Telstra Shares Digital Dos & Don'ts

1|4|17   |   3:21   |   (0) comments


At Light Reading's 2020 Vision Executive Summit in Rome, Telstra's Managing Director of EMEA Tom Homer shares his insight into what makes a good partner in today's digital world.
Upcoming Live Events
May 15-17, 2017, Austin Convention Center, Austin, TX
All Upcoming Live Events
Infographics
Hot Topics
Ericsson: 5G Heralds 'New' New Economy
Mari Silbey, Senior Editor, Cable/Video, 1/12/2017
5G: Another Next-Generation Disappointment?
Iain Morris, News Editor, 1/10/2017
CES 2017: WIC's Picks & What Made Us Sick
Sarah Thomas, Director, Women in Comms, 1/10/2017
IBM, FDA Look to Blockchain to Secure Health Records
Scott Ferguson, Editor, Enterprise Cloud, 1/12/2017
Like Us on Facebook
Twitter Feed
BETWEEN THE CEOs - Executive Interviews
Light Reading founder and CEO Steve Saunders chats with Sportlogiq CEO Craig Buntin about sports data analysis.
Eyal Waldman, CEO of Mellanox Technologies, speaks to Steve Saunders, CEO of Light Reading, for an exclusive interview about the 100 GB cable challenge, cybersecurity and much more.
Animals with Phones
Live Digital Audio

Playing it safe can only get you so far. Sometimes the biggest bets have the biggest payouts, and that is true in your career as well. For this radio show, Caroline Chan, general manager of the 5G Infrastructure Division of the Network Platform Group at Intel, will share her own personal story of how she successfully took big bets to build a successful career, as well as offer advice on how you can do the same. We’ll cover everything from how to overcome fear and manage risk, how to be prepared for where technology is going in the future and how to structure your career in a way to ensure you keep progressing. Chan, a seasoned telecom veteran and effective risk taker herself, will also leave plenty of time to answer all your questions live on the air.