Thursday, February 27, 2014
Comcast-Netflix deal will not adversely affect newbies
My mother used to use a phrase, “It wasn’t meant to be”, but Wednesday, in the Wall Street Journal, Business World, Holman W. Jenkins, Jr. has a piece on p, A15, “How the Internet was meant to be, link here.
Comcast and Netflix made a deal because they had to. Netflix customers’ use had grown so much that their video streaming could affect other customers. So Netflix paid for its own custom infrastructure upgrade.
Yes, in time, some consumers could notice some subscription price increases to pay for it.
And Netflix right now seems to be the most reliable source of streamed video.
Jenkins makes the valuable point that a separate peace between Netflix and Comcast does not affect smaller companies offering content through ordinary Comcast services. It does not keep the newbies out. They need to act only when their customers use enough bandwidth that they have a problem