Turquoise wrote:
mikkel wrote:
There's plenty of excuse. Welcome to a world where ISPs overextend, oversell and oversubscribe everything as part of their business model. Of all the common access topologies around, cable is by very far and very wide the most oversubscribed thing you can get your hands on, so this should not come as a surprise to anyone. ISPs have been getting away with oversubscribing on scales as absurd as 1:100 for years, and it is really coming back to bite them in their asses with the recent mainstream interest in online media. We're talking scenarios where they've been selling multi-megabit per second products to thousands of households on segments with total downstream throughput hovering around 50Mbps.
The catch-22 in this scenario is that the only way they can readjust their failing business models to fit the realities of today is by reassigning spectra from cable TV to cable Internet, and if they do that, they're making their own product less attractive compared to the competing online products that are causing capacity shortages in their networks. Cable companies need to realise that they can either operate quality cable TV products, or decent cable Internet products - not both. Abandoning either one would of course mean a major hit to their revenue sources, and massive equipment writeoffs, so instead of taking the hit for their poor decisions, they're doing what businesses in any other industry would do; making the consumers pay for it.
For most people, there's a very easy way to avoid subsidising these failures, and that's to get DSL or optical connectivity instead.
All the infrastructure here was either paid for with tax dollars or tax breaks with a few rare exceptions of retrofitting suburbs that are particularly profitable.
I know this. It does absolutely nothing to change the current state of affairs, and doesn't really address anything I said.
Turquoise wrote:
The only thing that these companies have to put money into is repair of infrastructure and the purchasing of servers for output of cable internet and TV.
It's not quite that easy. You don't just "purchase a new server" if you want more capacity. It's possible to increase capacity by upgrading hardware, but this is done at steep prices and very slowly, and it does nothing to address the underlying problem of overextending islands in HFC plants, and this is not something you just throw pocket change at to fix. It carries a price tag large enough for it to probably never be profitable for cable ISPs to do, as their business models rely on cost-per-customer calculations which would be thrown off radically if this was to change.
Turquoise wrote:
Verizon was given a large sum of money by the government for providing FIOS to a significant portion of the U.S. They pocketed most of this and delivered it to only a few test areas instead. Nothing else was required of them because of their connections in our government.
Again, I don't see how this is relevant to what I posted. We all know that these corporations will do anything for profit.
Turquoise wrote:
Oversubscribing is wonderful for these companies. Think about it. You've got a product to sell and you're selling so much of it that you've got to up the investment on the source. Their dilemma is not being willing to fork out a small investment to yield a massive amount of profit. The reason why they won't do it is because they don't have to. They can introduce bandwidth caps rather than making a small investment themselves.
You're completely failing to understand the scope of investment needed to supply even adequate capacity in cable access topologies for larger service providers. It is anything but a "small investment."
Turquoise wrote:
All they are doing with caps is making sure they can get something for nothing, which has become the American Dream/delusion.
Everybody wants a handout, and this time, it's the telecom sector.
No, they're implementing caps because their topologies cannot handle the throughput. There's no big conspiracy surrounding that.