Verizon seeks payment for Netflix traffic
According to a Wall Street Journal report tonight, "[t]he online-video service has been at odds with Verizon Communications Inc. and other broadband providers for months over how much Netflix streaming content they will carry without being paid additional fees. Now the long simmering conflict has heated up and is slowing Netflix, in particular, on Verizon's fiber-optic FiOS service, where Netflix says its average prime-time speeds dropped by 14 percent last month."
Netflix streaming quality from Verizon, Comcast, and TWC has been heating up recently. Part of the reason, besides net neutrality, has to do with Netflix's content agreements. Netflix has partnered with many ISPs, putting equipment on their networks to ensure customers receive the highest quality stream possible. Major ISPs such as Verizon, Comcast, and TWC want paid for allowing the Netflix to install their content distribution systems.
Customers are paying both their ISP and Netflix for service already. Joining the Netflix distribution network would ensure better Netflix performance and yield happy customers of both parties.
Who should pay? Netflix or the ISP? Or no one, call it a wash as the consumer wins?
Curious about Netflix Open Connect: http://goo.gl/eEkmw