{"id":3306,"date":"2010-03-05T06:39:40","date_gmt":"2010-03-05T11:39:40","guid":{"rendered":"http:\/\/mhgoldberg.com\/blog\/?p=3306"},"modified":"2010-03-04T13:27:38","modified_gmt":"2010-03-04T18:27:38","slug":"usage-sensitive-pricing","status":"publish","type":"post","link":"https:\/\/mhgoldberg.com\/blog\/?p=3306","title":{"rendered":"Usage sensitive pricing"},"content":{"rendered":"<p>A week ago, a tweet was directed to me asking about download caps.<\/p>\n<p>It was possibly\u00a0a rhetorical question, but it may also demonstrate a lack of understanding of capacity constraints and cost drivers on\u00a0wireline and mobile broadband networks.<\/p>\n<p>An unlimited buffet advertised (but not necessarily offered) in other markets won&#8217;t last forever. AT&amp;T&#8217;s CEO has already <a href=\"http:\/\/bit.ly\/b28g3D\" target=\"_blank\">said<\/a> that the company will need to &#8220;progress more toward variable pricing. Heavier consumers will pay more than lower consumers.&#8221;<\/p>\n<p>In the old days of email, file transfers\u00a0and news groups as the main applications on the internet, delays due to queuing of transmissions was less of a concern. Who would notice a second or two delay? Streaming content, gaming and voice are far less tolerant of these.<\/p>\n<p>I wonder if we can\u00a0frame the network engineering\u00a0problem as\u00a0having two components\u00a0when\u00a0we define broadband capacity: the throughput speed and the volume of traffic to be carried. Think of it in terms of a\u00a0car. You\u00a0can put a powerful engine into a car to make it go fast, but the size of the gas tank and how much fuel is on board determines how far\u00a0you can go.<\/p>\n<p>Are\u00a0unlimited offers sustainable?<\/p>\n","protected":false},"excerpt":{"rendered":"<p>A week ago, a tweet was directed to me asking about download caps. It was possibly\u00a0a rhetorical question, but it may also demonstrate a lack of understanding of capacity constraints and cost drivers on\u00a0wireline and mobile broadband networks. An unlimited buffet advertised (but not necessarily offered) in other markets won&#8217;t last forever. AT&amp;T&#8217;s CEO has &hellip;<\/p>\n<p class=\"read-more\"> <a class=\"\" href=\"https:\/\/mhgoldberg.com\/blog\/?p=3306\"> <span class=\"screen-reader-text\">Usage sensitive pricing<\/span> Read More &raquo;<\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_uag_custom_page_level_css":"","two_page_speed":[],"footnotes":""},"categories":[1],"tags":[],"class_list":["post-3306","post","type-post","status-publish","format-standard","hentry","category-uncategorized"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.6 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Usage sensitive pricing &#8226; Telecom Trends<\/title>\n<meta name=\"description\" content=\"A week ago, a tweet was directed to me asking about download caps. It was possibly\u00a0a rhetorical question, but it may also demonstrate a lack of &#8226; March 5, 2010\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/mhgoldberg.com\/blog\/?p=3306\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Usage sensitive pricing &#8226; Telecom Trends\" \/>\n<meta property=\"og:description\" content=\"A week ago, a tweet was directed to me asking about download caps. It was possibly\u00a0a rhetorical question, but it may also demonstrate a lack of &#8226; March 5, 2010\" \/>\n<meta property=\"og:url\" content=\"https:\/\/mhgoldberg.com\/blog\/?p=3306\" \/>\n<meta property=\"og:site_name\" content=\"Telecom Trends\" \/>\n<meta property=\"article:published_time\" content=\"2010-03-05T11:39:40+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/mhgoldberg.com\/blog\/wp-content\/uploads\/2021\/02\/mark_logo_png-scaled.png\" \/>\n\t<meta property=\"og:image:width\" content=\"2560\" \/>\n\t<meta property=\"og:image:height\" content=\"1061\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/png\" \/>\n<meta name=\"author\" content=\"Mark\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@mark_goldberg\" \/>\n<meta name=\"twitter:site\" content=\"@mark_goldberg\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Mark\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"1 minute\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\\\/\\\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\\\/\\\/mhgoldberg.com\\\/blog\\\/?p=3306#article\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/mhgoldberg.com\\\/blog\\\/?p=3306\"},\"author\":{\"name\":\"Mark\",\"@id\":\"https:\\\/\\\/mhgoldberg.com\\\/blog\\\/#\\\/schema\\\/person\\\/7a2b80bac06ee3d5cacca8c7708bfe8f\"},\"headline\":\"Usage sensitive pricing\",\"datePublished\":\"2010-03-05T11:39:40+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\\\/\\\/mhgoldberg.com\\\/blog\\\/?p=3306\"},\"wordCount\":209,\"commentCount\":1,\"publisher\":{\"@id\":\"https:\\\/\\\/mhgoldberg.com\\\/blog\\\/#organization\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"CommentAction\",\"name\":\"Comment\",\"target\":[\"https:\\\/\\\/mhgoldberg.com\\\/blog\\\/?p=3306#respond\"]}]},{\"@type\":\"WebPage\",\"@id\":\"https:\\\/\\\/mhgoldberg.com\\\/blog\\\/?p=3306\",\"url\":\"https:\\\/\\\/mhgoldberg.com\\\/blog\\\/?p=3306\",\"name\":\"Usage sensitive pricing &#8226; Telecom Trends\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/mhgoldberg.com\\\/blog\\\/#website\"},\"datePublished\":\"2010-03-05T11:39:40+00:00\",\"description\":\"A week ago, a tweet was directed to me asking about download caps. 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