[opendtv] Re: Shifting Online, Netflix Faces New Competition

  • From: Kon Wilms <konfoo@xxxxxxxxx>
  • To: opendtv@xxxxxxxxxxxxx
  • Date: Wed, 29 Sep 2010 09:27:01 -0700

On Wed, Sep 29, 2010 at 4:27 AM, Craig Birkmaier <craig@xxxxxxxxx> wrote:
>> And there's more. For secure distribution of such high value content, you
>> are simply seeing other middlemen being created. Either it's Comcast with
>> its new Internet scheme to its own subscribers, of Netflix and the other
>> "over the top" services, or likely the ISPs themselves, eventually. This
>> happens because the content owners want to keep control of their stuff AND
>> because the ISPs need to manage the much greater bandwidth being requested
>> in their nets.
>
> There are already many secure hosting services with reasonable rates, that
> are not "visible" to the consumer. You can pay Akamai to host your content,
> but to the consumer they will be going to YOUR website. If there is a need
> for a service like this companies will rush in to fill the vacuum.

What you're both describing is pretty much the function of meet me
rooms in high tier datacenters. These have always been a high profit
center for peering agreements, and will just continue to grow in terms
of bandwidth being shoved through them. And when I say high profit
we're talking a loss of a million dollars a minute for high capacity
tenants, in an area usually about 3% the size of the entire
datacenter.

Cheers
Kon
 
 
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