Re: Observations of an Internet Middleman (Level3) (was: RIP Network Neutrality

[joel jaeggli <joelja () bogus com>]

On 5/12/14, 7:07 AM, Owen DeLong wrote:
> On May 12, 2014, at 6:02 AM, Nick Hilliard <nick () foobar org> wrote:
>
> > On 10/05/2014 22:34, Randy Bush wrote:
> > > imiho think vi hart has it down simply and understandable by a lay
> > > person.  <http://vihart.com/net-neutrality-in-the-us-now-what/>.  my
> > > friends in last mile providers disagree.  i take that as a good sign.
> >
> > Vi's analogy is wrong on a subtle but important point.  In the analogy, the
> > delivery company needs to get a bunch of new trucks to handle the delivery
> > but as the customer is paying for each delivery instances, the delivery
> > company's costs are covered by increased end-user charges.
>
> Two words nuke your suggestion here: Amazon Prime

Once you build the capacity to reach every delivery point every-day it's
maybe not enough to hope that people utilize that facility . decreasing
the cost per package requires higher unit volume. The incremental cost
of delivering the second package is much lower than the first.

> Owen

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