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July 29, 2011 06:10 pm GMT

Your ISP Is Screwing You: As Your Service Costs Go Up, Their Backbone Costs Go Down

In Japan, a multiple-megabit Internet connection costs pennies. I pay $99 for 50-mbps (and that's really about 1 mbps (when it's not raining) in Brooklyn. But why, you ask? Well, to hear cable companies (and carriers) tell it, it costs a pretty penny to get all that data to your door. Providers have to lease connectivity from the backbone and, as such, they're forced to add caps to prevent us users from sucking down too much data and bankrupting them. But Mr. Cringeley, in an excellent examination of the real bandwidth costs in America, proves them wrong.

Original Link: http://feedproxy.google.com/~r/Techcrunch/~3/rG_hCWKgbNk/

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