Jesse Brown

Jesse Brown

Jesse Brown offers critical thoughts on technology and what it means. Follow Jesse on Twitter:  @JesseBrown

Bell toots an extinguisher on UBB, Netflix pours gasoline

by Jesse Brown on Tuesday, March 29, 2011 6:26pm - 60 Comments

Netflix's new killer feature: crappy compression for Canadians

Until yesterday, Bell Canada’s message to the 470,000 Canadians who stand in opposition to Usage Based Billing could be summarized as follows: You are confused. Go home.

In interview after interview, Bell spokesman Mirko Bibic sought to educate the angry horde—they simply didn’t understand that the CRTC’s pro-UBB decision would only impact the small minority of users who subscribe to independent Internet providers. If you were with any of the big telcos, this wasn’t your fight. He was technically right: mainstream subscribers are already being billed outrageously for bandwidth “overages” and the CRTC isn’t even thinking of stepping in.

Somehow, this message failed to resonate.

Yesterday, Bibic took another tack. “Wholesale UBB is now gone,” he announced.  ”It will not be implemented.”  The indie ISPs will still be able to offer unlimited service, and the rest of us can declare victory and go back to paying up to $5 a gig from providers like Bell.

Bibic still doesn’t get it.  The half million Canadians who signed the Stop the Meter petition didn’t do so because they were ignorant of the distinctions between wholesale and retail or because they are strangely concerned with the pricing models of a bunch of tiny ISPs who collectively comprise 6% of the market. They signed the petition because they are not stupid. They see that Canada’s big ISPs are attempting to cap the amount of data transferred by all Canadians, regardless of which ISP they are with, and that is what they oppose.

Netflix gets it. Yesterday they announced that they would deal with mainstream ISP UBB by allowing customers to drastically compress the quality of the video they watch. Yes, that’s innovation in Canada: new players can indeed compete, by grossly degrading their product to a level beneath anything they’d dare offer to Americans. True, it may be a publicity stunt on Netflix’s part, a calculated move to embarrass Canada into getting with the times. If so, it’s a brilliant one.

But will it be effective? Only if the half million angry Canadians stay that way and make UBB an election issue.

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  • Bill Hillier

    From netindex.com
    Canada Upload 1.54Mbps.
    This country ranks in 64th place. Results were obtained by analyzing test data between Mar 1, 2011 and Mar 30, 2011. Tests from 6,089,613 unique IPs have been taken in this country and of 35,548,431 total tests, 1,131,021 are being used for the current Index.
    Test server within the mean distance between the client and the server is less than 300 miles.

  • Bill Hillier

    From netindex.com (Global data)
    Canada Value index $6.48USD/Mbs.
    This country ranks 25th in cost per Mbps, but ranks 20th when taking into account GDP per capita. Results were obtained by analyzing survey data between Jun 8, 2010 and Mar 30, 2011. 29,965 surveys have been taken in this country.

  • Bill Hillier

    Bill Hillier · Works at Retired:)
    From netindex.com
    Canada Quality index 84.15R-Factor.
    This country ranks in 23rd place. Results were obtained by analyzing test data between Mar 1, 2011 and Mar 30, 2011. Tests from 6,089,613 unique IPs have been taken in this country and of 35,548,431 total tests, 78,871 are being used for the current Index.
    Based on millions of recent test results from Pingtest.net, this index compares and ranks consumer broadband quality around the globe.
    The value is the rolling mean R Factor over the past 30 days where the mean distance between the client and the server is less than 300 miles

  • Bill Hillier

    Akama State of the internet Q3-2010. http://www.akamai.com/dl/whitepapers/Akamai_state…

  • Bill Hillier

    What TRUE competition and "Market Forces" brings to the consumer.
    UK, Orange, 20Mbps , Unlimited, $23.48 CAD.
    France, Orange, 8Mbps, Unlimited, 28.42 CAD.
    France, SFR, 20Mbps, Unlimited, 21.68 CAD.
    Romania, Adnet telecom, 10Mbps, Unlimited, 29.13 CAD.
    Italy, Libero, 7 MMbps, unlimited, 26.99 CAD.
    Japan, OCN, 12Mbs, Unlimited, 25.22 CAD.
    Russia, AKADO-Stolitsa JSC), 20Mbps, Unlimited, 25.00 CAD.
    Netherlands, Online, 4Mbps, Unlimited, $24,04 CAD.
    Netherlands, Online, 20Mbps, Unlimited, $30.88 CAD.
    Netherlands, KPN, 8Mbps, Unlimited, $34.33 CAD.
    Netherlands, XS4ALL, 8Mbps, Unlimited, $41.13 CAD.
    Romania 50 Mbps, Unlimited, $9.56 100 Mbps, Unlimited, $12.86 (incl. VAT) CAD

  • Bill Hillier

    British Telecom broke up by UK regulator=Openreach=UK Broadband LOW prices=CHOICE http://tyny.ca/f4

  • Bill Hillier

    Ofcom the UK equivelent of the CRTC mandated that:
    British Telecom split off OpenReach as wholesale division, selling to ALL isp's, including BT at fair prices. New rates coming. Result=Competition=low prices=CHOICE http://media.ofcom.org.uk/2011/03/31/ofcom-propos…

  • Bill Hillier
  • Bill Hillier

    Bell starts it's own fires!
    "Fundamental Fairness"
    Don't believe this Bells#!t.
    Today Bell announced a $3.00 per month increase on internet and Fibe services. http://www.bell.ca/shopping/PrsShpInt_PriceNotifi…

  • Bill Hillier

    Northwestel, A Bell company, charges $10.00 to $25.00 per gigabyte

  • Bill Hillier

    Here is the way it ought to be:
    All Telecoms get broken into divisions: Wholesale, Retail.
    Wholesale maintains the infrastructure. Retail sell the products.
    CTRC set Wholesale rates, Retail like any business sets prices per Market forces.
    Wholesale sells to ALL retail providers, even their own Retail division, at the same regulated rate.
    "Market Forces" determine retail rates.
    Works in the UK. http://media.ofcom.org.uk/2011/03/31/ofcom-propos…?

  • Bill Hillier

    Our telecoms get results….Bad results but results just the same:
    Canada 63rd on the Upload index
    Canada 24th Cost per Mbs index
    Canada 36th in Household Download index
    Canada 23rd on Quality Index
    Canada is 23rd on Promise index http://netindex.com for the most up to date stats!

  • Bill Hillier

    Shaw presented to shareholders:
    Additional opportunities to monetize our broadband business through speed and product differentiation and the introduction of a usage based billing model

    Read more: http://www.montrealgazette.com/business/Canadian+…

  • Bill Hillier

    The single biggest statement that you can make to Big Telco is to "Move Your Money", speak with your wallet! If you have the opportunity CHANGE internet providers, Switch to one of the independent internet providers. You just might find one here: http://canadianisp.ca

  • Bill Hillier
  • Bill Hillier

    I keep hearing that the cost to transmit a gig of data is higher than you uninformed people think or claim. Don't you think if the real cost substantiated the claims of the Telcos that they would be producing the numbers right quick. I do. Same with information around congestion, don't you think if the data substantiated the congestion claims, they would present it right quick. I do.
    If they could prove our theories wrong the numbers would have been thrown in our faces a long time ago!
    Seems to me that once the truth is finally told we will be shocked to know just how badly we have been gouged for all these years.

    Read more: http://www.montrealgazette.com/business/Canadian+…

  • Wayne M.

    Grandmother BELL is having a very difficult time clawing it's way out of the 20th cenbtury!

  • theletterM

    The Conservatives will drop this hot potato if they get a majority…mark my words.

  • Billy

    Everytime I see the Bell or Rogers complaint about slow internet or paying for Netflix I chuckle a little. At any point people could fix that issue by switching providers, but they don't…they just sit back and complain. I live in Sudbury and use Eastlink (used to be Persona) for my Internet/Digital Cable/Phone providing, and not only is it incredibly affordable, but I haven't had a single issue with any of those facets for the last 4 years. Any time a minor occurrence pops up I'm warned beforehand or informed just after of the issue. And my Netflix….flies!! No complaints from this happy customer, keep up the great work Eastlink, you will continue to get my service.

  • Trass

    The only options most people have are Bell/Rogers or companies that buy from Bell/Rogers. Not everyone has access to competitors with decent packages.

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