December 17, 2010, 3:17 PM — Netflix has been the Internet-access industry's public enemy No. 1 ever since it began allowing customers to get the kind of so-cool service Comcast and Verizon commercials promise are just a click away, if only customers will sign up expensive broadband contracts.
Netflix and its customers were rude enough to try to take the ISPs up on that offer with a convenient, inexpensive video-streaming service that, to hear ISPs tell the story, has been clogging up the Intertubes ever since.
To everyone else, Comcast is the bad guy for appearing to selfishly stifle a service customers love. The question is, without going into mind-numbingly complex questions having to do with IP routing and Internet provisioning, does Comcast have a case?
Netflix streaming service lets customers watch as much as they want for as little at $7 per month. (Actually, in my experience, you can only stream movies you've either already seen or that you don't really want to watch right now anyway. The movies your actually do want to watch are generally available only by mail on DVD.)
Two thirds of all Netflix subscribers streamed at least 15 minutes of content during the third quarter, compared to 41 percent a year before.
Comcast responded by putting its fiscal and operational priorities over the needs of the customers it was hard-selling and monopolizing in most markets, and throttling the amount of Netflix traffic that could travel over its nets at any one time.
Did it have a good excuse?
Well, an October report from carrier-quality network equipment vendor Sandvine found that Netflix traffic made up 20 percent of all the traffic headed downstream from servers on the Internet to end users in the United States.
That's an awful lot. On the other hand, average household daily use in the U.S. is 4 GB per month, compared to 12 GB/month in Asia-Pacific. The report also found 3G and 4G networks are quickly ramping up their volume of traffic and impact on the Internet, which could outstrip Netflix' data volume even further.
In harder numbers, the volume of data Netflix customers downloaded nationwide increased from, at minimum, 151.3 million gigabytes during Q3 2009 to 336 million gigabytes during Q3 in 2010.
That's an average of 19.9GB per month per Netflix subscriber.