InfoSpace (INSP): Where GNET went! Message Board

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Technology Stocks : InfoSpace (INSP): Where GNET went!

INSP 86.70

-4.6%

Nov 13 3:59 PM EST

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To: BGR who wrote (6209)	5/26/1999 1:29:00 AM
From: Hawkmoon	Read Replies (2) of 28311

BGR, I believe the issue is that the telecoms would have control of the internet backbones and be able to charge by the amount of data that is being sent, no matter whether it be 56K, cable, dsl, or local wireless networks. As it is the internet is very comparable to the freeway system. It used to be that many bridges and roads were toll-based (and here in the east many still are). A monthy fee is like paying a toll to travel on a particular stretch of road all you want for 30 days. Trying to charge per packet is tantamount to what happened with a toll road out here in DC near Dulles airport. They built such a nice parkway, and spent so much money, they had to charge exorbinant fees in order to break even. But then they found that people were unwilling to pay those rates and decided to stick to their old "free" routes of travel. The telecoms may try, but then competitive pressures will force some of them to defect and try to capture user market share by returning to the current access rates. Regards, Ron

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