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Technology Stocks : The *NEW* Frank Coluccio Technology Forum -- Ignore unavailable to you. Want to Upgrade?

To: Frank A. Coluccio who wrote (25771)	3/10/2008 9:13:09 PM
From: fred g	Read Replies (1) \| Respond to of 46821

Frank, I'm not talking about multiple buckets-o'-bits, merely a pricing algorithm that encourages economically-rational behavior. The bits are measured per account (subscriber). Electricity and Internet share peak capacity issues, but the differ too. Internet cost, like telecom, is predominantly in the peak capacity. There's virtually no incremental cost of off-peak usage. So once you pay the fixed cost, you want to spread the load. That's what gave rise to the 1970s' popular off-peak LD pricing, for instance. That fell victim to non-peak-sensitive access charges. Electricity, however, has a real usage cost -- fuel. While wind, solar and hydro theoretically don't use fuel, real power networks depend on lots of fuel for peak and most off-peak capacity. And some "green" power is alas created when it's not necessarily most needed.