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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 (31783)	10/22/2009 6:18:36 PM
From: Maurice Winn	1 Recommendation Respond to of 46821

Frank, it's not "resource drainage". When people buy things, it's not "draining a resource". It's normally considered a good thing when people buy things - both parties benefit from the transaction and there is a consumer surplus for the buyer and a profit for the seller so it's not even simply a swap of things, it's a synergistic addition of value out of thin air. < I would not be opposed in principle to peak-shaving those 5% of users who account for 95% of resource drainage. Where I have a problem, however, is with human nature, since I sense that first mile providers would become sloppy greedy and continue to target the top 5% of users on a moving window basis going forward. Thoughts? > There is no need to "peak shave" those 5% of users who account for 95% of usage. If they are willing to pay for that 95%, outbidding other buyers, there's no reason why they shouldn't increase that 95% to 98%. That seems extreme and would normally imply it's well past time to increase capacity by doubling the size of the restaurant, launching a few more ships or installing some more fibre or wireless backhaul. The way to manage demand is by price = increase the price during peaks and see who wants to buy it. Those with lower value data can wait. Mqurice