Huge ISPs want per-GB payments from Netflix, YouTube

Poor Internet providers. They have to carry all that horrible, horrible traffic from Netflix and YouTube, and they just can't afford it anymore.

Unless they start charging end users 21 percent more for Internet access, or unless they're allowed to bill Internet companies at 3.7¢ per GB, the Internet could "become unusable at peak times" due to congestion. The huge incumbent ISPs have a fairly obvious agenda for the future of the 'Net, one that involves traffic prioritization, more "managed services," and high prices, but rarely is the wish list on such prominent display as in a recent report from consultancy A.T. Kearney.

Four of Europe's biggest ISPs -- Deutsche Telekom, France Telecom, Telecom Italia, and Telefónica -- commissioned a study from the company on "A Viable Future Model for the Internet", which involves giving lots more money to ISPs. The basic argument is simple and well-known. The ISPs claim that they just can't afford all the investment they've been making, and that's it totally unfair that companies like Netflix get to make nice business on their pipes without paying their fair share. Yes, it's the old, tired claim about "freeriding."