Comcast is making Netflix partners pay a toll to deliver streaming video

Posted in Netflix by Conner Flynn on November 30th, 2010

A lot of stuff goes on behind the scenes that we never see. Some of those things we want to know about. Like the fact that Level 3 Communications, a networking company that delivers streaming video to Netflix users, claims that Comcast is demanding a recurring fee for the transmission of these videos to its subscribers. On a road this would be called a toll. Sucks either way.

If this is true, this isn’t good news for Netflix users, since increased operation costs always trickle down to the end user. After a few days of negotiating, Level 3 Communications paid the fee. Comcast has come out with a statement claiming that the fee has nothing to do with Netflix or video traffic in general. Instead it’s related to the amount of traffic that Level 3 Communications is pushing off into Comcast’s network.

[Ubergizmo]

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