[12696] in Commercialization & Privatization of the Internet

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Re: EFF and the big bad T (tax) word [long]

daemon@ATHENA.MIT.EDU (Karl Denninger)
Thu May 26 13:18:15 1994

From: karl@mcs.com (Karl Denninger)
To: mech@eff.org (Stanton McCandlish)
Date: Wed, 25 May 1994 21:50:18 -0500 (CDT)
Cc: don.wills@swc.com, djw@eff.org, com-priv@psi.com
In-Reply-To: <199405251838.OAA16870@eff.org> from "Stanton McCandlish" at May 25, 94 02:38:33 pm

Stanton of EFF wrote....

> FYI, the reason books and other publications sometimes cost more for
> libraries than for individuals is not even vaguely related to the issue at
> hand.  The reason is because they are copied and used by more people, and
> the makers of them depend upon individual sales and royalties therefrom
> for their income.  This does not hold true of network resources (though it
> often does hold true of networkable software, such as MS Word - thus the
> existence of site licenses.)  By contrast, a constantly connected data
> line, like our T1 for instance, does not cost any more or less to use or
> provide whether one person or 5 or 15 are using it.
> 
> You are very wide of the mark here.

The hell it doesn't.

Let's say that each "user" has 128kbps of bandwidth available to them.

If 15 of them "use" it at once, then there is NOT ENOUGH TO GO AROUND.
Therefore, you must buy TWO T1s, which now certainly DOES cost you more 
money.  Or, you can leave your customers twisting in the breeze with 
poor performance.

You have absolutely no clue how this market works, how pricing is
established or how infrastructure is engineered.  You have just 
established quite solidly and irrefutably how much information and 
knowledge you lack in this area.

> > Don't you folks at EFF understand how ludicrous your position is?
> 
> No, but we do understand how ludicrous positions may appear to be by those
> who don't understand them, and make unsupported assumptions about what
> they mean. 

Like you when you pontificate about something you know absolutely nothing 
about, perhaps?

I thought so.

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