[2435] in Commercialization & Privatization of the Internet

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Billing Systems

daemon@ATHENA.MIT.EDU (Jack Haverty)
Thu Feb 27 09:05:10 1992

Date: Thu, 27 Feb 92 06:01:57 PST
From: Jack Haverty <jhaverty@us.oracle.com>
To: fair@apple.com
Cc: jhaverty@us.oracle.com, com-priv@psi.com
In-Reply-To: "Erik E. Fair" (Your Friendly Postmaster)'s message of Wed, 26 Feb 92 23:42:23 -0800 <23339.699176543@apple.com>

Erik,

Yep, good point.  I think there's a few situations like the low-volume T1 that
you can find, and the budget-surprise risk is a real issue.  In the old days of
time-sharing, back before the dawn of packets, machine time and disk space were
billed by CPU-minute and kilobyte-month, and a small programming error could run
up a large bill.  No one seems to care about that anymore (buy more MIPS!  buy
a Superserver!)  Maybe bandwidth will be in the same category in the next ten
years.  But for now, something analogous to disk/cpu quotas (or *some* kind of
control mechanism on cost) would probably help.  There are some carriers who
address this problem by taking the risk on themselves - i.e., they guarantee a
cap on your bill - but I doubt they like that solution.  It's simply necessary
to make the sale.

You reminded me of another point - if I'm shopping for network services, it's
tough to figure out what exactly I'm buying.   Someone offering a full T1
*connection* for only slightly more money than a partial-T1 *connection* may in
practice deliver less end-end capacity.  If I have a T1 connection to a service
network in California and a T1 connection in London, for example, that doesn't
say anything about how much throughput I should expect to actually get between
those two sites.  At best, it will be T1 - but it could be 100 bits/second!
Getting providers to guarantee the level of service is as hard as controlling
the budget risks.

Jack

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