Re: Money talks
OK, not for the ISP, but for the company that provides the actual cabling, in most cases the cost of putting the connection in is probably inversely proportional to the speed you get.
Actually, no it isn't.
The cost of actually carrying the data is more dependant on how much is being sent and when. An ADSL user running their 10Mb/s line flat out during peak hours costs more than an FTTC user browsing the web over a 60Mb/s connection during the same period.
The cost to whoever is sending the signal down the telephone line is usually higher for slower lines:
* There is a (possibly marginal) increase in electricity consumption as the signal probably requires more power.
* Slower lines incur higher maintenance costs on average because they are more likely to require engineer call outs either to fix dodgy jointing or because their greater length just makes them statistically more likely to suffer damage.
But these variations aren't that great and any way would be difficult to market so for practical purposes the cost is taken as being the same. And there's the problem: I am going to tell you that I can provide a DSL port on my cabinet to anyone in the country for £10 pcm. That's it. One charge for all.
How much are you going to charge your customers that can get 70Mb/s over their line?
How much are you going to charge your customers that can get 40Mb/s over their line?
How much are you going to charge your customers that can get 70Mb/s over their line but only want 40Mb/s?
The last one is a further complication.