Tiered broadband pricing looms

Several broadband service providers are considering new pricing models that potentially could help them manage currently unpredictable traffic growth and other fluctuations over their networks. Tiered pricing may evolve to become standard industry practice, and it may be the best way to handle higher than expected streaming video growth, according to some of the chatter out at Streaming Media West this week in San Jose, Calif.

The broadband market has undoubtedly entered a new phase. The next competitive battle may be over what kinds of tiers service providers come up, how they are priced and what underdog service providers might do to undermine those strategies.

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