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That's ultimately just nonsense. Streaming Netflix or Spotify consumes bandwidth, and the infrastructure that provides that bandwidth costs money, thus, streami
by zAy0LfpBZLC8mAC 9y ago
That's ultimately just nonsense. Streaming Netflix or Spotify consumes bandwidth, and the infrastructure that provides that bandwidth costs money, thus, streaming Netflix or Spotify costs money.
So, if someone is offering you "free Netflix streaming", you should ask yourself: Who is paying for it? If you are not paying for it, someone else is. The ISP certainly is not (they are a business and not a charity). So, obviously Netflix is paying for it. And as that's a cost for Netflix, and they, too, are a business and not a charity, they'll have to set their prices to cover those costs as well. So, in the end, you are still paying for Netflix streaming, it's just that you are paying for some of the bandwidth of your provider through Netflix.
Now, so far that would be just pointless (you are paying for it anyway ...), but not anything necessarily wrong with it. Now, the question is: Why would anyone fight for and implement such a pointless setup? And the reason is that it allows monopolies to be established, and being a monopoly allows you to charge higher prices: If every streaming service could buy bandwidth to some ISP's customer at the same rate, which would also be the same rate that the customer would otherwise pay themselves, it would just be pointless all around ... so, what happens instead, is, that some parties buy exclusive rights in some form or another, which puts the competition at a disadvantage.