RE: Crackdowns don't slow Internet piracy

Fergie (Paul Ferguson)
"The popularity of file-sharing is costing the largest
Internet service providers $10 million per year each
in bandwidth and network maintenance costs, CacheLogic
said."

$10 million a year for the largest ISPs is a drop in the sea; _if_ the
figure is accurate (sounds reasonable to me) what's the point anyway?
The largest ISPs serve directly or indirectly millions of users that
each pay $20/mo which is $240/yr, 10 million bucks a year is nothing.

"It estimates Internet users around the globe freely
exchange a staggering 10 petabytes -- or 10 million
gigabytes -- of data, much of it in the form of
copyright-protected songs, movies, software and video
games."

This sounds a reasonable figure to me if it's per day traffic. Ballpark
figures are:

- Common estimates are that there are 30 to 40 million Americans sharing
files, less than 100 million worldwide.

- My personal estimate is that at any given time some 15 million are
on-line (a few large networks have 1+ million simultaneous users, plus
some other with numbers in the hundreds of thousands).

- 10 petabytes per day breaks out to an average of 60kbit/s per
simultaneous user, which seems reasonable to me; some still have dial-up
but broadband is widely deployed, NTM the few that operate a high-end
P4T PC with a GE NIC connected to an OC-48 (someone checks my math
please?).

Michel.

I don't care if you are Microsoft, $10MM a year is a large enough sum that the company should not spend it if the company can avoid spending it.

The hard part is the caveat. If you block customers from sharing music on your network, will you still have customers? If not, then maybe the $10MM is COGS?