Feud over Netflix traffic leads to video slowdown- MSN Money

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Netflix subscribers have seen a lot more spinning wheels lately as they wait for videos to load, thanks to a standoff deep in the Internet.

The online-video service has been at odds with Verizon Communications and other broadband providers for months over how much Netflix streaming content they will carry without being paid additional fees.

Now the long-simmering conflict has heated up and is slowing Netflix, in particular, on Verizon’s fiber-optic FiOS service, where Netflix says its average prime-time speeds dropped by 14 percent last month. The slowdown comes as Netflix is rolling out the new season of its Emmy-winning series “House of Cards.”

The dispute involves the plumbing behind parts of the Internet that are invisible to consumers. As more people stream movies and television, that infrastructure is getting strained, intensifying the debate over who should pay for upgrades needed to satisfy America’s online-video habit.

via Feud over Netflix traffic leads to video slowdown- MSN Money.

There is a glaring omission in this article and that is any analysis of the Redbox streaming service provided by Verizon. Are subscribers of that service noticing any delays especially on Verizon’s FiOS?

It seems that this is a ploy by ISPs to push their streaming solutions over third-party services. Smells like some antitrust stuff here.

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