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This dispute is identical to those over the charges content providers charge satellite and cable providers today such as Fox and Cablevision or Comcast and DISH. It is a commercial dispute. Settlement charges have been there since the beginning. Take them away and the Internet goes away. If Netflix underpriced its service because it assumed free delivery of its content, that is their problem. I realize that Comcast could raise its rates to everyone so that Netflix customers can watch more movies, but this is then the same as the bundling issue on cable: making people pay for something they do not use.
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Dec 1, 2010