/// Netflix Pays to Bust Up Comcast Traffic Jam

February 23, 2014  |  Media Week

In a move that seems certain to have a profound impact on how Netflix negotiates with other broadband providers going forward, the streaming video service on Sunday announced it has agreed to pay Comcast for direct access to the cable operator’s network. The deal ends a stalemate between Netflix and the cable giant, which had demanded payment in exchange for Netflix’s request to connect its servers to Comcast’s broadband network. Netflix had been hoping for a free ride. While the two sides stuck to their guns, Comcast subscribers who accessed Netflix experienced a marked deceleration in streaming quality. According to Netflix’s internal data, the average speeds of its prime time streams to Comcast subscribers had dropped 27 percent between October 2013 and January 2014.



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