A Report on efforts to raise awareness about ISP's Fair Usage Policies (FUP)

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Renegade said:
To counter that argument I would have to think of an application which puts excessive demand on the network which cannot be serviced by current plans. I cannot think of one.[...]Now I can do everything that the net has to offer..

Maybe you still use internet for Email & chatting only:P man there too many services which are not possible due to slow speeds & less bandwidth. things like Video Streaming,Video on Demand, Music Download services, Online Backups and the rest of the cloud stuff.

I hate to see when my cousin in Netherlands downloads a Linux Distro(size 4GB) in few minutes and it takes me 3-4 days for the same. its simple waste of time:|
 
@Gaurish: The Forbes article is a very nice find. I wonder if BSNL/MTNL also needs to haggle with the landing station for internet distribution. MTNL speeds in Mumbai are very good for the prices.

Its intriguing why the consortium will not sell more bandwidth at lower prices, as surely the economies of scale should entail higher revenues with increased penetration, similar to the telecom industry.
 
Aces170 said:
Its intriguing why the consortium will not sell more bandwidth at lower prices, as surely the economies of scale should entail higher revenues with increased penetration, similar to the telecom industry.
I guess the CAPEX involved is higher in wireline than in wireless and also the ROI is lower in wireline. Maybe with wireless broadband you would see higher penetration.

Question now is, if that article is the true, what are they doing with excess unused capacity. How is it that the gov has not asked this question yet?
 
Renegade said:
what are they doing with excess unused capacity. How is it that the gov has not asked this question yet?

They are sitting on it and Govt is Numb about it:@

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6pack said:
People should read the google docs completely. The reason for the high charges seem to be a supposedly non profit private organisation NIXI which charges more than 5 lacs a month in interconnect fees compared to about 5 lacs a year in other countries. If isp's do not join this nixi, then for connecting to another isp in india they have to go the long way instead of the shortcut through nixi, which drives up the cost.

So maybe nixi should be axed in the first place by making another new interconnect company that will charge a flat fee of say 6-10 lacs per year instead of a month.

ISPs are allowed to interconnect privately, however setting up a peering exchange would probably be quite difficult to do not from a technical perspective, but from a legal perspective. That and your government likes to spy on it's citizens so we'd have to provide them an air-conditioned office as well (which we have to do already, but we'd have to set up another one at the IX). Otherwise, I would LOVE to set up my own IX and allow others to connect to us and everyone else for a flat-fee.

Another point is can the isp's which justify the FUP policy have any proof that a small amount of people downloading and saturating their own phone lines (since most of internet in india is adsl, there is no way we can saturate another persons line) , are actually making such a difference to their networks that they have to resort to fup's? That means they are using extremely bad network management policies or products or have no bandwidth capacity and are resorting to blaming the consumer for their service deficiencies. Most isp's have a contention ratio of about 20:1.

You're correct in that you can't saturate another person's line with ADSL, however it's the distribution of the bandwidth at the internet gateway (that is, the international capacity and peering) that they have to worry about.

Let's say 1mbit/s of dedicated international bandwidth works out to have a value worth Rs4000 at a wholesale level, and the ISP gives a contention ratio is 1:10. That works out to a cost of Rs400 per customer, and if distributed equally is an allowance of about 32GB (since 1mbit/s can download about 320GB per month). If one person downloads 74GB, then the other 9 can theoretically share 246GB between them, which if distributed equally is just 27.3GB each (averaged out). Worse still, if one person download 150GB, then the other 9 can theoretically share 170GB between them, which works out to just 18.9GB each. If everyone is paying the same amount, I'm reasonably sure that if everyone wanted to try and download 100GB a month, they'd quickly find that 1. They couldn't and 2. Speeds would slow to a complete crawl.

So it's not bad network management policies, it is literally done for economic reasons and distribution of resources. As the service is a consumer service, they are not providing 1mbit/s dedicated bandwidth to each customer, nor are they obliged to. In addition, as a consumer service, there is no QoS - everything is best effort.

So, I've outlined an example of 10:1 above, imagine 1:14 (MTNL), 1:17 (Airtel) or 1:22 (BSNL). Or 1:50 (as the regulations state is the maximum permissible ratio).

Can they prove that 1 person downloading continuously for a month at a fixed speed and fixed bandwidth allocated to him makes any difference to the other 19 people who may or may not be downloading data? Have they published any findings in a report yet if they have done so?

Anyone who has ever run a network will tell you that constant-stream rates are very bad for the network (overall). Burst is better. Anyone at any company that makes networking equipment will also tell you basically the same. I think I have some Cisco or Juniper or Ciena white-papers about all this somewhere.

But basically yes, it's easily proven. And if you look at it logically, you'll notice too that countries with extremely high-speed connections have fewer fair-usage policies or restrictions on traffic. Basically usage does not significantly increase with speed, and when it does, it's far from a linear increase. An increase in speed from 1 to 100mbit/s might yield a traffic increase of about 60% in extreme cases - that is, instead of 100Gbytes per month, they might download 150 or 160 - but certainly not 10,000!

But basically, I've illustrated how one persons excessive usage would affect the usage of others in one of the paragraphs above. The ISPs have a finite amount of international capacity - it would be nice if the price could be halved (or better, reduced by 75%), but currently the constraint is in the price of the wholesale bandwidth. And the right-of-way (no open-access networks). And peering.

If we can peer with the major ISPs without paying them Rs25/GB, we'd do it in a heartbeat, and in addition, it would encourage services like game-servers, streaming audio/video and other things to begin happening in India. And in addition, we could increase the amount of bandwidth to each customer (because it doesn't have to go to Singapore and back) and so forth. It's not a panacea but it would help tremendously.

Source: mgcarley
 
@those who has issues with FUP's.. why not shift to another country and be happy rather than whine staying in here.. I for one have shifted back to India and am not at all feeling the heat.. 4 mbps connection is more than enough for me for casual surfing and streaming videos.. and did u know bout the situation in US? people get cautions at their place for downloading illegal content.. at-least you can download here whatever u want without caring for anything..
 
Renegade said:
Your post is full of absolute junk.

How much do the sales of HDD (to end users not companies) add to the GDP of our country? I thought all regions of India were struggling with power shortage. If you are happy with paying less to the ISP and they are fine whether they get more from you or not, then your entire point is utter bullshit.

You can add more bullshit to your argument by saying that the bill payment involves banks and with lesser bill, lesser cash will change hands and the turnover of a bank will decrease which will lead to collapse of the indian banking industry and eventually Indian economy.

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AFAIK unlimited connection do not have a download limit. They have a speed limit and I was talking only about speed. So you are saying that you are fine with a 512Kbps connection. Great get a FUP which downgrades you to 512 after 8GB.
ok. my entire post is bullshit. how much does internet connectivity to home users add to the gdp of india? any figures? going by your argument no home user should have internet connectivity or lets say should have only 56Kbps dialup speed. since all they do is surf the web in their spare time when they are not working and adding to india's such a huge GDP that people start comparing internet speeds and costs to its gdp.

/sarcasm
 
kauzy said:
@those who has issues with FUP's.. why not shift to another country and be happy rather than whine staying in here.. I for one have shifted back to India and am not at all feeling the heat.. 4 mbps connection is more than enough for me for casual surfing and streaming videos.. and did u know bout the situation in US? people get cautions at their place for downloading illegal content.. at-least you can download here whatever u want without caring for anything..
I second that ,folks in India are cribbing about FUP .Come here you will know what the state is:@ .Even though i have 10 megs speed with full downloads ,i still have to be careful while downloading .Recently the government came out with a thought that ISP can peep in to connections and see what users are downloading .We will be given 2 warning to stop downloading illegal stuff after that we would never get a internet connection from any ISP .Some time in near future the bill is going to be passed :(.

Some thing like this can never happen in India
 
Gaurish said:
They are sitting on it and Govt is Numb about it:@

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...........

You're correct in that you can't saturate another person's line with ADSL, however it's the distribution of the bandwidth at the internet gateway (that is, the international capacity and peering) that they have to worry about.

don't the isp's have have extra bandwidth capacity lying unused? so how come they have to worry about bandwidth then?

.....................

The ISPs have a finite amount of international capacity - it would be nice if the price could be halved (or better, reduced by 75%), but currently the constraint is in the price of the wholesale bandwidth. And the right-of-way (no open-access networks). And peering.

If we can peer with the major ISPs without paying them Rs25/GB, we'd do it in a heartbeat, and in addition, it would encourage services like game-servers, streaming audio/video and other things to begin happening in India. And in addition, we could increase the amount of bandwidth to each customer (because it doesn't have to go to Singapore and back) and so forth. It's not a panacea but it would help tremendously.

Source: mgcarley
so who controls this limited buying and selling of international traffic in india at such a high price? NIXI, the Govt, or the private players who have access to the submarine cables?
 
The simple fact here is that there is still a lot of room for improvement but still ISP's put forward FUP's. I'm not too worried about FUP's it's just that they need to be a little more generous. Either increase the FUP's caps a little bit or to stop decreasing the speeds to half the amount of what the user has payed after FUP's limit is reached.

A guy pays for 512 Kb/s connection after FUP's limits reached he goes down to 256 Kb/s

Now another guy pays for 4 MB/s after FUP's reached he also goes down to 256 Kb/s

Seriously this isn't fair at all. So simply increase the FUP's a little bit more or stop decresing the speeds for all connection to 256 Kb/s

Have a look at the SS below a result of heavy youtube usage and maybe 2-3 movies (700MB) . FUP would be coming up soon >,<
 

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Would ranting here change anything :|

One more thing don't compare our plans to other countries .Only internet might be cheap in those countries ,there is fckuin huge amount of tax involved when living in those countries .How many of us here even pay taxes ??

I am NZ and i pay 120NZD for 10 megs connection with phone line .I agree that it is comparatively cheaper ,but read the following

1) My House Rent is 1200 NZD per month

2) GSTis 15% flat on everything .

3) I have to pay 15%-30% of what i earn.

When compared to all this i don't think so i am getting cheap internet and not mention the new bill which will be passed soon.
 
Ok since i'm on a senseless posting spree, let me post even more when i have the chance.

Lets say ISP A has 100 users in a city. Out of these 30% are leechers and rest are not. The leechers who are non ideal citizens, fill up their hdd's every 6 months, whereas the non leechers do not, for lets say years, since they

don't download and are ideal citizens. So every year the leechers get 2 new hdd's. Non leechers none.

Lets compare what the leechers give to the Govt. vs non leechers. First they pay the isp for the service. On that bill they get service tax of 10%. Say each leecher has taken a unlimited plan of 1500/- per month. The bill he gets without rent and only service tax applied would be 1500+150 = 1650.

The non leechers dont require costly unlimited plans and pay just 500 a month. So they pay 500+50 = 550.

So govt gets service tax of 30*150= 4500 from leechers and 60*50 = 3000 from non leechers.

See how that small percentage of people add to the Govt's resource by 1500/-?

Lets say the isp cuts the connection of every leecher. So govt looses 4500/- (not counting the extra income tax from the isp's end) and isp looses 45000/-. This is just from 30 users.

Considering that any isp has more a lac of subscribers, the amount will show a huge difference to the govt if everyone was to just shift to the lowest plan available.

Same story from the sale of hdd's. 2 hdd's sold vs 0. If you were a hdd seller which customer would you prefer? Tell me why would dealers spend crore's of rupees in getting a brick and mortar shop and start selling computers to retail users if they dont earn profits from the sales? Ultimately from the profits they earn they are paying taxes and adding something to the govt's treasury. And brick and mortar shop keepers have majority of their clients in retail, not corporates. Corporates usually go to other major computer manufacturers for their requirements. Every rupee counts to the govt. So people saying my logic is flawed should think again.

I can give even more arguments - why do hdd manufacturer's innovate and pack more data per inch on the products when isp's are complaining that people download junk to fill those up? Why does intel innovate and

make faster processors? why do the companies go to all this trouble in the first place? Technically speaking for non leechers, who only surf and read mail and chat, they don't require a dual core processor or a 250GB hdd or DDR3 ram at 1GHz. Still people buy such high end machines. Why?

Also if the internet was compared to the road network in India, then single people commuting to work should not spend a lot on cars and instead spend on bicycles. Cars are road hogs compared to the bicycles and don't give anything in return to the economy. They deplete petrol, hog parking and road space and add to chaos at traffic intersections. Bicycles, like dialup users can go at their own slow pace and not trouble anyone. So why spend lacs on some stupid car which runs quite fast and gets you from place A-B in an hour, when you can do the same with a bicycle at a fraction of the cost but at the cost of time?
 
Renegade said:
As opposed to they coming out with a press release that "this year we will make 4 times more profit by implementing FUP".

If they have to keep building capacities to service their existing greedy customers who want to pay in pennies, I dont think they will be able to increase the penetration. Even if the gov mandates it.

They dont have to build any capacity until they start saturating the existing ones first .

Again, are we still discussing FUP here? Should I assume that you are saying that operators are forced to implement FUP because of the Government? So FUP is not the devil.

That is not the ONLY criterion . There are a lot of others , but yes that is one of the steps the government can take to reduce marginal data costs which ISP's incur . And no we are not deviating from FUP . FUP's are a way for ISP's to increase overall profitability but assuming those calculations posted in Post #31 are correct , they are already making significant per user profits. Frankly i havent gone through that whole document but your post seems to suggest only private players are being blamed , which is wrong , private businesses merely respond to prevailing conditions . The government is also to blame .

And this is relevant how? Why is 2GB not sufficient for a PC? In fact I just went to the Airtel site and the unlimited connection is available for 900 pm. It has a throttling of speed at 8GB.

Again , I don't know about you , but i dont stream HD videos or play MMO games or watch MIT OCW videos on my mobile phones . Then again , maybe its just me .....
 
@ 6 pack your are right so india economy is getting worst due to increase Tariff price for petrol, taxi, pc rate ,broadband rate and much more due to stupid government are charge extra tax where they need money for spend their own motherboard at india even i am total disappointing with worst service at proper brand
p.s i have download far more than 500 gb per months and i never get any fup that i am using on tikona wireless broadband but very pathetic service and poor network connect .... :|


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but i cannot feel that my net frequency disconnected every 10-12 hour then i have reconnect the network and host again that might be irrigate me again at every day without any relax time :(
 
The argument here is being taken out of context. The issue, as I understand, is that ISPs charge more and provide less (through FUPs). This, I agree. ISPs in India can but will not provide cheap internet access. From some of the data provided in the posts above mine, I can see that they can provide continuous unlimited internet access at good speeds without implementing FUPs and still be earning profits. But they don't.
Whether I make use of the speed fully or partially or not at all, is not an issue, at least for now. Saturation cannot happen at the present level of internet penetration in India. So, all the talk about leechers and their contribution to economy, either way, doesn't make sense. Why should it bother others that I can find more than 50 to 100 GB of stuff to download every month?
And regarding wrong advertising, most ads mention unlimited downloads. They do not mention unlimited download at constant 4mbps or something like that. So, it will be useless to argue on this 'coz these companies will get away on this technicality. It is misleading, but not wrong per se.
To be honest, FUP doesn't bother me as of now, 'coz I'm not affected by the same and my requirements are quite modest. But to my cousin, who makes around 40GB of data transfer every month, FUPs are a PITA. The least he is expecting is a really fair usage policy, wherein speeds are reduced to 50% or even 33% of his plan after touching the FUP limit. Not a ridiculous 256kbps connection, a week into the month.
 
The big question is... Where is the data to show that majority users in India are chronic downloaders & are affecting the bandwidth of others therefore FUP is essential to maintain a good Internet experience for everyone... The bandwidth is there & as Gaurish pointed out earlier ISP's are sitting on it. There is no price regulation of third party bulk bandwidth re-sale & the cartel of AIRTEL + Reliance + TATA is exploiting the prices so that end users are suffering...

Now if they were giving FUP plans for 200 bucks a month for 2-4Mbps then it would have made sense but looking at the current prices when one has to pay 1-2k for a so called UL plan with FUP & after which you get back to 256kbps then its plain robbery... Comparing available bandwidth with penetration of Internet in India there is a huge surplus 'coz of unlit cable. Even if they install the equipment for utilizing that capacity the investment should return in a few years. Its not like that they have to change it every year...
 
FUP has its pros and cons, here the debate shows different colors of this issue but what needs to be thought is that users normally buys plans that suits there requirement. Here FUP plays truant as per many members but if we think as per ISP thinktank, the view would entirely change!
 
Let's say 1mbit/s of dedicated international bandwidth works out to have a value worth Rs4000 at a wholesale level, and the ISP gives a contention ratio is 1:10. That works out to a cost of Rs400 per customer, and if distributed equally is an allowance of about 32GB (since 1mbit/s can download about 320GB per month). If one person downloads 74GB, then the other 9 can theoretically share 246GB between them, which if distributed equally is just 27.3GB each (averaged out). Worse still, if one person download 150GB, then the other 9 can theoretically share 170GB between them, which works out to just 18.9GB each. If everyone is paying the same amount, I'm reasonably sure that if everyone wanted to try and download 100GB a month, they'd quickly find that 1. They couldn't and 2. Speeds would slow to a complete crawl.

i was thinking about why an isp would use the policy after reading this quote from McGarley again and again. Consider that an isp will dish out Rs 4000 to get the 1Mbit bandwidth ie. for around 320Gb of data. I don't know what speed the isp is giving but if the downloader can download around 74Gb a month it would be a 256Kbps connection i suppose. Rest of people have 246Gb to share, after the isp throttles the downloader. This is the part i cannot understand. why throttle the guy based on an "IF the rest will download that much" policy? Its hard to change someone's nature in the first place. A downloader will download no matter what. someone just browsing will continue to do so and will at the end of the month consume at the max 2-3Gb of data. So 9*3Gb = 27Gb consumed from the 246Gb that was allocated to them. Lets say, the downloader manages to further download around 10Gb from that time he was throttled. So total downloaded amount of data for all users is 74+10+27=111Gb and lets say amount uploaded was another 100Gb so total will be 211Gb out of 320Gb. So that remaining amount is practically wasted and the isp lost that amount when it could have let the downloader download to his hearts content. Or do these guys get that un-downloaded amount into next months quota? i suppose not since they buy bandwidth and not data.
 
HailStonE said:
The big question is... Where is the data to show that majority users in India are chronic downloaders & are affecting the bandwidth of others therefore FUP is essential to maintain a good Internet experience for everyone... The bandwidth is there & as Gaurish pointed out earlier ISP's are sitting on it. There is no price regulation of third party bulk bandwidth re-sale & the cartel of AIRTEL + Reliance + TATA is exploiting the prices so that end users are suffering...
Well, in that case nothing changes until Pacnet makes an entry into the market as that earlier Forbes article hinted at. If the govt makes it easier for other ISPs to enter the market then competition will bring prices down but there must be some period that the big three have agreed with the govt where they get the king's share.

HailStonE said:
Now if they were giving FUP plans for 200 bucks a month for 2-4Mbps then it would have made sense but looking at the current prices when one has to pay 1-2k for a so called UL plan with FUP & after which you get back to 256kbps then its plain robbery... Comparing available bandwidth with penetration of Internet in India there is a huge surplus 'coz of unlit cable. Even if they install the equipment for utilizing that capacity the investment should return in a few years. Its not like that they have to change it every year...
The question is why they introduced this practice recently :huh:

You would think they have a lot of leechers for customers which are affecting thoughput for others and profitability as a whole. But as we've seen these claims can be debunked or at least i think they can be assuming the data is reliable.
 
only thing is retain the fup if cant take back but not justify to make it 256kbps for 4mbps 2mbps 1mbps also and 512kbps.
 
Metalspree said:
Would ranting here change anything :|

One more thing don't compare our plans to other countries .Only internet might be cheap in those countries ,there is fckuin huge amount of tax involved when living in those countries .How many of us here even pay taxes ??

I am NZ and i pay 120NZD for 10 megs connection with phone line .I agree that it is comparatively cheaper ,but read the following

1) My House Rent is 1200 NZD per month

2) GSTis 15% flat on everything .

3) I have to pay 15%-30% of what i earn.

When compared to all this i don't think so i am getting cheap internet and not mention the new bill which will be passed soon.
what a utter crap, just read what you have posted again.....

1) House Rent is not cheap in India too when compared to income.

2) We have VAT and other taxes as well on everything we purchase.

3) What do you mean by how many of us pay our taxes? Every/almost every service class people have to pay taxes to the same tune of 10-30% you are talking about.

So come again, how much percentage of your salary do you pay for rent and internet?
 
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