Wednesday, December 7, 2011

Do Data Caps Alleviate Congestion?

It is an unquestioned fact that a small percentage of broadband users, on virtually any network, use vastly more data than typical users do. The top one percent of data consumers account for 20 percent of the overall consumption, for example. What isn't so clear is that data caps actually do anything to help manage congestion at peak hours.

Are heavy users the problem during peak hours? The question might seem silly. If the big problem for an access provider is peak hour congestion, then heavy users would seemingly have to be part of the analysis. But the question some would ask is “who are the heavy users, at peak hours?” That might be a different question than “who are the heavy users, over a billing period?”

Some might say heavy users are just good customers. Of course, usage is not revenue. Most access providers might argue that the best customers are those who pay the most each month, while using only as much data as most other typical users. Razorsight Blog

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