In sum, Comcast is not charging Netflix for transit service. It is
charging Netflix for access to its subscribers. Comcast also
charges its subscribers for access to Internet content providers
like Netflix. In this way, Comcast is double dipping by getting
both its subscribers and Internet content providers to pay for
access to each other.
It is true that there is competition among the transit providers
and CDNs that transport and localize data across networks. But
even the most competitive transit market cannot ensure sufficient
access to the Comcast network. That’s because, to reach consumers,
CDNs and transit providers must ultimately hand the traffic over
to a terminating ISP like Comcast, which faces no competition. Put
simply, there is one and only one way to reach Comcast’s
subscribers at the last mile: Comcast.
And conversely, for many of us, there is only one way to get high speed internet access at home: Comcast.