New VuDu Service - A hex on ISP's ?

Vudu is a new video download service that uses a $400 box to download the movies that you purchase. However it also stores movies that you haven't purchases so others can download from yours or multiple boxes. The rumblings in the ISP community are high on the rictor scale for a service that is using their bandwidth to wheel their video service. In the electric utility industry this is called "wheeling" and there is a fee. Electric "wheeling" is when one utility buys power from a distant utility that is not close to an interconnect of their system. The utility that lets them use their wires to send one utility's power to another charges the fee. This really isn't that different. Put aside the fact that it will more than likely slow down the user's internet experience, it will most likely be turned into more than a video server. More and more ISP's are charging for bandwidth usage, not speed, download/upload amounts. These boxes will undoubtedly cause some upheaval among consumers when their ISP bill is larger than what they signed up. Hidden within the TOS in molecule print that they never read will be their answer to why.

Recent Industry News :

• Vudu, Iplayer and then there were three NetFlix
• Group Wants Wireless Banned
• BBC & ISP's at odds over Iplayer
• Lack of Wireless Makes You Crazy
• Warner Music Group Explores New Tax
• FCC Releases 3650 for Registrations
• FCC Bans Exclusive Cable Contracts
• Comcast blocks some Internet traffic
• FCC Expands Local Number Portability to VOIP