Commentary

Restrictions on File Distribution Impacts Broadband Perception

Restrictions on File Distribution Impacts Broadband Perception

In a recent release by Horowitz Associates/Livingston and Company of Digital Rights Management, one of the topics covered in High Speed Data: Challenges and Opportunities shows that 47% of current broadband subscribers say that being restricted from using their computer as a server to distribute files to others would have a negative impact on their overall perception of HSD, and 41% say their perception would be negatively impacted if they were restricted from exceeding 30 gigabytes of total files downloaded in a month.

Importantly, the data suggest that consumers might be willing to pay a nominal fee to download copyrighted materials, rather than have restrictions imposed on their personal PC usage. The report reveals that 37% of those who download material from the Internet say they are very likely/likely to pay a reasonable price for those downloads, if by paying for them they would receive better quality, more convenience and more speed when downloading. According to the study, 39% of all Internet subscribers in cable modem markets frequently or occasionally download, stream or purchase music, movies and videos from the Internet.

Howard Horowitz, president of Horowitz Associates, Inc., says "Digital technology is a double-edged sword for both content and service providers. Consumers value the choice and control that come along with broadband service, and they are willing to pay for it. Content and service providers will have to agree on terms that don't alienate consumers by taking away that newfound choice and control they enjoy."

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