This is for new or re-activating customers in a congested area.
This isnt a random usage fee, this is for areas they claim are too busy, so you gotta pay if you want to gain access.
Its like when you call a contractor and they quote you a stupid high number. Its often because they’re too busy, but if you’ll pay the stupid high number theyll do it.
There was no world where SpaceX could support unlimited customers in a cell region.
Neither of those options would support everyone living in a high density urban area, bandwidth would drop to nothing and no one would want to buy it, and people generally hate inconsistent bandwidth, or random peak hour usage charges on their bill.
Edit: Their overall bandwidth per cell is just too low to be able to support everyone in high density areas like that.
Since the article doesnt make it clear
This is for new or re-activating customers in a congested area.
This isnt a random usage fee, this is for areas they claim are too busy, so you gotta pay if you want to gain access.
Its like when you call a contractor and they quote you a stupid high number. Its often because they’re too busy, but if you’ll pay the stupid high number theyll do it.
There was no world where SpaceX could support unlimited customers in a cell region.
Congestion pricing is the PC way to describe it.
Price gouging is the more honest term.
You can charge a fixed rate and ration bandwidth during peak use.
Or you can charge a variable rate in order to maximize revenue during peak demand.
One maximizes utility while the other maximizes profit.
Neither of those options would support everyone living in a high density urban area, bandwidth would drop to nothing and no one would want to buy it, and people generally hate inconsistent bandwidth, or random peak hour usage charges on their bill.
Edit: Their overall bandwidth per cell is just too low to be able to support everyone in high density areas like that.
That’s why dense urban communities prefer using ground fiber and big routing stations to cellar satellite, sure.
But now we’re talking about the real bandwidth capacities, not the pricing for connectivity.