Netflix to pay Comcast for direct connection

Netflix has reached a deal with Comcast to ensure that its TV shows and movies are streamed smoothly to households, the first deal the online video streaming service has reached with an Internet provider.
The deal could lead to Netflix’s making similar pacts, known in the industry as interconnect agreements, with other major broadband providers like Verizon and AT&T.
The announcement comes as federal regulators wrestle with an issue known as Net neutrality, concerning broadband providers and whether they can slow down traffic to some particular websites or applications, potentially forcing content providers to pay for faster Web service.

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(Photo: Andrew Harrer/Bloomberg via Getty Images)

Netflix to pay Comcast for direct connection

Netflix has reached a deal with Comcast to ensure that its TV shows and movies are streamed smoothly to households, the first deal the online video streaming service has reached with an Internet provider.

The deal could lead to Netflix’s making similar pacts, known in the industry as interconnect agreements, with other major broadband providers like Verizon and AT&T.

The announcement comes as federal regulators wrestle with an issue known as Net neutrality, concerning broadband providers and whether they can slow down traffic to some particular websites or applications, potentially forcing content providers to pay for faster Web service.

Read more

(Photo: Andrew Harrer/Bloomberg via Getty Images)