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Premium broadband services are simply
prioritized delivery services offered by a broadband service provider
in conjunction with an InterStream Mediated Bandwidth Agreement. The InterStream MBA defines standard terms for providers and members in the economy. An
InterStream MBA is an extension of standard
peering and transityagreements made between network providers and content providers. Mediated Bandwidth Agreement
enables additional service levels beyond "best-effort"
service
level so that a broadband provider may receive incremental payment
traffic receiving guaranteed service. Payments for the guaranteed
service are held in escrow by nuMetra until the transaction completes and has met the service level required.
nuMetra, InterStream's Escrow & Metering provider, also enables
this service via technology known as TCP Mustang.
Under this arrangement, ordinary peering agreements may be used
with nuMetra's technology.
TCP Mustang packet scheduling algorithms designed to mediate the
network and enable InterStream Transit providers to properly offer downstream broadband connections with measurable quality.
InterStream broadband providers who have signed the InterStream
escrowed settlement agreement may license nuMetra's stateless mediation
contoroller technology. nuMetra's technology insures
that downstream bottlenecks provide fair service to all flows while
providing guaranteed levels of service for the ISTP
streams using industry association set metrics. In essence, the
combination of InterStream and nuMetra
allow broadband providers to maximize the billable capacity of their
networks while measurably improving the quality of experience for their
users.
Contractual Agreements: Published Rack-Rate, Private Preferred, and Open Market Pricing
Depending on which jurisdiction the MBA is administered, broadband
service providers may
independently set the prices of their premium services or charge their
subscribers a flat-rate premium for InterStream service.
Currently, leading experts in net
neutrality, telecom law, and media, are defining the terms of this
agreement for specific jurisdictions where law or public policy
mandates incremental fees to be paid only by broadband consumers. This
agreement may include simple provisions for broadband providers
to charge a flat rate fee for branded ISTP service if they meet the association
quality requirements.
In addition, other types of pricing
agrements may be established in other jurisdictions; Specifically there
are three tiers of proposed pricing: a published
rack-rate price, an open market price, and a private preferred price.
Rack-rate pricing enables anyone using ISTP to stream with high quality by purchasing bandwidth in the system.
Open market
prices are intended to offer high quality streaming services to those
content companies who wish to participate as members of the InterStream
association. They may directly negotiate their prices with any
InterStream broadband provider. Private, or preferred
pricing agreements, are intended to
be directly negotiated between the escrow and metering company and
broadband providers. The preferred pricing is offered to a "buyers
club" of InterStream charter members.
The InterStream Escrow system is “blind”
to any specific transaction price, but will track aggregate
discounts, provided by all broadband service providers
to all ISTP account holders.
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