Cost Issues
Although the internet will fundamentally change many industries, the fact remains that streaming large amounts of data (such as video) over IP is still expensive. CDN’s (content distribution networks) are companies that provide the infrastructure (servers and pipes) required to reliably deliver data worldwide. As in other industries, the cost (usually priced per gigabyte) is a function of quantity. At the end of 2007, a rather small commitment of 750 GB per month costs about $1.50/GB while a commitment of 100,000 GB per month cost $.30 per GB (USD).