Managers from Google (GOOG) are trying to make the case that the internet is not made for distribution of full-length video. And, a number of large cable companies appear to agree.
The argument being put forward is that the internet does not scale well enough to handle the traffic load being built by services like YouTube and Joost, the service for peer-to-peer TV being started by Skype’s founders.
Google’s statements about the problem don’t appear to be specific enough to yield much information about how much more load the internet can take. But, to illustrate the point, Reuters reports that one hour of video contains about the same amount of data as one year’s worth of e-mail.
It is also unclear whether Google’s warnings will impact the TV-over-IP services being launched by Verizon (VZ) and AT&T (T) in the hope that they can keep pace with cable companies in terms of product offerings.
Bringing the internet to its knees. Interesting picture.
Douglas A. McIntyre can be reached at [email protected]. He does not own securities in companies that he writes about.
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