[via Vinu] Engadget writes:

The folks at GridNetworks, working in conjunction with content providers, are confident that they could get the CDN portion of the above scenario to well under 400 Terabytes. And, even more importantly, by pushing the data to the end-user grid in advance they would be able to lower the peak bandwidth requirements by at least another order of magnitude. The result is an extreme cost savings for the content providers.

Why does that matter to you? That’s simple. It means more content. You see — there are vast libraries of content sitting in vaults blocked by (among other things) delivery costs. It stands to reason that if an episode of “It’s Like, You Know” costs 50 cents to deliver, it’s got to sell for more than 50 cents, and, as great as the show was, few people are going to pay more than 50 cents to watch an episode. If, however, you can cut those delivery costs down to 5 or 10 cents, there’s a whole new market to be had.

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Rajesh Jain

An Entrepreneur based in Mumbai, India.