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Netflix Is Now Paying AT&T So Your Videos Stream Faster

Netflix Orange is the new Black
Netflix Orange is the new Black

AP

"Orange Is The New Black" star Taylor Schilling.

Netflix has agreed to pay AT&T in an interconnection agreement that will allow for more-reliable streaming speeds for wired broadband customers, Mashable first reported and later confirmed with AT&T.

Netflix already has similar deals with Verizon and Comcast.

The interconnection agreement means Netflix will take on the costs of delivering streaming content to AT&T subscribers. It pays off, too. Netflix says Comcast customers are getting faster speeds since the agreement.

A Netflix spokesperson told Business Insider in a statement that AT&T customers should start noticing improved connections soon:

We reached an interconnect agreement with AT&T in May and since then have been working together to provision additional interconnect capacity to improve the viewing experience of our mutual subscribers. We're now beginning to turn up the connections, a process that should be complete in the coming days.

But Netflix thinks it shouldn't have to pay internet providers, which is why it stands firmly on the side of net neutrality advocates who believe all traffic on the internet should be treated equally. Earlier this year, Netflix tried to get AT&T to allow direct access to its customers for free, but that didn't work out.



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