Abstract: We are concerned with understanding why Internet Service Providers offer multiple tiers, and how they design tier rates, tier prices, and network capacity. We consider how to model users and ISPs in a manner that might explain tier design and tier subscription. We suggest that a model is required that considers (1) the time users devote to applications and (2) ISP tier design and pricing. With respect to the first problem, we propose a set of utility functions for web browsing and video streaming. With respect to the second problem, we examine how user demand for each tier depends on tier rates, tier prices, and network performance. We hope to discuss with economics researchers issues of demand correlation, consumption of products that require time, and models for duopolies. Bio: Scott Jordan is a Professor of Computer Science at the University of California, Irvine. His research interests include net neutrality, pricing and differentiated services in the Internet, and resource allocation in wireless multimedia networks. He has long studied incorporating economics into network resource allocation. During 2006, he served as an IEEE Congressional Fellow, working in the United States Senate on Internet and telecommunications policy issues.