Does the Internet Need a Major Capacity Upgrade?

The recent surge of video sites such as Youtube and Google video are pushing the limits of the Internet’s bandwidth, or soon will be. Pieter Poll, chief technology officer at Qwest Communications, says that traffic volumes are growing faster than computing power, meaning that engineers can no longer count on newer, faster computers to keep ahead of their capacity demands. Further, a recent report from Deloitte Consulting raised the possibility that 2007 would see Internet demand exceed capacity. Admittedly, this seems a bit sensationalist, but are we headed for a massive slowdown of the whole internet?