Comcast may roll out data caps for all customers within 5 yrs, thinks cord-cutters should pay more

newarkhiphop

Moderator
Staff member
Supporter
Joined
Apr 30, 2012
Messages
37,202
Reputation
9,872
Daps
122,344
So much for Comcast's proposed merger with Time Warner Cable being good for your internet service. The cable giant's David Cohen tells investors that he expects "usage-based billing" (that is, data caps with overage fees) to reach all Comcast customers within five years. While he's not saying exactly when or how this would expand beyond the cap system's limited existing footprint, the company would gradually increase caps as demand goes up to make sure that the "vast majority" of users don't bump into it. Cohen doesn't anticipate having complex plans that force people to worry about their usage, but he warns that it's hard to make long-term predictions. "Five years ago I don't know that I would have heard of something called an iPad," he says.

Comcast may roll out data caps for all customers within five years

Comcast CMCSA -0.72% VP David Cohen predicts that the cable and media giant will move all of its broadband customers to usage-based billing plans within the next few years. at the MoffettNathanson Media & Communications Summit. Comcast is already experimenting with usage-billing models in some markets, with customers who pay for faster broadband speeds generally receiving a larger amount of data usage. For Comcast users in Atlanta, Maine and other select cities, the most common data cap currently stands at 300GB per month. Users who exceed this are charged (after an initial grace period) $10 extra for each additional 50GB of data usage.

The vast majority of cable customers fall far below this 300GB threshold. An FCC study conducted in 2012 showed a typical consumption rate of 40GB per month. Yet it’s easy to imagine that the figure has increased since then, with the rise of popular streaming shows like House of Cards and the growing popularity of streaming set-top boxes. And the upcoming onslaught of 4K streaming options will only increase data usage.

Among those who should definitely be concerned about overage charges right now are cord-cutters like myself, who have ditched a TV package in favor of a broadband-only service. In my four-person household, with Netflix NFLX -2.46%, Hulu Plus, and Amazon Prime subscriptions, we watch content on tablets, laptops, and desktop computers, in addition to a set-top box connected to our TV. Even with school and work hours restricting our home usage, we can still generate 200GB of usage per month and more, without much effort.
datausage.jpg

This screenshot shows the monthly broadband data usage from my four-person household as of early May.

Comcast’s proposed merger with Time Warner Cable TWC -0.59%, a move that would combine the nation’s No. 1 and No. 2 cable operators, is currently under review by both the U.S. Dept. of Justice and the FCC. Opponents of the merger highlight the fact that the deal would give Comcast control of 35% of the entire country’s broadband market. With cable and pay TV growth slowing, it’s expected that streaming services will continue to expand their reach with consumers. Comcast, while certainly trying to stem losses of video subscribers, is nonetheless looking for ways to keep the profits flowing if a significant number of consumers start to opt for broadband-only plans. And usage-billing is the most obvious approach. Comcast, its rather specious claims of cut-throat competition notwithstanding, could essentially say, Want to drop our TV service? Go ahead. But it’s going to cost you.

While Cohen argues for the fairness of heavy data users paying more, critics charge that Comcast is essentially double-dipping, as it already charges some content providers – most famously, Netflix – for faster access to its servers, ensuring buffer-free video delivery to Comcast users with Netflix subscriptions. In his statements, Cohen emphasized that, “we will always want [usage caps] at a sufficiently high level that the vast majority of our customers are not implicated by the usage-based billing plan.” Yet, he hedges this by saying that while he doesn’t want a model where customers are forced to buy different packages according to their usage, “five years ago I don’t know that I would have heard of something called an iPad. So, very difficult to make predictions.” While Cohen’s honesty is commendable, those are hardly reassuring words to those who are looking at streaming-only options as a way to save money on ever-increasing cable TV bills.
Comcast To Cord-Cutters: You Should Pay More - Forbes
 

invincible1914

G.O.M.A.B.
Joined
May 10, 2012
Messages
14,986
Reputation
1,490
Daps
33,551
Reppin
LSU, Saints, Alcorn, VCU
I've had Comcast for about 2 months. I thought Cox had shytty customer service, but Comcast my nikka these @ssholes just d-o-n-t c-a-r-e.
:mjlol: you ain't never lied. You damn near have to take off work if you have to call in customer service. The service is cool though, but they don't have the clout to start imposing data caps. Can you imagine a crappy company like Sprint pulling a stunt like that? This is a bad move....
 

msims

Bmore nicca
Joined
May 1, 2012
Messages
5,528
Reputation
1,032
Daps
13,942
Word because google is all asiatic brothers :beli:

Google is no saint....but they want this.

More people using internet =more people using google = more money for google

Google wants people using the internet....AS MUCH AS POSSIBLE.

Google will force Comcast / TW to change their mind, or end up like Microsoft and the Xbox One.​
 
Top