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Author Topic: Time Warner To Try Bandwidth Caps, $1/GB Overage Fees  (Read 13408 times)

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Aegis

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Time Warner To Try Bandwidth Caps, $1/GB Overage Fees
« on: June 03, 2008, 11:05:35 PM »
http://www.insidetech.com/news/2235-time-warner-to-try-bandwidth-caps-1gb-overage-fees

 
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Time Warner to Try Bandwidth Caps, $1/GB Overage Fees

Associated Press / AP Online

June 02, 2008

NEW YORK – You’re used to paying extra if you use up your cell phone minutes, but will you be willing to pay extra if your home computer goes over its Internet allowance?

Time Warner Cable Inc. customers – and, later, others – may have to, if the company’s test of metered Internet access is successful.

On Thursday, new Time Warner Cable Internet subscribers in Beaumont, Texas, will have monthly allowances for the amount of data they upload and download. Those who go over will be charged $1 per gigabyte, a Time Warner Cable executive told the Associated Press.

Metered billing is an attempt to deal fairly with Internet usage, which is very uneven among Time Warner Cable’s subscribers, said Kevin Leddy, Time Warner Cable’s executive vice president of advanced technology.

Just 5 percent of the company’s subscribers take up half of the capacity on local cable lines, Leddy said. Other cable Internet service providers report a similar distribution.

“We think it’s the fairest way to finance the needed investment in the infrastructure,” Leddy said.

Metered usage is common overseas, and other U.S. cable providers are looking at ways to rein in heavy users. Most have download caps, but some keep the caps secret so as not to alarm the majority of users, who come nowhere close to the limits. Time Warner Cable appears to be the first major ISP to charge for going over the limit: Other companies warn, then suspend, those who go over.

Phone companies are less concerned about congestion and are unlikely to impose metered usage on DSL customers, because their networks are structured differently.

Time Warner’s tiers will range from $29.95 a month for relatively slow service at 768 kilobits per second and a 5-gigabyte monthly cap to $54.90 per month for fast downloads at 15 megabits per second and a 40-gigabyte cap. Those prices cover the cable portion of subscription bundles that include video or phone services. Both downloads and uploads will count toward the monthly cap.

A possible stumbling block for Time Warner Cable is that customers have had little reason so far to pay attention to how much they download from the Internet, or know much traffic makes up a gigabyte. That uncertainty could scare off new subscribers.

Those who mainly do Web surfing or e-mail have little reason to pay attention to the traffic caps: a gigabyte is about 3,000 Web pages, or 15,000 e-mails without attachments. But those who download movies or TV shows will want to pay attention. A standard-definition movie can take up 1.5 gigabytes, and a high-definition movie can be 6 to 8 gigabytes.

Time Warner Cable subscribers will be able to check out their data consumption on a “gas gauge” on the company’s Web page.

The company won’t apply the gigabyte surcharges for the first two months. It has 90,000 customers in the trial area, but only new subscribers will be part of the trial.

Billing by the hour was common for dial-up service in the U.S. until AOL introduced an unlimited-usage plan in 1996. Flat-rate, unlimited-usage plans have been credited with encouraging consumer Internet use by making billing easy to understand.

“The metered Internet has been tried and tested and rejected by the consumers overwhelmingly since the days of AOL,” information-technology consultant George Ou told the Federal Communications Commission at a hearing on ISP practices in April.

Metered billing could also put a crimp in the plans of services like Apple Inc.’s iTunes that use the Internet to deliver video. DVD-by-mail pioneer Netflix Inc. just launched a TV set-top box that receives an unlimited stream of Internet video for as little as $8.99 per month.

Bend Cable Communications in Bend, Ore., used to have multitier bandwidth allowances for Internet customers but abandoned them in favor of an across-the-board 100-gigabyte cap. Bend charges $1.50 per extra gigabyte consumed in a month.


Same whiny refrain the providers have had for the last fifteen years!  I seriously think we should ALL unplug for a few months -- then we'd see what tune they sing!  Yes, I know infrastructure costs money, but we've paid and paid.  What happened to all the so-called spare bandwidth from the dot-com boom?

I suppose one could say they're trying to restrict the high-volume users, but I still think it's the same old song...


"For you, a thousand times over." - "The Kite Runner"

patio

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Re: Time Warner To Try Bandwidth Caps, $1/GB Overage Fees
« Reply #1 on: June 04, 2008, 07:36:42 AM »
I'm with you 100%% on this one...
You should start an Unplug for a Month crusade...
" Anyone who goes to a psychiatrist should have his head examined. "

Computer Hope Admin

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Re: Time Warner To Try Bandwidth Caps, $1/GB Overage Fees
« Reply #2 on: June 04, 2008, 10:49:30 AM »
I'd also be with you, but there is no way I'm unplugging my connection for a month. ;)
Everybody is a genius. But, if you judge a fish by its ability to climb a tree, it will spend its whole life believing that it is stupid.
-Albert Einstein

Aegis

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Re: Time Warner To Try Bandwidth Caps, $1/GB Overage Fees
« Reply #3 on: June 04, 2008, 01:47:08 PM »
I've thought about it, but I don't think I'd get enough takers...


"For you, a thousand times over." - "The Kite Runner"

michaewlewis



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Re: Time Warner To Try Bandwidth Caps, $1/GB Overage Fees
« Reply #4 on: June 04, 2008, 03:29:07 PM »
I haven't had internet at home for three months. ;)

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Re: Time Warner To Try Bandwidth Caps, $1/GB Overage Fees
« Reply #5 on: June 04, 2008, 05:06:26 PM »
Impossible!  :D
Everybody is a genius. But, if you judge a fish by its ability to climb a tree, it will spend its whole life believing that it is stupid.
-Albert Einstein

Aegis

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Re: Time Warner To Try Bandwidth Caps, $1/GB Overage Fees
« Reply #6 on: June 04, 2008, 06:58:24 PM »
Certainly unusual!  In the context of this thread, good for you!


"For you, a thousand times over." - "The Kite Runner"

Broni


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Re: Time Warner To Try Bandwidth Caps, $1/GB Overage Fees
« Reply #7 on: June 04, 2008, 07:46:21 PM »
I'm in.
I'm in always, regardless of subject, if some suckers have to be thought a lesson.

quaxo



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Re: Time Warner To Try Bandwidth Caps, $1/GB Overage Fees
« Reply #8 on: June 06, 2008, 09:04:19 PM »
This is actually very similar to the pricing scheme they used in Thailand until a few years ago. The government used to tax every minute of the internet (dial-up, DSL, and cable), but they stopped this a few years back.

Now, dial-up is still pay-per-minute, but DSL is unlimited per month. For DSL now, you pay for speed with prices ranging from 590 baht (approx. US$18) per month for 512kb down/256kb up to 3000 baht (approx. US$90) per month for 5mb down/512kb up.

Broni


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Re: Time Warner To Try Bandwidth Caps, $1/GB Overage Fees
« Reply #9 on: June 06, 2008, 09:21:03 PM »
Pretty steep prices...What's the average pay in Thailand?

Aegis

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"For you, a thousand times over." - "The Kite Runner"

quaxo



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Re: Time Warner To Try Bandwidth Caps, $1/GB Overage Fees
« Reply #11 on: June 06, 2008, 09:40:12 PM »
The average Thai probably makes 12,000-20,000 (US$375-$625) baht per month, depending on qualifications. Some people get paid even less. Farmers, fisherpersons (politically correct fishermen? haha), laborers, etc. make even less than that.

But yeah, the prices on internet are still pretty steep, not as bad as they used to be, but still too much. And you don't really get what you paid for. Internet here is crappy and unreliable. Those speeds are only guaranteed within Thailand and not for international connections, and even locally they only guarantee you 80% speed. So as long as your connection to the ISP's servers reaches 80%, it doesn't matter what your connection to websites located outside Thailand is.

There are also only 4 international connections in Thailand, and if one of those goes down you might as well forget about accessing anything that's not hosted in Thailand (which happens about once a month).

-=EDIT=-
One of the links Aegis made actually brought up a good point.

The figures I've stated are only for Bangkok. There are people in rural areas that make even less. To be honest, comparing Bangkok to rural areas is like comparing apples to oranges... two completely different things.

But for the point of my original post, statistics for Bangkok and other hubs (Chiang Mai, Phuket, Pattaya) are the only really important ones. A lot of rural areas don't have access to computers or high speed internet or even telephone lines for that matter... but they all have cell phones, believe it or not.

Broni


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Re: Time Warner To Try Bandwidth Caps, $1/GB Overage Fees
« Reply #12 on: June 06, 2008, 10:05:59 PM »
So, when the heck are you coming back?

quaxo



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Re: Time Warner To Try Bandwidth Caps, $1/GB Overage Fees
« Reply #13 on: June 06, 2008, 10:18:51 PM »
Waiting for my girlfriend's visa to finish, which could be anywhere from 6 months to a year. As soon as that's finished, we're heading there.

Broni


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Re: Time Warner To Try Bandwidth Caps, $1/GB Overage Fees
« Reply #14 on: June 06, 2008, 10:50:02 PM »
Quote
which could be anywhere from 6 months to a year
WOW!