Gilbert

Only in Texas.

Less than a day after the Texas Department of Agriculture unveiled its statewide broadband map, an opposition candidate running for the office of Agriculture Commissioner dismissed it as a re-election scheme that will never benefit rural Texas.

Hank Gilbert, the Democratic agriculture commissioner candidate, criticized the incumbent commissioner’s efforts as a cheap stunt that took four years to deliver and wasted taxpayer money.

“This is yet another stupid, sleazy, ‘look-at-me’ political trick designed to cover up the fact that he’s one of the best at wasting tax money in the history of the state,” Gilbert said. “That map will do nothing for people without broadband access.  I’m sure people on landline modems will be grateful to Todd—after the 45 minutes it takes them to actually view the map to determine, sure enough, that their area isn’t served by broadband,” Gilbert continued.

Gilbert is referring to a joint broadband mapping project by the Texas Department of Agriculture and telecom industry front group Connected Nation, which is stacked to the rafters with telecom industry executives with a vested interest in making sure those maps reflect the industry’s interests.

Current commissioner Todd Staples released the map with great fanfare, claiming 97 percent of Texas already had access to broadband service, with just three percent, representing 250,000 Texans without.  Those numbers were debatable, considering Connected Nation was involved.  In earlier mapping efforts, the group claimed ubiquitous broadband was already available over large sections of several communities, even though it turned out many of those homes could not qualify to receive the DSL service the group said was available.

Gilbert put a less fine point on it:

Texas Broadband Map (click to enlarge)

“Aside from the fact that he considers the federal stimulus dollars for broadband an excuse to gain further name recognition, what has Todd Staples really done to increase broadband connectivity in Texas,” Gilbert asked. He also questioned why TDA officials have said publicly, in the weeks prior to the map’s unveiling, that they didn’t know what areas of Texas were not served by broadband or high-speed internet access.

“It is a sad day when the agency and commissioner in charge of making sure rural areas get broadband don’t know which areas are underserved. It’s even more sad that the TDA had to depend on a public-private partnership with a non-profit agency to figure it out. I don’t think it will come as a surprise to anyone that telecom companies have far more granular information on existing service areas,” Gilbert said.

“Based on the information available on the website Staples is touting, anyone with a pulse, vocal chords, and the ability to dial the keys on a telephone could have collected this information from providers. I don’t see why it has taken Todd Staples nearly four years to do this,” Gilbert said.

Gilbert is apparently new to the broadband availability debate.  Telecom companies treat specifics about their broadband service areas and speeds as proprietary business information and will not disclose it to the government or any other third party, claiming it needs to protect the information for competitive reasons.  Earlier efforts to collect this information in other states met with stonewalling from providers.  Even the federal government has been unable to gather street-level statistics on broadband service from some providers.

But Gilbert has a point that a map project, especially with an industry front group in the mix, does not actually bring broadband to anyone.  Too often, such maps are used to block would-be competitors from getting federal broadband grant money, with nearby providers claiming the maps show the funding would help a community already served by broadband, even if it was not.  They also help paint a helpful picture for an industry seeking funding for middle-mile projects that divert broadband stimulus funding to help incumbent providers enhance their networks at the public expense.  In short, Texas cable and phone companies get to argue the stimulus program is a waste of money (unless they are recipients) because Texas doesn’t have a broadband problem.

Cue the Texas Cable Association:

“The map shows that less than 1 percent of all Texans cannot access some form of broadband, whether, wired, wireless or mobile. Yet – without this information – the federal government awarded more than $200 million in grants and loans to projects in Texas. Some of these projects propose to duplicate service in an area already served by multiple broadband providers.

“In addition, the federal government set a deadline for second-round funding applications that forced the Texas Department of Agriculture to again make recommendations without the benefit of the mapping data.

“As the federal government considers these new applications, the Texas Cable Association urges it to make its decisions based on the new Texas broadband availability map.

“Taxpayer dollars – in the form of government grants – should not be used to duplicate services or to provide free capital that allows grant winners to gain market advantage over private companies that have invested millions of dollars of their own money to make broadband available.”

The state cable lobby even has a 30 second ad running, thanks to the help of the mother-of-all-astroturf groups, Broadband for America — a front group for big cable and phone companies.

Click here to view the embedded video.

The Texas Cable Association has this not-too-subtle ad promoting private investment in broadband, suggesting Texas telecoms are helping, not hurting consumers and businesses.  (30 seconds)

The Staples campaign responded to Gilbert’s accusations Texas-style — by accusing their opponent of being a crook.

Staples’ campaign manager Cody McGregor said:

“Our opponent has a criminal conviction for theft, unpaid taxes, current tax liens, and allegedly accepted a bribe for $150,000. I hope all Texans will gain access to the Internet and have the ability to view www.guiltyguiltygilbert.com and get the facts about our opponent and his campaign’s trouble with telling the truth.”

Staples’ website is way over the top, accusing Gilbert of being a “villainous Obama Democrat” who is guilty of not wearing his seatbelt and being stupid.

Todd Staples owns stock in at least two telecom companies, AT&T and Fairpoint Communications, the latter of which is probably not helping his portfolio too much considering it declared bankruptcy.

Read Gilbert’s “fact sheet” on Todd Staples’ broadband mapping project below the jump.

Click here to view the embedded video.

And you thought your state’s campaign ads were too negative.  The Staples campaign goes back to the old west to drive home a message about their opponent.  (1 minute)

FACT SHEET

Rural Broadband: Another Excuse For Todd Staples To Look Busy

FACT: Todd Staples’ staff publicly admitted that they wouldn’t know what areas of Texas really needed broadband service until a non-profit operating in a public-private partnership with the state provided them a map showing those areas. [“Boosting Broadband,” TriBlog, The Texas Tribune. June 2, 2010. LINK]

FACT: The finding that a one-percent increase in Texas broadband penetration would bring the state 21,100 new jobs, while a three-percent increase would result in 63,300 new jobs was widely publicized as far back as the summer of 2007. [“The Effects of Broadband Deployment On Output and Employment: A Cross-Sectional Analysis of U.S. Data.” Robert Crandall, William Lehr, and Robert Litan. Issues In Economic Policy, No. 6. July 2007. LINK]

FACT: The magical broadband data maps touted by Todd Staples were not crafted in any special or complicated way. It was simply a compilation of data provided by service providers:

This map, as of May 28, 2010, includes data provided by 123 Texas high-speed Internet providers. In Texas, 97% of households have access to terrestrial fixed broadband service of at least 768Kbps downstream and 200Kbps upstream (excluding mobile and satellite services) – leaving approximately 258,000 unserved households – or 3% – that do not have access to a fixed wireless or wired broadband service offering. With mobile broadband service included, 99% or 7.35 million Texas households have access to broadband service of at least 768Kbps downstream and 200Kbps upstream. [Connected Texas: Interactive Map. LINK.]

Although the maps provide interactive components, the data itself came from service providers, which could have easily been compiled by TDA staff.

FACT: Todd Staples’ office noted almost a year ago that his agency had completed a survey of local governments relating to broadband access which would allegedly lead the department to develop a list of “priority broadband corridors” to help guide recommendations for federal Broadband Technology Opportunities Program (BTOP) grants. To date, the agency has announced no such corridors. [Texas Department of Agriculture Press Release, August 12, 2009. LINK.]

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Time Warner Cable changed their billing system for San Antonio residents late last year, and some customers using automatic bill payment services forgot to update their bank with their new Time Warner account number.  The result?  Missing payments and past due notices.

The decision to issue new account numbers has caused delays in posting payments made under the old number, and some consumers are concerned about late fees and payments not posting to their accounts.

Company officials recommend customers double check their online bill payment services to make sure they reflect the new account number.  Time Warner promises to work with customers who are experiencing problems as a result of the billing system change.  Customers in San Antonio can call (210) 244-0500 or check their website for directions on how to correctly make payments on your account.  If you are billed any late charges, ask the company to waive them.

Click here to view the embedded video.

WOAI-TV in San Antonio ran this story about customers running into the “missing payment” problem with Time Warner Cable. (1 minute)

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Road Runner Turbo customers in south Texas can expect to receive more speed for their money soon.

Time Warner Cable is boosting speeds for Turbo customers in Corpus Christi, Del Rio, Eagle Pass, Laredo, the Rio Grande Valley and Uvalde.

“We are very excited to offer this upgrade and time-saving feature to our Road Runner customers,” said Gavino Ramos, vice president of communications for Time Warner Cable South Texas.

Downstream speeds increase from 10 to 15Mbps and upstream speeds are doubled from 1Mbps to 2Mbps.

The price for Turbo service remains unchanged.

Although the exact date for the upgrade is unclear, customers can check if the upgrade is completed in their area by following this company-recommended procedure:

1. Unplug the cable modem and wait 60 seconds.
2. Plug the cable modem back in. The lights will flash as it reconnects to the network.
3. When the modem lights are solid again, restart your computer and experience the new faster speed.

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GVTC Communications yesterday launched 40Mbps service across its service area — the Hill Country north of San Antonio — marking a new broadband speed achievement for south Texas.

The company providing the service is about to reap the rewards of a $35 million investment in a fiber-to-the-home network reaching 80 percent of customers in North San Antonio and the Hill Country.  The new premium speed tier bests the company’s current 20Mbps service, and also includes 10Mbps upstream speed for $89.95 a month with a contract.

GVTC says it can deliver even faster speeds, upwards of 100Mbps, but wants to see what kind of demand they have for 40Mbps service first.

GVTC’s speeds will leave San Antonio’s Time Warner Cable and AT&T U-verse customers drooling.  GVTC speeds achieve nearly twice the speed of either provider, and leaves them in the dust when comparing upload speeds.  The company provides true fiber connections straight to customer homes, not the fiber-copper systems both cable and AT&T rely on.

Click here to view the embedded video.

GVTC Communications explains the benefits of fiber to the home service.  (4 minutes)

GVTC believes upstream speeds are particularly important for the area’s small businesses, as well as families with multimedia to share.

AT&T U-verse last week announced a speed upgrade to 24Mbps service in San Antonio, but their upstream speed tops out at 3Mbps.  Time Warner Cable currently provides San Antonio customers up to 15Mbps service with 2Mbps upstream speeds.

Time Warner Cable spokesperson Jon Gary Herrera said the company will respond with an upgrade to DOCSIS 3 in San Antonio as soon as the first half of 2010.  The upgrade, dubbed “Wideband” in marketing materials, will provide connections up to 50Mbps downstream and 5Mbps upstream.

Click here to view the embedded video.

On September 13, 2007 KSAT-TV San Antonio ran this report about Boerne getting new fiber optic access through GVTC.  (2 minutes)

That GVTC Communications was able to handily beat both AT&T and Time Warner Cable in both product offerings and fiber optic deployment may be a result of the company’s status as a non-profit cooperative.  The more revenue the company brings in, the more the company returns to its customers in the form of Capital Credits.  GVTC has always been a major innovator in Texas, being the first phone cooperative in Texas to launch cable television service in the 1980s and the company began using fiber in the 1990s.  The company’s service area spans 2,000 square miles and eleven counties, some rural.  Despite questions about whether wiring rural customers would provide sufficient return, the company went ahead with the project anyway, which today permits the cooperative to enjoy revenue from telephone, television, and broadband service.  It also permits many of their less-urban customers to enjoy the same level of service as the “big city folks.”

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Readers of the San Antonio Express-News discovered a blazing headline today on the newspaper website: Time Warner to add Internet meters for San Antonio.

When Bryan Lee wants to see just how much bandwidth his Internet connection gobbles up, he logs on to a Web site that tracks his usage on a daily basis.

The 31-year-old project manager for a Dallas-based software company is one of Time Warner‘s proverbial guinea pigs in the cable company’s ongoing test of metered service in Southeast Texas.

Before moving to Lumberton, a small town about 12 miles north of Beaumont, he enjoyed unfettered downloads. Nowadays, his monthly usage is capped at 40 gigs. And there’s an extra incentive in place to make sure he’s keeping downloads and video streams in check: overage fees.

“I look at the meter probably once a week,” he said. “It really changes your mind-set with this whole overages thing. You become fearful of going on the Internet.”

After bowing to backlash from customers and Congress over plans to change pricing for Internet usage, Time Warner Cable is moving forward with plans to outfit customers in San Antonio and three other markets with similar measurement tools.

The cable company is hoping the “gas gauges” will make it easier to eventually try again at implementing a billing structure that charges customers varying rates based on Internet usage.

StoptheCap! readers Jimmy and Sebastian noted the article, and the ranting and raving from outraged subscribers down in San Antonio — more than 65 in just the last few hours alone.  It’s good to see subscribers are just as mad as they were two weeks ago when the cap “experiment” was on before it was off.  And as we have been warning all along, it’s going to be “on” again real soon.

I dropped a comment over there encouraging readers not to simply limit their anger to the comments section on mysanantonio.com, but to also get their butts over here and start getting educated, informed, and prepared to do battle with Time Warner the instant the Time Warner Money Party is back on again.

If you’ve arrived here today because of that comment, welcome to the fight.  We’re ordinary subscribers of broadband service from many different companies and in many different cities.  We share one thing in common – NO CAPS! Many of the folks you will encounter in our own comment section are also victims survivors of the Time Warner experiment in April in Austin, Rochester, San Antonio, and Greensboro/Triad, NC.  We’re all working together to effectively resist money grabs by big cable.

You will find an enormous number of articles, video and audio clips, references, and news here documenting the whole sorry affair.  Please bookmark this site and stay in touch.  We will have calls to action on a regular basis to effectively keep abusive business practices at bay.

If you’re new, you can find the Comments button adjacent to the headline of the article.  Click it and say hello and tell us your story and views.

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As we continue our journey across the cities that were originally intended to be part of Time Warner’s experimental caps, it’s not difficult to see that viewers had been complaining long and loud, not just to Time Warner, but also to area TV station news departments.

The temporary suspension announcement reached San Antonio late in the afternoon on Thursday, April 16th.  Same upset customers, same talking points from Time Warner that “education” is all that is needed to cram a rate hike and ration plan on customers.  They still don’t get it.

This was probably a quick report for the late afternoon newscast.  No packaged piece here.  But the anchor makes it clear customers didn’t like it, and also gave Time Warner’s views, making it balanced.

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StoptheCap! reader Corey is back in touch this afternoon to say he just completed a phone call with a Level 3 Road Runner service technician in San Antonio.  He asked the technician what he knew about the caps.  Here is what Corey relays back to us:

He told me “as of our most recent meeting yesterday morning, we will be coming out with a meter to show people their actual usage and will be introducing the consumption based billing sometime in October with actual billing beginning in January.”

He also said the billing was required, “because we are coax based and not fiber optic, so we do have problems with people streaming high definition video and causing congestion in large residential areas, especially apartments and mobile homes.”

Now I have no idea whether these kinds of techs have this kind of information or not.  It might be true, it might not.  It sounds a bit like what the original “revised” plan was before last Thursday when Senator Schumer announced the whole thing was shelved for now.  But it would hardly surprise me if this was their actual intent.  I have no doubt that this fight isn’t over.  I also think it’s becoming obvious that the ‘listening tour’ company officials keep putting out there is window dressing.  As I told Senator Schumer’s office last week, I’m fully expecting that Time Warner will bring back the exact same nonsense all over again, except the summer of the gas gauge will be their attempt to placate customers about how much usage they have, if you believe their gauge and if your usage doesn’t fluctuate between the nicest weather of the year and the lousiest.

I will be working this issue behind the scenes next week.  If this is true, it isn’t exactly the consultation with the community the company was promising last week.  It’s just more of the same.  If you are in San Antonio, perhaps you can manage to land a discussion with another Tier 3 rep and get the same, or a different story, and report back in our comments section.

This is why we stay engaged in the fight, and why everyone else must as well.

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[Update 3:20pm EDT: Corey writes back with some minor corrections:  "Standard Service is now 15Mbps down/2Mbps up; Turbo is 25Mbps(ish) down/2.5Mbps up" for him.  Don't forget Powerboost may play with your numbers on the download.]

You’ve just alienated the majority of your customer base with a harebrained scheme to Cap ‘n Tier people into the Internet circa 1990, and that didn’t work and a whole lot of people canceled.  So what do you do to placate the masses?

Increase their speed!

Before: Some of our heavy users (a/k/a Turbo tier customers I’ll bet) are using too much of our service and they are costing us too much.  We need to charge more and cap you to invest in better equipment.

Today: “As a valued (San Antonio) Time Warner Cable customer, we have automatically upgraded your download speed from Road Runner Turbo 10 Mbps to our new Road Runner Turbo 15 Mbps speed at no additional cost to you. More importantly, we’ve upgraded your upload speed from 1 Mbps to 2 Mbps for FREE.”

StoptheCap! reader Corey is confused:

“The ONLY thing that makes sense is that by increasing speeds and usage (especially upload speeds), they are trying to create congestion so that they get problems and complaints to base their “facts” on, so that they have ammunition to come back with at a later time.”

It could be that.  Or it could also be the fact the exaflood theory they based their earlier arguments on doesn’t hold a cup of water.  It does seem odd that they would increase speeds for the customers they claim were causing a lot of their “problems.”  Perhaps they also lost a whole bunch of those customers over this Cap ‘n Tier business and they want to get them back.

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As we entered the second week of the public firestorm against Time Warner’s broadband usage cap nightmare, the enormous pushback began to make an impact.  Time Warner’s two Texas systems, in Austin and San Antonio, finally decided to back off from the tier experiment for the summer.  This came before the eventual “suspension” of the tier experiment late last week, but for San Antonio, it provided a glimpse of hope that customer reaction would make a difference.

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After skeptical reviews from the media (and online groups like ours) about Time Warner’s original proposal to create broadband tiers that ended up not saving any customer a penny, the company quickly announced a 1GB slower tier for the light user. San Antonio learned about the plan in a brief report, but no details about the fact that exceeding that 1GB tier would cost your 200 pretty pennies for each gigabyte that followed.

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I have been getting news tips {thanks Carsten, J, and others) about newspapers in Texas reporting that the Texas Internet Rationing Plan from Time Warner has been “postponed” until October, and this represents some sort of consumer victory.

Hardly.

First, this is not exactly breaking news.  Landel Hobbs, Time Warner’s COO, already made mention the cap plan would begin implementation in Austin and San Antonio in October, presumably with a trial period.  It sounds like Mr. Hobbs, bless his heart, already knew about the “consumer victory” that comes “as a result of complaints” before the Time Warner folks on the ground down in Texas knew, because they only started speaking about it this week.

Trials will begin in Rochester, N.Y., and Greensboro, N.C., in August. We will apply what we learn from these two markets when we launch trials in San Antonio and Austin, Texas, in October, but we will guarantee at least the same level of usage capacity in these trials.

Now, actual billing starts in January, up until they change their minds again.

A trial program intended to charge varying rates depending on usage was slated to begin this summer. The decision to delay the meter program was prompted mostly by customer reaction, said Gavino Ramos, Time Warner’s vice president of communication for South Texas.

“What happened as we’re continuing to listen was we worked in some of the comments and ideas that got sent to us,” Ramos said. “We came to the realization, let’s do this in October.”

Meanwhile, Rochester is the big “lucky winner,” joining Greensboro in starting the Internet Rationing Plan in August.  I suppose it was inevitable our two cities come closer together, considering a whole lot of people exiting Rochester end up moving to North Carolina.  Sooner is better in cities with fewer competitive choices anyway.

If Time Warner was truly responsive to its customers, it would drop this Titanic-like disaster of a rationing plan today.

There is no consumer victory here, and this company is still not listening.  Instead, by putting off the abuse for a few months, they hope you will fall complacent and not continue to engage in a united effort to resist unwarranted capping of your Internet access.  The first step of coping with an abusive relationship with your Internet provider is recognizing you are in one.  Being told you are not going to get hit with punitive caps today, but in a few months, doesn’t change that.  Don’t be a victim.

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"This is not a rate increase."

When you say something on those series of tubes we call the Internet, sometimes it’s awfully hard to get those statements back, thanks to the magic of Google caching.  Carrie, one of our great readers from Texas, clued us in on a tweet from Omar Gallaga at the Austin American Statesman, who noted a copy of a Google cached Time Warner corporate website page that said more than was perhaps intended.

It appears one section was cut out in the final release, but with the miracle of Google caching, it all comes back to life.  More and more, this reminds me of the bizarro world thinking Frontier was doing last summer, until they got smart.  Maybe it’s something going around.

Answers to Your Questions

Will my bill go up?

This is not a rate increase. Rather, it gives each level of Road Runner service a generous amount to use each month but, if of someone goes over the monthly usage allocation, they have to pay a slight fee. That’s the only way your bill would change.

How will this impact my Price Lock Guarantee?

The plan will not impact your Price Lock Guarantee price, but it could mean a small incremental fee that will vary by month depending on how much you exceed the megabit usage that goes with your level of Road Runner service.

How can I know if the plan is fair?

Time Warner Cable simply wants to make sure only those who use large amounts of data either upgrade to a level better for them or pay for incremental amounts they choose to have each month. This ensures others don’t have to pay for or subsidize those heavier users.

Why do I have to pay more for Road Runner?

You won’t be paying more if you are like the average user. These new fees will only be charged to the small group of heavy users that the rest of RR customers are effectively subsidizing.

Well, well, well.  I can see why the language was pulled here.  It’s utter fiction. “A slight fee” amounts up to $75 in overages each month, the bandwidth they are providing is generous if you were accessing the Internet from Zimbabwe, and from Time Warner’s own statements to the SEC, nobody is subsidizing anything – profits are up in the broadband division, as bandwidth costs decline.

But the most important part of this is the bit about throwing Price Lock Guarantee customers under the bus. Price lock contracts are available in some markets, mostly in Texas.  They are not part of service in Rochester. A “small incremental fee?”  Like the “slight fee” of up to $75 a month in overages?  Because these statements are no longer part of the “official release,” we’re not about to say this is what is coming, but it does shine light on the kind of thinking that seems to be at work here.  Doesn’t a Price Lock Guarantee mean… you know, a guaranteed price lock — your rate stays the same.   Why anyone would even draft something saying otherwise is beyond me.

The smartest thing Time Warner could do is pull this entire disaster altogether, and get back in the business of providing affordable Internet access to customers without gotchas, caps, and overage fees.

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