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Merry Christmas from Comcast: Colo., Wash., Ore., Utah Getting Speed Upgrades on Dec. 16

Speed upgrades won't help customers if they exceed Comcast's market-tested 300GB usage cap that could extend nationwide in 2015.

Speed upgrades won’t help Comcast customers if they exceed a market-tested 300GB usage cap that could extend nationwide in 2015. (Image courtesy: “Funch”)

Comcast will double the broadband speeds of many of its broadband customers at no extra charge in the Pacific Northwest and Rocky Mountain region just in time for Christmas.

  • Performance will increase from 25Mbps to 50Mbps;
  • Blast! will increase from 50Mbps to 105Mbps;
  • Extreme 105 (105Mbps) will be replaced with Extreme 150 (150Mbps).
  • Certain areas will qualify for new speed plans of 305 and 505Mbps.

The new speeds are planned to begin on Dec. 16 and a modem reset may be required. Comcast indicates the speed increase excludes parts of New Mexico, Tucson, Ariz., and Fort Collins, Col.

These markets are not part of Comcast’s ongoing usage cap market trials testing a 300GB monthly usage cap with a $10 penalty for each 50GB customers exceed their allowance.

Although some customers are pleased about the speed increases, with usage caps potentially looming the benefits may prove fleeting.

One customer who has cut cable television and now streams all of his video entertainment online found Comcast would empty his bank account if the overlimit fee was in place in his area.

“I figured I’d go and see how much data I actually used in those months and found that I used 996GB in September, 706GB in October and 553GB in November,” wrote Funch. For the month of September, he would have owed Comcast an extra $140 in penalties on top of his usual Internet bill thanks to viewing Hulu and Netflix.

Customers in Comcast usage capped markets are turning down the video quality of Netflix to conserve their usage allowance, resulting in degraded video performance.

“They boost their speeds but then charge you more if you actually use them,” said Nashville customer Paul Frankel. “It’s the Comcast way.”

HD Smorgasbord: Rogers Tells Customers to Stop Worrying and Crank Up the Streaming Video

In a complete about-face for eastern Canada’s largest cable operator, Rogers Communications is inviting customers to take the brakes off their usage and go hog-wild with high bandwidth HD streaming and downloading with an unlimited use plan.

“Whether you use shomi, Netflix, YouTube or all three as your go-to streaming service(s), if you’re a subscriber to an unlimited Rogers Internet package, you don’t have to worry about streaming video in anything other than their highest-quality settings – the image is pristine and the sound is awesome,” the company writes on its online blog.

Rogers had argued for at least five years before Canada’s telecommunications regulator that compulsory usage caps and overlimit fees were necessary to manage congestion on their networks and to make sure that heavy users pay their fair share.

Those days of congestion are evidently over because Rogers takes customers through several tutorials to teach them how to turn up their streaming settings to deliver HD and 4K video streams.

“Rogers comes very close to implying it is Netflix and YouTube that compromise the video experience of customers, despite the fact Netflix created its user-definable video playback settings precisely to help Canadians manage usage allowances from companies like Rogers,” said online video analyst Rene Guerdat. “It’s clear that competition from independent providers offering unlimited use accounts has made Rogers’ usage cap regime impossible and they were forced to market an unlimited option of their own.”

Here is Rogers’ guide for cranking up the video quality of video streams, useful for anyone else who subscribes to these services as well:

shomi

This new video-streaming service for Rogers Internet or TV customers has three video-quality settings (Good, Better, Best). Each uses different amounts of bandwidth and offers different levels of viewing quality. These settings can be individually changed for each user profile, and can be made only from the Web application via the account holder’s profile.

To check / change your stream settings

  1. In a browser, go to shomi.com and log in with your account credentials.
  2. Go to the dropdown menu at the top far-right corner of the Web page.
  3. Select ‘Manage Account and Profiles.’
  4. Select the profile that you want to edit (or create a profile if it is a new profile), and under the ‘Manage Profiles’ menu you’ll see your ‘Max Video Quality’ settings.
  5. Click ‘Edit’ and then select the video-quality setting that you want.

Note: These profile settings update all devices except your Rogers cable box (if you’re using one).

Netflix

Netflix has streaming-video playback settings that use less data (in case you have a small monthly data cap). If you’re on an unlimited Rogers Internet package, though, you can get a better experience by streaming at the highest settings. Here’s how.

To check / change your stream settings

  1. In a browser, go to Netflix.ca and sign in with your Netflix username and password.
  2. If prompted, select the appropriate user profile you want to change.
  3. In the top-right corner, click the downward arrow, then click ‘Your Account.’
  4. In the Your Profile section, click ‘Playback Settings.’
  5. Click the radio button to select the highest-quality streaming setting (‘High’), then click ‘Save.’

This setting will be your new default across all your devices. If you have multiple user profiles under your Netflix account, follow the above process for them, too.

YouTube

YouTube gives you a lot of playback control, and typically does a pretty good job of balancing video quality and connection. However, to ensure you’re seeing the best-quality video possible from YouTube, you can change the settings for the videos you watch. Here’s how.

Play a YouTube video in HD (when available)

  1. While playing a video, move your cursor over the player window. Video-player elements will appear.
  2. Click the gear icon in the lower right of the player.
  3. In the bottom of the pop-over menu that appears, click on the ‘Quality’ option.
  4. Select the highest video-quality setting and click it to apply.

Tip: Not all video content that’s uploaded to YouTube is available in full 1080p HD. If no HD option is offered, just choose the highest-quality setting that’s available.

Default to high-quality YouTube playback

Setting default playback behaviour on YouTube requires an account. If you have a Google account (Gmail, Google+, etc.), you already have everything you need.

  1. Log in to YouTube using your Google or Gmail account ID.
  2. Click on your username and, in the menu that appears, choose the gear icon. If you’re already logged in, click your profile image in the top-right corner to find the gear icon instead.
  3. In the left navigation pane, click ‘Playback.’
  4. Select ‘Always choose the best quality for my connection and player size.’
  5. Click Save in the top right.

Now, YouTube will give you the best-quality video it can, based on the above-mentioned factors. Double-click a video to launch it in full-screen and to get a full-HD version of the video, where available.

Fiber Games: AT&T (Slightly) Backtracks on Fiber Suspension After Embarrassed by FCC

HissyfitwatchAT&T CEO Randall Stephenson’s public hissy fit against the Obama Administration’s sudden backbone on Net Neutrality may complicate AT&T’s plans to win approval of its merger with DirecTV. forcing AT&T to retract threats to suspend fiber buildouts if the administration moves forward with its efforts to ban Internet fast lanes.

Hours after Stephenson told investors AT&T wouldn’t continue with plans to bring U-verse with GigaPower fiber broadband to more cities as long as Net Neutrality was on the agenda, the FCC requested clarification about exactly what AT&T and its CEO was planning. More importantly, it noted responses would become part of the record in its consideration of AT&T’s proposed acquisition of the satellite television provider. The regulator could not send a clearer message that Stephenson’s statements could affect the company’s $48.5 billion merger deal.

AT&T responded – four days after the FCC’s deadline – in a three-page letter with a heavily redacted attachment that basically told the Commission it misunderstood AT&T’s true intentions:

The premise of the Commission’s November 14 Letter is incorrect. AT&T is not limiting our FTTP deployment to 2 million homes. To the contrary, AT&T still plans to complete the major initiative we announced in April to expand our ultra-fast GigaPower fiber network in 25 major metropolitan areas nationwide, including 21 new major metropolitan areas. In addition, as AT&T has described to the Commission in this proceeding, the synergies created by our DIRECTV transaction will allow us to extend our GigaPower service to at least 2 million additional customer locations, beyond those announced in April, within four years after close.

Although AT&T is willing to say it will deliver improved broadband to at least “15 million customer locations, mostly in rural areas,” it is also continuing its fiber shell game with the FCC by not specifying exactly how many of those customers will receive fiber broadband, how many will receive an incremental speed upgrade to their existing U-verse fiber/copper service, or not get fiber at all. AT&T routinely promises upgrades using a mix of technologies “such as” fiber to the home and fixed wireless, part of AT&T’s broader agenda to abandon its rural landline service and force customers to a much costlier and less reliable wireless data connection. It isn’t willing to tell the public who will win fiber upgrades and who will be forced off DSL in favor of AT&T’s enormously profitable wireless service.

Your right to know... undelivered.

Your right to know… undelivered. AT&T redacted information about its specific fiber plans.

Fun Fact: AT&T is cutting its investment in network upgrades by $3 billion in 2015 and plans a budget of $18 billion for capex investments across the entire company in 2015 — almost three times less than what AT&T is ready to spend just to acquire DirecTV.

The FCC was provided a market-by-market breakdown of how many customers currently get U-verse over AT&T’s fiber/copper “fiber to the neighborhood” network and those already getting fiber straight to the home. But this does not tell the FCC how many homes and businesses AT&T intends to wire for GigaPower — its gigabit speed network that requires fiber to the premises. Indeed, AT&T would only disclose how many homes and businesses it plans to provide with traditional U-verse using a combination of fiber and copper wiring — an inferior technology not capable of the speeds AT&T repeatedly touts in its press releases.

That has all the makings of an AT&T Fiber Snow Job only Buffalo could love.

AT&T also complained about the Obama Administration’s efforts to spoil AT&T’s fast lane Money Party:

At the same time, President Obama’s proposal in early November to regulate the entire Internet under rules from the 1930s injects significant uncertainty into the economics underlying our investment decisions. While we have reiterated that we will stand by the commitments described above, this uncertainty makes it prudent to pause consideration of any further investments – beyond those discussed above – to bring advanced broadband networks to even more customer locations, including additional upgrades of existing DSL and IPDSL lines, that might be feasible in the future under a more stable and predictable regulatory regime. To be clear, AT&T has not stated that the President’s proposal would render all of these locations unprofitable. Rather, AT&T simply cannot evaluate additional investment beyond its existing commitments until the regulatory treatment of broadband service is clarified.

AT&T’s too-cute-by-half ‘1930s era regulation’ talking point, also echoed by its financially tethered minions in the dollar-a-holler sock-puppet sector, suggests the Obama Administration is seeking to regulate AT&T as a monopoly provider. Except the Obama Administration is proposing nothing of the sort. The FCC should give AT&T’s comments the same weight it should give its fiber commitments — treat them as suspect at best. As we’ve written repeatedly, AT&T’s fabulous fiber future looks splendid on paper, but without evidence of spending sufficient to pay for it, AT&T’s piece of work should be filed under fiction.

Google Fiber Prices Announced in Austin: No Surprises – 5/1Mbps Free, 1Gbps $70/Month

Phillip Dampier November 25, 2014 Broadband Speed, Competition, Consumer News, Google Fiber 11 Comments

google fiberAustin residents will receive Google Fiber service under three rate plans: $70 for 1,000/1,000Mbps or 5/1Mbps at no charge after paying a $300 construction fee. A package including television costs $130 a month.

Google Fiber announced its prices this week in anticipation of a December launch in the capital city of Texas. But Google Fiber will arrive with at least two competitors beating them to the gigabit space: Grande Communications and AT&T.

Austin is the first city in the country to have three concurrent gigabit providers. Only Time Warner Cable has elected to sit out the city’s gigabit broadband fight. Google Fiber is expected to face stiffer competition in Austin than in Kansas City and Provo, where it also operates gigabit fiber networks. AT&T U-verse with GigaPower matches Google’s $70 price and San Marcos-based Grande Communications beats it, charging $64.99 for its 1,000Mbps service.

Google is sweetening the deal by converting the former home of a children’s museum into a “Fiber Space,” a community center at 201 Colorado Street – hosting concerts, community meetings, and clubs, in addition to showcasing Google’s fiber network.

As with AT&T’s gigabit U-verse upgrade, only a limited number of residents in Austin will initially be able to get the new fiber service. Google is initially lighting up areas in south and southeastern Austin. For some, the wait to eventually sign up could take up to several years as Google slowly builds out its network in the city of 885,000 people.

FCC to AT&T: Put Up or Shut Up; Agency Seeks Details About AT&T’s Fiber Pause Over Net Neutrality

Stephenson: No fiber for you

Stephenson: No fiber for you

AT&T’s decision to suspend fiber broadband upgrades over the Obama Administration’s strong support for Net Neutrality may backfire on the telecom giant’s multi-billion dollar bid to acquire DirecTV.

The Federal Communications Commission has dispatched a letter to Robert W. Quinn, Jr., AT&T’s senior vice President and federal regulatory & chief privacy officer, inquiring whether AT&T really meant what it said about plans to suspend fiber expansion and that might impact at least two million additional homes that are part of a broadband expansion commitment included in AT&T’s offer to acquire DirecTV.

The FCC’s Jamillia Ferris wants AT&T to clarify CEO Randall Stephenson’s comments at a recent investor event, requesting information that may reveal whether AT&T was using the suspension of its fiber buildout as a political weapon against Net Neutrality.

“We made some comments in the DirecTV announcement that we would build fiber to two million additional homes,” Stephenson said at a Wells Fargo technology conference last week. “We will obviously commit to that once the DirecTV deal is done, we will keep going. But what we have also announced on top of that is that we are going to deploy fiber to 100 cities. And look, we can’t go out and just invest that kind of money deploying fiber to 100 cities other than these two million not knowing under what rules that investment will be governed. And so we have to pause and we have to just put a stop on those kinds of investments that we are doing today.”

The FCC’s request suggests the company’s answers may impact how the FCC treats AT&T’s request for approval of its merger with DirecTV.

Requested from AT&T no later than Nov. 21:

(a) Data regarding the Company’s current plans for fiber deployment, specifically:

(1) the current number of households to which fiber is deployed and the breakdown by technology (i.e., FTTP or FTTN) and geographic area of deployment;

(2) the total number of households to which the Company planned to deploy fiber prior to the Company’s decision to limit deployment to the 2 million households and the breakdown by technology and geographic area of deployment; and

(3) the total number of households to which the Company currently plans to deploy fiber, including the 2 million households, and the breakdown by technology and geographic area of deployment;

(b) A description of

(1) whether the AT&T FTTP Investment Model demonstrates that fiber deployment is now unprofitable; and

(2) whether the fiber to the 2 million homes following acquisition of DirecTV would be unprofitable; and

(c) All documents relating to the Company’s decision to limit AT&T’s deployment of fiber to 2 million homes following the acquisition of DirecTV.

Time Warner Cable Finishes Maxx Upgrades in NY, LA; Will Upgrade Only 7 Additional Areas in 2015

Phillip Dampier November 13, 2014 Broadband Speed, Consumer News, Time Warner Cable 8 Comments

twcGreenTime Warner Cable has finished the rollout of TWC Maxx upgrades in New York and Los Angeles and will likely finish in Austin by the end of this year, delivering free broadband speed upgrades up to 300Mbps and a better television experience.

“Today marks an important milestone in Time Warner Cable’s commitment to provide our customers with best-in-class products and service,” said Time Warner Cable chairman and CEO Robert Marcus, in a release. “Every customer in our two largest markets now has access to the superfast Internet and new TV experience promised by TWC Maxx.  Faster speeds are also available to every customer in the Austin, Texas, market, and we’ve committed to reinvent the service experience in seven additional markets in 2015.”

Unless you live in Kansas City, Dallas, San Antonio, San Diego, Hawaii, Charlotte or Raleigh, there will likely be no reinvention of broadband service for you, with top speeds still “maxing” out at just 50/5Mbps at the beginning of 2016.

maxed outWhile Time Warner Cable customers have seen the company’s top premium speed stagnate at 50/5Mbps in many parts of upstate New York, South Carolina, western Ohio, and Maine for several years, TWC Maxx communities will see Standard Service speeds start at 50Mbps and rapidly increase from there. The differences in speed and price paid for broadband in Maxx markets vs. non-Maxx markets is staggering.

The average Time Warner Cable customer in Los Angeles will pay a promotional price of $35 a month for 50/5Mbps service. In upstate New York and other un-Maxxed areas, the price for that speed is $70 a month — twice as much.

Some customers in Los Angeles are being provided rent-free cable modems while subscribers in other cities continue to pay $6 a month.

There is speculation Time Warner Cable has set a conservative upgrade schedule for Maxx upgrades with the understanding the company will probably no longer exist long before the end of 2015, becoming a part of Comcast sometime early next year. Whether Comcast will continue the Maxx upgrade program is unknown, but it is doubtful — Time Warner’s maximum cable broadband speeds in Maxx markets are considerably faster than what Comcast offers most of its own customers.

 

Time Warner Cable Boosting Basic Broadband Speed from 3 to 6Mbps

Time Warner Cable is in the process of upgrading “Basic” broadband tier ($30-40 a month) customers from 3 to 6/1Mbps at no extra charge. You may have the upgraded speeds even if you haven’t received e-mail from Time Warner Cable yet. Follow the instructions below and check your speed:

basic speed

(Image courtesy: Rachel Barnhart)

A merger with Comcast will see Time Warner Cable customers forced to downgrade back to 3Mbps for Comcast’s basic “Economy Plus” service ($39.95/mo) or pay a higher Internet bill for Comcast’s 6Mbps Performance Starter plan ($49.95/mo). An $8 a month modem rental fee also applies, likely to rise to $10 by early 2015.

Comcast Boosting Speeds in Pacific Northwest to Fend Off CenturyLink, Frontier, and Google

Phillip Dampier November 5, 2014 Broadband Speed, Comcast/Xfinity, Competition No Comments

Comcast-LogoAfter raising prices for Internet service and imposing the nation’s highest modem rental fee, Comcast customers in Oregon and southwest Washington are finally getting some good news: speed boosts.

Comcast will double Internet speeds for “the vast majority” in the Pacific Northwest between now and the end of the year, bringing 100Mbps service to Comcast’s “Blast” Internet plan and 50Mbps to “Performance” tier customers. Comcast says it is the 13th speed increase in the last dozen years in the region, but that isn’t all that has increased.

Comcast raised prices for its broadband plans last month: $66.95 for standalone Performance service ($53.95 if you bundle), $78.95 for Blast ($65.95 for those also taking cable TV or phone service). The modem rental fee remains a steep $10 a month.

Customers will receive e-mail when the faster speeds become available in their area, and a modem reset (unplug it briefly) will be required to get the new speeds.

Comcast is facing competition from CenturyLink, which is installing fiber optics in the area and Frontier, which inherited Verizon’s FiOS network when it acquired landlines in the region. Google Fiber is also expected to eventually make an appearance in the Portland area. Comcast prices are on the high side in comparison to the competition. CenturyLink’s introductory rate is as low as $50 a month for fiber service and Frontier charges $35 a month for 30Mbps service on its FiOS network.

For now, Comcast broadband service remains uncapped in the region, but Comcast is continuing market trials elsewhere that include a 300GB usage cap and an overlimit fee for those exceeding it.

Wall Street Investors Suckered By Broadband, Wireless Myths on Usage Pricing, Network Investment

verizon-protestBig Telecom companies like Verizon and AT&T use phony numbers and perpetuate myths about broadband traffic and network investments that have conned investors out of at least $1 trillion in unnecessary investments and consolidation.

Alexander Goldman, former chief analyst for CTI’s American Recovery and Reinvestment Act grants, is warning Wall Street and investors they are at risk of losing millions more because some of the largest telecom companies in the country are engaged in disseminating bad math and conventional wisdom that relies more on repetition of their talking points than actual facts.

Goldman’s editorial, published by Broadband Breakfast, believes the campaign of misinformation is perpetuated by a media that accepts industry claims without examining the underlying facts and a pervasive echo chamber that delivers credibility only by the number of voices saying then same thing.

Goldman takes Verizon Communications CEO Lowell McAdam to task for an editorial published in 2013 in Verizon’s effort to beat back calls on regulators to oversee the broadband industry and correct some of its anti-competitive behavior.

McAdam claimed the U.S. built a global lead in broadband on investments of $1.2 trillion over 17 years to deploy “next generation broadband networks” because networks were deregulated.

Setting aside the fact the United States is not a broadband leader and continues to be outpaced by Europe and Asia, Goldman called McAdam’s impressive-sounding dollar figures meaningless, considering over the span of that 17 years, the United States progressed from dial-up to fiber broadband. Wired networks have been through a generational change that required infrastructure to be replaced and wireless networks have been through at least two significant generations of change over that time — mandatory investments that would have occurred with or without deregulation.

Over the past 17 years, the industry has gotten more of its numbers wrong than right. An explosion of fiber construction in the late 1990s based on predictions of data tsunamis turned out to be catastrophically wrong. University of Minnesota professor Andrew Odlyzko, the worst enemy of the telecom industry talking point, has been debunking claims of broadband traffic jams and the need to implement usage-based pricing and speed throttling for years. In 1998, when Wall Street was listening intently to forecasts produced by self-interested telecom companies like Worldcom that declared broadband traffic was going to double every 100 days, Odlyzko was telling his then-employer AT&T is was all a lot of nonsense. The broadband traffic emperor had no clothes, and statistics from rival telecom companies suggested Worldcom was telling tall tales. But AT&T executives didn’t listen.

fat cat att“We just have to try harder to match those growth rates and catch up with WorldCom,” AT&T executives told Odlyzko and his colleagues, believing the problem was simply ineffective sales, not real broadband demand. When sales couldn’t generate those traffic numbers and Wall Street analysts began asking why, companies like Global Crossing and Qwest resorted to “hollow swaps” and other dubious tricks to fool analysts, prop up the stock price and executive bonuses, and invent sales.

Nobody bothered to ask for an independent analysis of the traffic boom that wasn’t. Wall Street and investors saw dollars waiting to be made, if only providers had the networks to handle the traffic. This began the fiber boom of the late 1990s, “an orgy of construction” as The Economist called it, all to prepare for a tidal wave of Internet traffic that never arrived.

After companies like Global Crossing and Worldcom failed in the biggest bankruptcies the country had ever seen at the time, Odlyzko believes important lessons were never learned. He blames Worldcom executives for inflating the Internet bubble more than anyone.

A bubble of another kind is forming today in America’s wireless industry, fueled by pernicious predictions of a growing spectrum crisis to anyone in DC willing to listen and hurry up spectrum auctions. Both AT&T and Verizon try to stun investors and politicians with enormous dollar numbers they claim are being spent to hurry upgraded wireless networks ready to handle an onslaught of high bandwidth wireless video. Both Verizon’s McAdam and AT&T’s Randall Stephenson intimidate Washington politicians with subtle threats that any enactment of industry reforms by the FCC or Congress will threaten the next $1.2 trillion in network investments, jobs, and America’s vital telecom infrastructure.

Odlyzko has seen this parade before, and he is not impressed. Streaming video on wireless networks is effectively constrained by miserly usage caps, not network capacity, and to Odlyzko, the more interesting story is Americans are abandoning voice calling for instant messages and texting.

8-4WorldcomCartoonThat isn’t a problem for wireless carriers because texting is where the real money is made. Odlyzko notes that wireless carriers profit an average of $1,000 per megabyte for text messages, usually charged per-message or through subscription plan add ons or as part of a bundle. Cellular voice calling is much less profitable, earning about $1 per megabyte of digitized traffic.

Wireless carriers in the United States, particularly Verizon and AT&T, are immensely profitable and the industry as a whole haven’t invested more than 27% of their yearly revenue on network upgrades in over a decade. In fact, in 2011 carriers invested just 14.9% of their revenue, rising slightly to 16.3 percent in 2012 when companies collectively invested $30 billion on network improvements, but earned $185 billion along the way.

While Verizon preached “spectrum crisis” to the FCC and Congress and claimed it was urgently prioritizing network upgrades, company executives won approval of a plan to pay Vodafone, then a part owner of Verizon Wireless, $130 billion to buy them out. That represents the collective investment of every wireless provider in the country in network upgrades from 2005-2012. Verizon Wireless cannot find the money to upgrade their wireless networks to deliver customers a more generous data allowance (or an unlimited plan), but it had no trouble approving $130 billion to buy out its partner so it could keep future profits to itself.

Odlyzko concludes the obvious: “modern telecom is less about high capital investments and far more a game of territorial control, strategic alliances, services, and marketing, than of building a fixed infrastructure.”

That is why there is no money for Verizon FiOS expansion but there was plenty to pay Vodafone, and its executives who walked away with executive bonuses totaling $89.6 million.

As long as American wireless service remains largely in the hands of AT&T and Verizon Wireless, competition isn’t likely to seriously dent prices or profits. At least investors who are buying Verizon’s debt hope so.

Goldman again called attention to Odlyzko’s latest warning that the industry has its numbers (and priorities) wrong, and the last time Odlyzko had the numbers right and the telecommunications industry got its numbers wrong, telecommunications investors lost $1 trillion in the telecommunications dot.com bust.

As the drumbeat continues for further wireless consolidation and spectrum acquisition, investors have been told high network costs necessitate combining operations to improve efficiency and control expenses. Except the biggest costs faced by wireless carriers like Verizon are to implement strategic consolidation opportunities like the Vodafone deal, not maintain and grow their wireless network. AT&T is putting much of its spending in a proposed acquisition of DirecTV this year as well — at a cost of $48.5 billion. That could buy a lot of new cell towers and a much more consumer-friendly data plan.

Voice to text substitution (US)

year voice minutes billions texts billions
2005 1,495 81
2006 1,798 159
2007 2,119 363
2008 2,203 1,005
2009 2,275 1,563
2010 2,241 2,052
2011 2,296 2,304
2012 2,300 2,190

Cell phone network companies (if you can believe their SEC filings) are incredibly profitable, and are spending relatively little on infrastructure:

year revenues in $ billions capex in $ billions capex/revenues
2004 102.1 27.9 27.3%
2005 113.5 25.2 22.2
2006 125.5 24.4 19.4
2007 138.9 21.1 15.2
2008 148.1 20.2 13.6
2009 152.6 20.4 13.3
2010 159.9 24.9 15.6
2011 169.8 25.3 14.9
2012 185.0 30.1 16.3

Time Warner Cable Maxx Customers in LA Are Being Offered Free Cable Modems

Phillip Dampier November 4, 2014 Broadband Speed, Consumer News, Time Warner Cable 1 Comment

twcmaxTime Warner Cable broadband customers in Los Angeles still using older cable modems are being offered replacement modems from the cable company for free, avoiding Time Warner Cable’s $6 monthly modem rental fee.

The Los Angeles Times notes some customers are receiving letters offering a free modem upgrade, but the company won’t say exactly how many subscribers have been offered a way out of the company’s modem rental fee.

A survey of Los Angeles residents suggests Time Warner is primarily targeting customers still using older DOCSIS 2 or basic DOCSIS 3 modems that are not capable of getting the full benefit of Time Warner Cable’s Maxx speed upgrades, which provides up to 300Mbps service for the same price the rest of the country pays for 50Mbps.

Customers taking advantage of the offer are expected to swap out their existing modem themselves, using an “Easy Install Kit” mailed by Time Warner. They will need to contact the cable company to activate their replacement modem.

The replacement is a basic, yet fully capable DOCSIS 3 modem without built-in Wi-Fi. Customers who don’t use a router with built-in Wi-Fi can upgrade to Time Warner’s Wi-Fi capable modem, but it will cost around $11 a month for the service. Stop the Cap! recommends customers buy their own router with built-in Wi-Fi, which is almost always a better deal than renting equipment from Time Warner.

There is no word if a similar offer will be made to customers in other Maxx cities, New York and Austin.

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