New Zealand’s Broadband Future Hangs on International Capacity Issues

Phillip Dampier May 31, 2011 Broadband Speed, Competition, Data Caps, Public Policy & Gov't, Video Comments Off on New Zealand’s Broadband Future Hangs on International Capacity Issues

[flv width=”640″ height=”380″]http://www.phillipdampier.com/video/TVNZ Sam Morgan Interview Digital Future 5-29-11.flv[/flv]

Southern Cross has the monopoly for international fiber connections between New Zealand and the rest of the world.

Three companies — Telecom New Zealand, Verizon, and Optus jointly own the single underseas fiber network that connects New Zealand with the rest of the world.  Unless a second underseas fiber provider provides competition, the monopoly control on international connectivity may guarantee New Zealand an ultra fast fiber broadband network for domestic use, but leave consumers heavily usage-capped and subjected to monopoly price-gouging for international traffic.  Those are the claims of Sam Morgan, a venture capitalist and philanthropist who advises Pacific Fibre, the company that wants to bring that second underseas fiber cable to New Zealand.

American and Canadian providers routinely point to Australia and New Zealand as examples of countries with usage-caps firmly in place, arguing this provides justification to do likewise in North America.  But usage caps in the South Pacific are a product of international capacity shortages — a problem not found in either the United States or Canada, so their claims have no merit.

Morgan explores the implications of a second fiber cable reaching New Zealand — the imminent removal of the hated Internet Overcharging schemes.  The clip comes courtesy of TV New Zealand.  (17 minutes)

Paying to Pay: Phone, Cable Cos. Introducing Fees to Pay Bills Online/Over the Phone

Phillip Dampier May 31, 2011 Consumer News, Editorial & Site News, Video 3 Comments

[flv width=”360″ height=”290″]http://www.phillipdampier.com/video/WOAI San Antonio Getting Charged to Pay Bills 5-30-11.mp4[/flv]

Warning: Loud Volume Alert!  Adjust your volume controls before playing.

An increasing number of phone and cable companies are introducing new “convenience fees” for customers making payments by phone or using the company’s online website.  That is the finding of a new report from WOAI-TV in San Antonio.  While few companies currently charge for payments scheduled well in advance, an increasing number are asking for fees ranging from $1.99 to $25 for using online bill payment systems or making last minute payments over the phone.

If your provider charges a fee, be sure to ask for it to be waived, especially if you have a good payment history.  If you are charged the fee anyway, file a complaint with the Better Business Bureau, which should get the attention of the executive customer service team empowered to refund it back to your account.

Paying to pay is just another way for providers to reap more revenue from customers, even when they are trying to make payments on time.  (3 minutes)

Pot to Kettle: Cablevision Petitions FCC for A-La-Carte for Themselves While Keeping It Away From You

Phillip Dampier May 31, 2011 Cablevision (see Altice USA), Consumer News, Editorial & Site News, Public Policy & Gov't Comments Off on Pot to Kettle: Cablevision Petitions FCC for A-La-Carte for Themselves While Keeping It Away From You

Rutlidge: One for us, none for you

Cablevision is upset paying for networks it doesn’t want, need, or desire to carry.  But broadcasters are demanding that the cable company pick up lesser-known, unwanted cable networks in return for the stations Cablevision craves.  Sound familiar?  It’s a variation on consumer cable a-la-carte: picking and paying only for the channels and networks you want.  It’s a concept Cablevision wants for themselves, but continues to deny to their customers.

Last week the cable company filed comments with the Federal Communications Commission proposing a ban on “channel bundling” by broadcasters as part of an effort to reform retransmission consent laws.  Cablevision argues they are forced to carry unwanted networks as a result of current agreements.  No agreement, no local stations on the cable dial.

Cablevision chiefly cites major broadcast network owners for pushing these bundled agreements.  The company’s suburban New York City cable system has to reach accommodations with local New York stations that are all owned and operated by the major American networks.  That’s why an agreement to renew WNBC-TV might include the required carriage of a hardly-known network like Sleuth, owned by the same company that owns WNBC: NBCUniversal.  In return for an extension of WABC-TV’s retransmission consent agreement, Cablevision might be asked to carry all of Disney’s lesser-known cable networks.  Disney owns ABC and WABC.

Ironically, the same cable company that refuses to allow a-la-carte themselves is selling their proposal as a boon to consumers:

Cablevision chief operating officer Tom Rutledge says the proposal will “protect consumers from the threat of broadcaster blackouts.” He adds, “consumers are the ones who are harmed when broadcasters pull or threaten to pull their networks from cable systems.”

Cablevision also wants broadcasters to publicly disclose the true asking price for their channels.  Cablevision itself will not disclose its wholesale programming costs for cable networks.

“Broadcasters should not be able to keep the prices they charge hidden or to discriminate between distributors in a given market,” Rutledge said. “Our simple reforms would end these practices.”

They would for broadcasters, but not for the cable company or consumers.

Comcast Buys Universal Orlando Theme Park: +$1 Billion Headed for Latest Acquisition

Phillip Dampier May 31, 2011 Comcast/Xfinity, Consumer News Comments Off on Comcast Buys Universal Orlando Theme Park: +$1 Billion Headed for Latest Acquisition

Don't look now: Comcast is acquiring theme parks!

Comcast is planning to assume full control of NBCUniversal’s Universal Orlando theme park in a deal worth at least $1 billion dollars, according to a source reported by the Orlando Sentinel.  Universal Orlando is NBCUniversal’s most profitable theme park, home to the popular Wizarding World of Harry Potter, which has attracted record crowds.

The company is picking up the stake of its partner Blackstone Group, and will gain full ownership of the theme park when the transaction closes.

CenturyLink’s Phoney Baloney: Asks Employees to Write Thank You Notes to NC Legislators

CenturyLink is asking their employees to write “thank you notes” to North Carolina legislators for passing an industry-written telecommunications bill that will reduce competition and inhibit community broadband competition in the state.

Broadband Reports received a copy of the message from a CenturyLink insider:

With the battle over and under-served North Carolina communities losing, a CenturyLink insider writes us to note the company this week sent employees an e-mail urging them to send their representatives a thank you letter for doing what Time Warner Cable and CenturyLink lobbyists told them to. “We encourage you to send an e-mail to your Representative, thanking him or her for supporting the bill,” says the e-mail to employees. “Opponents of the legislation, including the NC Municipal League and other groups, lobbied fiercely against the bill. So, your Representative’s support of the bill showed courage and conviction,” the letter insists. The e-mail included this recommended form letter:

Dear Representative ______________:
I am an employee of CenturyLink and one of your constituents. I wanted to sincerely thank you for your support of House Bill 129, the Municipal Competition/Level Playing Field bill. The bill’s passage helps ensure that CenturyLink and other private companies continue to invest in broadband and other technologies that make North Carolina such an attractive place to live and work by providing a strong infrastructure for economic development and education.

I know that the bill faced strong opposition, so I greatly appreciate the conviction you showed by supporting it. My company employs 2,350 persons in North Carolina and serves nearly 1 million customer lines. Thanks to the passage of House Bill 129, CenturyLink has gained added confidence to invest in North Carolina and grow our business in the state.

The good news is that CenturyLink at least told their employees to identify themselves in their letters, instead of pretending to be ordinary consumers.  The bad news is those employees, along with everyone else in the state, will pay a high price for the inevitable broadband slowdown this legislation will bring.  At a critical time for North Carolina’s economy, worrying about the business interests of CenturyLink and its employees is understandable, but looking out for the interests of 9.5 million residents about to be mired in a broadband slow lane is far more important.

Remember, no corporate entity the size of Time Warner Cable or CenturyLink has ever been run out of town by a community-owned alternative.  Nothing preserves the drive to invest and innovate faster than a truly competitive marketplace.  Nothing stagnates that marketplace better than a lack of competition, something this legislation will guarantee for years to come in several North Carolina communities.

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