Sprint Applying Speed Breaks to Top 5% of Wireless Data Users Accessing Congested Cell Sites

throttleEffective June 1st, all Sprint contract and prepaid customers, as well as those using Virgin Mobile USA and Boost will find their wireless data speeds throttled if Sprint finds they are among the top 5% of users on a congested cell site.

Text messages are being sent to all customers about Sprint’s new “fairness algorithm” that it will use as part of its data “prioritization management.”

“Beginning 6/1/14, to provide more customers with a high quality data experience during heavy usage times, Sprint/Virgin Mobile USA/Boost may manage prioritization of access to network resources in congested areas for customers within the top 5 percent of data users.”

Such text messages are unlikely to be understood by average customers who have no idea how much data they use, don’t understand what “prioritization of access” means, or what would make them a “top 5 percent” data user. What many do understand is that they were sold “unlimited use” plans that will be much harder to use if they are identified as a 5%‘r.

Fierce Wireless found answers to several unanswered questions:

  • Boost and Virgin customers exceeding 2.5GB of data use a month used to find their data speeds cut to 256kbps until the beginning of their next billing cycle. In March, Sprint announced it was further cutting speeds in the punishment zone to 128kbps for affected prepaid customers;
  • Sprint’s postpaid/prepaid customers are likely to find themselves throttled once they exceed 5GB of usage per month.

speedbumpSprint says the throttle will only be activated on “congested cell sites” and will impact WiMAX, 3G and LTE 4G networks owned by the company. Anyone who has used Sprint’s 3G network will discover most urban and suburban Sprint cell towers are frequently congested, judging by the low speeds many customers endure. Rural customers or those served on the edge of a suburban area may never find themselves throttled and Sprint promises once traffic clears, the throttle is shut off.

At the same time, once Sprint labels you a “heavy user,” they can leave you in the penalty box for up to 60 days because the network prioritization will also apply during the following month of service.

“Customers that continue to fall within the top 5 percent of data users will continue to be subject to prioritization,” Sprint said.

The approach “will enable us to provide more customers with a high quality data experience during heavy usage times,” Sprint said in a statement sent to FierceWirelessTech.

Other wireless carriers also have employed speed throttling to control their grandfathered “unlimited data” customers, Fierce Wireless notes:

During September 2011, Verizon Wireless implemented what it  termed a “network optimization” plan to limit the bandwidth for the operator’s top 5 percent of 3G smartphone users who are on a grandfathered unlimited data plan. (Ed. Note: However, because of FCC requirements, Verizon cannot throttle its 4G LTE customers.)

One month later, AT&T Mobility  instituted a similar plan, targeting the top 5 percent of users on unlimited plans in specific high-traffic locations. However, AT&T was forced to alter its approach in early 2012 after an outcry from users who were unprepared to have their speeds reduced, particularly in cases where some of them had only consumed 2 GB of data. AT&T’s revised policy slowed speeds of unlimited data users who exceeded specific data thresholds.

T-Mobile US also uses a form of prioritization, noting “certain T-Mobile plans may be prioritized” over service plans under its GoSmart Mobile prepaid brand.

Time Warner Cable Customers in Queens Enjoying Free Maxx Broadband Speed Upgrades: 300/20Mbps

Phillip Dampier May 8, 2014 Broadband Speed, Consumer News, Video Comments Off on Time Warner Cable Customers in Queens Enjoying Free Maxx Broadband Speed Upgrades: 300/20Mbps

8681_262Time Warner Cable’s major broadband speed upgrade is alive in the Astoria, Woodside and Long Island City neighborhoods of Queens, N.Y.

The Time Warner Cable Maxx upgrade is Time Warner Cable’s effort to catch up to other cable operators that have significantly upgraded broadband speeds for customers over the last 18 months. Time Warner Cable has traditionally been one of the slowest major cable broadband providers in the country, with most customers only able to buy speeds up to 50/5Mbps. But Time Warner Cable has also committed to keeping unlimited use service available to customers, unlike Comcast, Charter, Cox, Suddenlink, and Mediacom.

The free speed upgrades are the largest ever for Time Warner Cable, typically more than tripling speeds for most customers.

Stop the Cap! has heard from readers in Queens who discovered the upgrades took effect this week, so we have been able to take a closer look at what customers can expect as Time Warner rolls out upgrades across New York City and Los Angeles and finally extending faster speeds over the next two years in other cities.

new speed

(Image: ematrix)

Arris Touchstone Telephony Gateway TG1672g

Arris Touchstone Telephony Gateway TG1672g

The first notification your area is about to receive an upgrade will come in a letter from Time Warner Cable.

Customers subscribing to the fastest speed tiers may need new equipment. Time Warner Cable is using 8-channel bonding in Queens for its 100 and 200Mbps tiers and 16-channel bonding for its 300Mbps tier. Some older and low-end DOCSIS 3 modems only support four channel bonding. For instance, a customer using a four-channel capable Motorola 6121 modem in Queens with Time Warner’s 30/5Mbps Extreme tier will only get speeds up to 50/5Mbps after the upgrade. If the customer owned a Motorola 6141, which supports eight channel bonding, they will get the full advantage of the upgrade: 200/20Mbps. But even the 6141 isn’t enough for Time Warner’s top tier: 300/20Mbps. Customers would need an upgrade to a 16-channel capable modem.

Time Warner’s notification letter says customers can swap out a company-owned cable modem for a 16-channel capable model, currently the Arris TG1672g, either by mail, through an area Time Warner Cable store, or with a service call. The usual modem rental fees still apply.

The TG1672g (download user manual) is a fully capable broadband and Wi-Fi home gateway that also supports Time Warner’s phone service:

  • 16×4 Channel Bonding
  • Full Capture Bandwidth Tuner
  • Multi Processor Technology with an Intel Atom Core Application Processor
  • DOCSIS® 3.0 and PacketCable™ 2.0 compliant design
  • 4 port Gigabit Ethernet Wireless Router
  • 3×3 Integrated Dual Band Concurrent
  • 2.4GHz and 5GHz 802.11n radios with Beam Forming
  • USB 2.0 Host Port
  • Upcoming support for DLNA and File Storage
  • Two FXS lines of carrier-grade VoIP with HD voice support
  • MoCA1.1 for in Home Video and Data distribution over Coax
  • Dual Stack IPv4/IPv6 Home Router
  • Internal Power Supply for Highest Reliability and reduced energy consumption
  • Battery backup: Single battery pack for reaching a full 8 hours of standby support

If picking up new equipment, a Time Warner representative will probably let you know if your account is flagged “Maxx-capable,” which means your neighborhood’s upgrade is imminent or complete. Time Warner may also want to swap out your set-top boxes if you subscribe to cable television, although readers report cable television service and the on-screen guide in Queens doesn’t look any different at present. The backup battery inside the cable modem is rated for up to 10 years of life and is replaceable by the user for around $60.

Customers who own their own cable modem might have to buy a new one if they are seeking the company’s fastest speeds. Time Warner’s latest approved modem list should guide what, if any, new equipment you might need. If you are considering buying your own modem, you might plan your purchase around the model(s) that support the speeds you want.

approved modems

Time Warner Cable’s Latest Approved Modem List

[flv]http://www.phillipdampier.com/video/TWC Techs Launch 300 Mbps Internet Speeds at Queens NY Hub 5-6-14.flv[/flv]
Technicians launch 300Mbps broadband speeds for Time Warner Cable customers in Queens, N.Y. (1:27)

Verizon: If Your Town Doesn’t Already Have a FiOS Commitment, Forget About Fiber

Verizon's FiOS expansion is still dead.

Verizon’s FiOS expansion is still as dead as Francisco Franco.

Verizon is prepared to watch up to 30% of their copper landline customers drift away because the company is adamant about no further expansion of its FiOS fiber to the home network.

Fran Shammo, chief financial officer at Verizon, told attendees of the Jefferies Global Technology, Media & Telecom Conference that Verizon will complete the buildout of its fiber network to a total of about 19 million homes, and that is it.

“Look, we will continue to fulfill our FiOS license franchise agreements,” Frammo said. “[We will] cover about 70% of our legacy footprint. So 30%, we are not going to cover. That is where we are still going to have copper.”

That is bad news for Verizon customers stuck with the company’s copper network because Verizon isn’t planning any further significant investments in it.

“We will continue to harvest that copper network and those customers and keep them as long as we can,” Frammo said. “But we will not be building FiOS out for those areas.”

In fact, Frammo admitted ongoing cost-cutting at Verizon’s landline division is allowing the company to shift more money and resources to its more profitable wireless network.

verizon goodbye

Verizon CEO Lowell McAdam doesn’t want to spend money on non-FiOS areas when more can be made from its wireless network.

“It is also taking cost structure out,” Frammo said.  “As I mentioned, the migration of copper to fiber has been very big for us. Our Lean Six Sigma projects have really significantly helped us in our capital investment in the wireline which is why I can put more money into the wireless side of the business.”

Verizon has shifted an increasing proportion of its capital investments towards its wireless division year after year, while cutting ongoing investment in wireline. Ratepayers are not benefiting from this arrangement, and critics contend Verizon landline customers are effectively subsidizing Verizon’s wireless networks.

Verizon will still complete the FiOS buildouts it committed to earlier, particularly in New York City, but it is increasingly unlikely Verizon will ever start another wave of fiber upgrades.

In fact, Michael McCormack, the Jefferies’ Wall Street analyst questioning Shammo at the conference foreshadowed what is more likely to happen to Verizon’s legacy copper customers.

“We have talked extensively in the past about the non-FiOS areas and I guess in my second reincarnation as a banker, I will try to help you get rid of those assets,” said McCormack.

Comcast Promises Wonderland of Broadband Ecstacy if Time Warner Cable Deal Goes Through

Phillip Dampier May 7, 2014 Broadband Speed, Comcast/Xfinity, Competition, Consumer News, Data Caps, Editorial & Site News, Net Neutrality, Online Video, Public Policy & Gov't, Video, Wireless Broadband Comments Off on Comcast Promises Wonderland of Broadband Ecstacy if Time Warner Cable Deal Goes Through
Neil Smit, CEO Comcast Cable (left), Ryan Lawler, TechCrunch (right)

Neil Smit, CEO, Comcast Cable (left), Ryan Lawler, TechCrunch (right)

Of all the tech companies to turn up at TechCrunch’s Disrupt New York 2014 event, Comcast Cable seemed the least likely to qualify as the kind of innovative start-up TechCrunch loves to cover.

But there sat Comcast Cable CEO Neil Smit with TechCrunch’s Ryan Lawler, discussing Comcast’s mega-merger with Time Warner Cable, its peering agreement with Netflix, broadcast TV streamer Aereo, and Comcast’s legendary dismal customer service.

Smit’s arrival on stage to a smattering of tentative applause was a clear sign there was no love for the cable giant in the audience, particularly from many New York area Time Warner Cable customers dreading a future with Comcast.

Smit was immediately confronted with the fact Comcast was recently voted the Worst Company in America by Consumerist readers, prompting yet another promise that improving customer service was Comcast’s “top priority,” the same promise Comcast gave in 2007, 2008, 2009, 2010, 2011, 2012, and 2013.

“I think if there’s one thing to disrupt in our business, it’s customer service,” Smit added.

Smit defended Comcast’s merger with Time Warner, relying heavily on video subscribers to downplay the concentrated market power Comcast would have after the merger. Smit pointed out Netflix has the largest subscriber count of any pay television channel or platform and denied Lawler’s contention that a merger would give Comcast more than 50% of the American broadband market.

“I think the number is a little less than that — it is closer to 40% but if you include wireless than it would be less than 20%,” Smit responded, referring to the LTE 4G wireless networks from wireless carriers that come with very low usage caps and very high prices.

Comcast-LogoSmit also promised major broadband speed upgrades and other improvements for Time Warner Cable customers, but nobody mentioned Comcast’s gradual reintroduction of usage caps on residential broadband accounts.

Comcast Cable’s CEO also addressed several other hot button issues:

Smit claimed Comcast has a good working relationship with the FCC and is providing advice on whatever changes to Net Neutrality FCC chairman Tom Wheeler will propose later this month.

Despite the fact Comcast could ultimately benefit if Aereo is found to be legal by the U.S. Supreme Court, Smit recognized Comcast also owns NBC and other broadcast programmers and was concerned about the economic impact if cable operators stopped paying for over-the-air programming.

“We pay $9 billion a year for content,” Smit said. “One of the things that I question in the Aereo solution is: are they paying for content? The spend for that content has to come from somewhere.”

Smit also noted Comcast is increasingly targeting younger audiences by signing deals with college campuses to bring Comcast service to students to hook them as future subscribers. Comcast is also creating new packages with fewer channels to appeal to millennials. Smit also acknowledged many younger family members are accessing cable programming using passwords associated with their parent’s cable account.

[flv]http://www.phillipdampier.com/video/TechCrunch Interview with Neil Smit 5-6-14.mp4[/flv]

Here is the complete interview TechCrunch conducted with Comcast Cable CEO Neil Smit. (22:20)

More Evidence the Wireless Data “Traffic Tsunami” is a Scam to Grab More Spectrum

Phillip Dampier May 7, 2014 Broadband "Shortage", Public Policy & Gov't, Wireless Broadband Comments Off on More Evidence the Wireless Data “Traffic Tsunami” is a Scam to Grab More Spectrum

telecoms reg forumWireless operators are playing up fears that without comprehensive reassignment of wireless spectrum to their businesses, a massive data crunch will slow wireless networks to a crawl.

Policy Tracker covered the Telecoms Regulation Forum in London last week and found two very different stories coming from mobile operators.

Mark Falcon, head of economic regulation at UK mobile operator Three, told the Forum that he did not really believe predictions of exponential growth in demand for mobile data. Few others believe them either, he added.

Blades

Blades

Falcon’s comments were frank and very rare in an industry that typically sings from the same hymn book on spectrum matters. More typical were remarks from Telefonica Europe’s chief regulatory officer Nick Blades who claimed a wireless apocalypse was imminent without major reallocation of spectrum for the use of wireless phone companies. Blades dismissed views that small cell antennas and offloading more traffic to Wi-Fi would make enough of a difference.

The International Telecommunications Union (ITU) has been criticized by consultants for overestimating required future spectrum requirements for wireless operators. A growing consensus outside of the wireless industry suggests the risks for wireless data tsunamis are “overblown.”

While AT&T and Verizon Wireless lobby heavily for spectrum reallocation in the United States, they routinely tell shareholders they have more than enough capacity to handle traffic for the foreseeable future and are looking for new and creative (and profitable) applications they can add to their existing wireless networks.

Search This Site:

Contributions:

Recent Comments:

Your Account:

Stop the Cap!