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Breaking News: Comcast’s Nationwide E-Mail Outage

Phillip Dampier January 13, 2012 Comcast/Xfinity, Consumer News Comments Off on Breaking News: Comcast’s Nationwide E-Mail Outage

Comcast’s e-mail service failed for customers across the country this morning, creating a storm of complaints on Comcast’s customer support forum.

The outage appeared to begin at around 10:00 ET this morning and blocked access to customers relying on Comcast for their electronic mail.

Stop the Cap! reader Bob dropped us a line to let us know about the problem, and its impact appears to be near-universal for Comcast/Xfinity customers.

One reader who managed to get through on Comcast’s overwhelmed customer support phone line sent along this news:

“I contacted Comcast and got a recording that their email servers are having technical issues and their techs are aware of the problem and are working to resolve the issue. They did not give a time frame when the servers would be back on line.”

A Comcast employee reported:

“This is a top priority issue we are working on right now and have all the required engineers working hard to fix this.  As a workaround, can you try accessing your email using the online mobile site:

http://m.xfinity.com/m/ “

As of 12:45pm ET, e-mail services were starting to return to normal, but with a new problem — a flood of backlogged e-mail is now trying to work its way to customers, delaying the sending and receiving of new e-mail messages.

Users of other web-based e-mail services like Gmail are unaffected.

Comcast Spanked for Sneaky Truck Roll Fees; Certain Maryland Residents Getting Refunds

Phillip Dampier January 13, 2012 Comcast/Xfinity, Consumer News Comments Off on Comcast Spanked for Sneaky Truck Roll Fees; Certain Maryland Residents Getting Refunds

Some Comcast Cable customers in Montgomery County, Maryland are due refunds ranging between $19.95-39.95 for “truck trip fees” that came as a complete surprise.

Since 2007, Comcast has been quietly charging customers for service repair calls that the cable company determines are the result of inside wiring defects, customer-instigated equipment failure, or “no-cause” visits that find no problems with the customer’s service.  But after 85 Comcast customers in the county complained about service call fees that were never disclosed to them, Comcast is agreeing to return the money to affected customers.

Montgomery County, Maryland

In an agreement with the Montgomery County Office of Consumer Protection, Comcast must disclose that service call fees may be applicable under certain circumstances.  Customers must be given the option of canceling the service call with no penalty.

Service call fees are not charged when the company finds trouble in its own equipment or wiring.  In many cases, service call fees come at the discretion of the service crew dispatched to customer homes.  Customer attitude towards the cable company employees can make a big difference in getting them to waive fees, even if the problem turns out to be the customer’s responsibility.

Comcast is not alone charging fees for customer-created problems.  Verizon charges up to $110 in Maryland; RCN — a competing cable company — charges up to $49.95.

Under the terms of the settlement, Comcast does not have to admit any wrongdoing.

Judge Dismisses Hidden Cable Modem Fee Lawsuit Against Comcast

Phillip Dampier January 13, 2012 Comcast/Xfinity, Consumer News, Public Policy & Gov't 2 Comments

Motorola cable modem

A California federal judge has thrown out most of a class action lawsuit that charged Comcast with marketing broadband service plans without disclosing extra fees for cable modem equipment.

The head plaintiff, Athanassios Diacakis, claimed Comcast sold Triple Play promotions over the phone and in the media without mentioning customers would also have to pay additional fees to lease a cable modem.  Diacakis accused the cable operator of violating California’s tough false-advertising laws by not fully disclosing all fees and surcharges while explaining the promotion.

U.S. District Judge Saundra Brown Armstrong disagreed, however, dismissing most of the plaintiffs claims.  The judge didn’t declare Diacakis’ claims untrue, but ruled they were insufficiently documented to proceed to trial.

“The [amended complaint] fails to specify when or where Comcast advertisements were viewed, the content of those advertisements, or which of them in particular Plaintiff relied upon,” Armstrong wrote.

Diacakis is free to submit an amended complaint if he wishes to proceed with his class action case.

Comcast charges customers $7 a month to lease cable modem equipment, but invites customers to purchase their own cable modems to avoid rental fees.  Many customers do just that, choosing from several dozen approved models Comcast will provision for broadband customers.  The cost to purchase cable modem equipment ranges from $50-125 on average, depending on the cable modem selected.  It takes less than two years for purchased cable modems to effectively pay for themselves at Comcast’s current rental rate.

FCC Upset Over Comcast’s Admission It Had No Intention to Use Wireless Spectrum It Acquired

McDowell

Republican FCC Commissioner Robert McDowell is questioning whether Comcast misled the federal agency when the cable company acquired wireless spectrum it now says it had no intention of ever using.

McDowell was reacting to Comcast chief financial officer Michael Angelakis, who admitted this week his company really never had any interest in competing in the wireless space.

“Were they purchased under false pretenses?” McDowell asked.

Comcast has since sold their acquired spectrum to Verizon Wireless, which in Angelakis’ view makes sense.

“We never really intended to build that spectrum, so therefore it’s a really good use of that spectrum,” Angelakis said.

That admission puts Comcast in a difficult position, because FCC rules mandate that companies acquiring scarce wireless spectrum make a good faith effort to use it.  In McDowell’s view, had Comcast never intended to put the frequencies to use, the FCC probably would have disallowed the acquisition.

Verizon Wireless also plans to pick up unused spectrum originally acquired by Time Warner Cable in a deal that would let both companies cross-promote cable and wireless products and avoid head-on competition.

Both Comcast and Time Warner Cable have warehoused unused spectrum for several years.  Neither company appeared serious about building competing wireless networks, and with the spectrum off the market, would-be competitors couldn’t launch service either.

Verizon agreed to pay $3.6 billion to acquire the cable industry-owned spectrum, which it intends to use to bolster its LTE 4G network.

The FCC is now seeking public input on whether it should approve the spectrum sale. The Justice Department is also considering its antitrust implications.

Rate Increases for One and All: AT&T, Comcast, Cox, DirecTV — Up, Up and Away

Customers of some of the largest cable, phone, and satellite companies will pay an average of 3-6 percent more for service in a series of rate increases taking effect between now and the end of February.

AT&T U-verse

If your introductory offer has expired, expect to pay more for just about everything as of Feb. 9.

Cable TV:

  • U-family will increase from $54 to $57,
  • U100 will increase for some from $54 to $59 and for others from $59 to $64,
  • U200 will increase from $69 to $72/U200 Latino will increase from $79 to $82,
  • U300 will increase from $84 to $87/U300 Latino will increase from $94 to $97,
  • U400 will increase from $109 to $114,
  • U450 will increase from $117 to $119/U450 Latino will increase from $127 to $129.

For high speed Internet customers who ordered their current speed before June 12, 2011, effective with the February 2012 billing statement, the monthly price for Basic will increase from $19.95 to $25, Express will increase from $30 to $33, Pro will increase from $35 to $38, Elite will increase from $40 to $43, and Max will increase from $45 to $48. If you are paying a monthly high speed Internet equipment fee for the Residential Gateway, the amount will increase from $4 to $6.

For Voice Unlimited, effective on February 1, 2012, the monthly price will increase from $33 to $35.

AT&T blames increased programming costs and “the cost of doing business” for the rate increases.  AT&T is increasing broadband pricing despite enjoying further cost reductions from their Internet Overcharging scheme implemented in 2011.

Comcast

Comcast implements rate increases at different times of the year throughout its national service area.  But a preview of what is forthcoming can be seen in south Florida and Minnesota, where Comcast’s new rates for 2012 have increased an average of 5.8 percent.  That comes after a 2 percent rate hike last year.  It’s a bitter pill for many customers to swallow, because Comcast has also been moving popular cable channels like Turner Classic Movies into the more expensive Digital Preferred package.  The price of that full basic package will now run just short of $85 a month. Customers in Minneapolis are staring down these new rates:

  • Basic 1: no change in most franchise areas.
  • Digital Economy: increases from $29.95 a month to $34.95 a month, or 16.7 percent.
  • Digital Starter: increases from $62.99 a month to $66.49 a month, or 5.6 percent.
  • Digital Preferred: increases from $80.99 a month to $84.49 a month, or 4.3 percent.

Comcast blames increased programming costs and upgrade expenses associated with its now completed DOCSIS 3 project.  Comcast also has converted many of its service areas to all-digital service, which has opened up additional room to sell more expensive broadband packages, add additional HD channels, and make room for new product lines relating to home automation and security.

Cox Cable

Broadband Reports readers are sharing anecdotal evidence Cox has begun its own 2012 rate increase campaign.  In Florida, cable TV rates are up yet again:

Prices for Cox TV and Cox Advanced TV will be as follows:

  • Cox TV Starter will change from $19.55 to $22.85/mo.
  • Advanced TV will change from $5.50 to $4.20/mo.
  • Advanced TV Standard Definition receivers will change from $5.55 to $6.99/mo.
  • Advanced TV High Definition, High Definition/DVR & DVR receivers will change from $7.45 to $7.99/mo.

Advanced TV Paks will change:

  • Any 1 Pak (excluding Variety Pak) from $4.00 to $4.25/mo.
  • Any 2 Paks (excluding Variety Pak) from $8.05 to $8.50/mo.
  • Any 3 Paks from $12.00 to $12.50/mo.
  • Variety Pak will be $4.00/mo.

Premium pricing will change:

  • 1 premium channel from $13.99 to $14.99/mo;
  • 2 premium channels from $23.99 to $24.99/mo;
  • 3 premium channels from $30.99 to $34.99/mo;
  • 4 premium channels from $36.99 to $44.99/mo.
  • (Pricing for the 3rd and 4th Premium channels will be grandfathered at the current price for existing customers.)

Cox’s Preferred Internet tier is increasing from $49.99 to $53.99 a month.  Basic phone service increases from $11.75 to $13.18, and popular calling features like Caller ID are also increasing (from $5.95 to $9.00 per month).

Rates vary in different franchise areas.

DirecTV

The satellite TV provider will raise rates on Feb. 9 by 4 percent on average. Its costs are going up by more than that, the company said on its website: “The programming costs we pay to owners of TV channels will increase by about 10 percent.”

DirecTV defends its rate increase, noting it will introduce new features in 2012 that include more than 170 HD channels and the most 3D viewing options of any television provider.  The full breakdown is provided from DirecTV:

Rate increases effective February 2012. Click image to enlarge.

Consumer Tips

  1. Customers who subscribe to bundled services will see the fewest rate increases.  The more services you bundle, the lower the typical cost of each component within the bundle.  It rarely pays to have one company as a TV provider and another delivering your broadband because standalone service pricing is increasingly the most expensive option.
  2. Ask for an extension of your introductory or promotional rate.  Request pricing from the competition and be prepared to summarize it with your current provider when arguing for a lower rate.  If your current provider thinks you are serious about jumping to another provider, they may lower your rates to keep your business.
  3. Be prepared to switch.  Cable companies base their retention offers on several factors: what the competition offers, how long you have been a customer (2+ years guarantees a better retention deal) and how you pay your bill.  If you are a late payer, expect a much more difficult time negotiating a lower rate.  You may encounter a brick wall if you are labeled a “flipper” that jumps between providers’ introductory pricing offers.  But even these customers will be welcomed back, with lower rates, when they inevitably return.  They just won’t get their promotional offer renewed.
  4. Some companies reserve their most aggressive pricing for customers who actually schedule a disconnect or turn in their equipment.  Cable companies have gotten wise to empty threats from negotiating customers.  If you schedule a complete service disconnection two weeks in advance, some companies will take you seriously and call you with the most aggressive “win back” offers available, especially if you turned in your cable equipment.
  5. Dump extras overboard.  Premium channel pricing has skyrocketed recently after remaining relatively stable for nearly two decades.  HBO is now at or above $15 a month in many areas.  As customers try to economize, premium movie channels are usually the first to go, and many cable operators are starting to lose preferred wholesale volume pricing discounts.  They are passing along new, higher prices to the dwindling number of premium customers left.  Scrutinize your cable bill carefully for potential savings.  Look for mini-pay tiers of HD channels you never watch, consider downgrading your “digital phone” package to local-only calling if you rarely make long distance calls, and consider tossing “Turbo” broadband speed packages that only incrementally increase download speed.  Many customers originally signed up to obtain higher upload speeds, but as cable companies boost speeds for all of their customers, the extra boost may no longer be worth the money.

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