Home » Issues » Recent Articles:

FCC Looks to Press More Spectrum Into Service for 5G Wireless

Phillip Dampier April 3, 2018 AT&T, Broadband "Shortage", Broadband Speed, Competition, Consumer News, Public Policy & Gov't, Rural Broadband, Verizon, Wireless Broadband Comments Off on FCC Looks to Press More Spectrum Into Service for 5G Wireless

The Federal Communications Commission is pushing hard to free up additional spectrum in some unlikely extremely high frequency ranges — some at 95 GHz or higher, for the next generation of wireless services.

Just a year ago in 2017, the FCC wrapped up its latest spectrum auction for the higher end of the UHF TV band, to be repurposed for mobile service use. But now the agency is seeking to find and reassign underused spectrum in much higher frequency bands that could be used for services like 5G wireless, machine-to-machine communications, intelligent road and vehicle networks, and other uses yet to be invented or envisioned.

FCC Commissioner Jessica Rosenworcel made it clear that smart spectrum allocation was critical for next generation wireless services.

“The point is the list is long — and we are looking at midband and millimeter wave to power the 5G future,” Rosenworcel said. “The propagation challenges are real, but so is the potential for capacity with network densification. Of course, what we need to do next is get these airwaves to market and unconditionally hold an auction this year.”

The FCC is contemplating auctions covering these frequencies in 2018:

3.5 GHz

Widely expected to draw the most interest, the Citizens Broadband Radio Service band was originally intended primarily for unlicensed users, but the wireless industry has lobbied heavily to get much of this spectrum reassigned for traditional long-term licensed use. Although very high frequency, the 3550-3700 MHz “innovation band” will have plenty of wide range of frequencies open for wireless data and mobile services. The wireless industry wants to deploy LTE service on this band, but they will likely compete with cable operators that are seeking their own stake of frequencies to launch their own wireless services.

This band will likely support last mile wireless connections at gigabit speed, fixed wireless broadband, and even in-home Wi-Fi that is significantly better than what you have now.

Because the band is so attractive, several different users are competing over who will be portioned what spectrum. The cable and phone companies want more for themselves, but other users, including consumers, want to reserve enough spectrum for unlicensed applications. The concern is deep pocketed companies may crowd out innovators and start-ups.

3.7 to 4.2 GHz

Some consumers may have accessed services on these frequencies without ever realizing it. This is the home of the “C-Band,” recognizable to any home satellite dishowner of the 1980s and 1990s. This range of frequencies is set aside for line-of-sight, very low powered satellite television — the kind that used to require a 10-12 foot wide satellite dish in the backyard to receive. FCC Chairman Ajit Pai wants to open the band up to be shared with 5G wireless broadband, which has caused considerable controversy among satellite users who fear devastating interference.

There are proposals and counter proposals from the satellite industry and wireless companies over how to manage sharing this band. Most are coalescing around the idea of sequestering 100 MHz of spectrum at the low-end of the band and using 3700-3800 MHz for high-speed wireless broadband. Some want satellite operators to clear out of this section of frequencies voluntarily, others propose compensation similar to what was given to television stations to relocate their channel positions. Google is pushing for a plan that would offer mobile 5G service in large urban areas and 25 Mbps – 1 Gbps fixed wireless broadband in rural and residential areas.

But satellite companies and many satellite users are fearful of the impact of interference. Because satellite signals use very low power transponders on the satellite, ground based wireless broadband interference could wipe out satellite reception.

Tom Taggart, who owns several radio stations in West Virginia, says sharing spectrum was tried before and did not work well.

“This band, years ago, was shared with AT&T and other telcos for point-to-point long-distance links. Fixed, licensed paths that could be plotted and protected against for satellite installations,” Taggart told Radio World. “Our studios are 1,500 feet from an old MCI tower, at one time we had a metal screen behind our satellite dish to protect against ‘back-scatter’ from a path aimed away from us. Still, we had to convince MCI to shut down one channel so we could pick up a program from Premiere [a radio network distributing programming on satellite].”

Some industry plans propose registering C-Band satellite dishes, at a cost of $600-$1,600 per site, which would allegedly protect them from interference by requiring wireless broadband services to steer clear of the area.

“But I am not even sure what kind of broadband services are proposed,” Taggart said. “One might assume these would be omnidirectional sites, like a typical cell site. Even with some clever computer-engineered directional patterns, reflections off hillsides, billboards, buildings would be enough to overwhelm the tiny satellite signal. However, other articles described these services as ‘mobile.’ Even if my dish is registered, how can I resolve interference problems from a mobile device?”

The debate rages on because the frequencies involved, next to the even more popular CBRS band, are highly coveted.

4.9 GHz

After the events of 9/11 in 2001, the FCC has prioritized public safety communications, in hopes of improving the interoperability of different first responders’ portable radios. At that time, fire agencies could not easily talk to police, ambulance crews, or in some cases other fire crews arriving from different departments miles away.

Many agencies contemplating use of this band discovered equipment that supported 4.9 GHz was hard to find and extremely expensive. Most public safety agencies seeking grants or other funding to improve their communications equipment opted to transition to digital P25 networks that operate on much lower frequencies and use equipment that is now widely available and, in comparison, much cheaper. Many agencies are conservative about using new technology as well, concerned a communications failure could cost the life of a fire or police responder. As a result, of the 90,000 organizations certified for licenses in this band, only 3,174 have been granted. That represents a take rate of just 3.5%. The band, as one might expect, is effectively dead in most areas, underutilized in others.

“As the demand for wireless services continues to grow, it is imperative that the FCC takes steps to ensure underutilized spectrum bands are used efficiently,” said FCC Commissioner Mignon Clyburn. “This is as true for spectrum allocated to public safety as it is for the bands used to support commercial wireless broadband services.”

FCC Commissioner Michael O’Rielly is convinced wireless companies like AT&T and Verizon could use the frequencies more efficiently.

“It has been 16 years since the 4.9 GHz band was allocated to the public safety community, and it is still woefully underutilized,” said O’Rielly. “That is not sustainable in an environment in which every megahertz of spectrum, especially below 6 GHz, needs to be fully scrutinized and maximized in quick order. While the Commission’s original allocation was more than likely well-intentioned, it is way past time to take a fresh look at this 50 megahertz of spectrum.”

Although higher than 3.5 GHz, engineers believe there is a very credible case to be made to use the available spectrum for 5G fixed wireless services, delivering broadband at speeds up to 1 GHz from a small cell located nearby. It would have to be. At these frequencies, virtually anything blocking the line-of-sight between the antenna and the user will block the signal as well. With almost no constituency defending the 4.9 GHz turf, it is expected it will be repurposed for wireless broadband in areas where it isn’t in use for public safety communications.

24/28 GHz

Although the 28 GHz band has many licensed users already, the 24 GHz band does not, and the wireless industry is interested in grabbing vast swaths of spectrum in this band for 5G home broadband. Known as “millimeter wave spectrum,” these two bands are expected to be a big part of the 5G fixed wireless services being planned by some carriers. Verizon acquired Straight Path late in 2017, which had collected a large number of licenses for this frequency range. Today, Verizon holds almost 30% of all currently licensed millimeter wave spectrum, an untenable situation if you are AT&T, T-Mobile, or Sprint. T-Mobile has been the most aggressive seeking more spectrum to compete with Verizon in this frequency range, and has purchased almost 1,150 MHz covering Ohio for use with a 5G project the company is working on.

39 GHz

FiberTower, now owned by AT&T

This band might as well be called “the controversial band” because AT&T made moves on these frequencies even before the FCC got around to discussing an auction for this band, likely also to be used for 5G fixed wireless. FiberTower originally held hundreds of licenses for wireless spectrum for several years, but did little with them, leading to suggestions the company was either hoarding the spectrum to resell to someone else or was incapable of deploying a network that used the frequencies. The company declared bankruptcy in 2012, eventually emerging in the spring of 2014 just in time to watch the FCC uphold the decision of its Telecommunications Bureau to cancel 689 of FiberTower’s licenses for failure to use them.

In February 2018, AT&T completed its acquisition of FiberTower for $207 million. According to AllNet Insights & Analytics, AT&T acquired more than 475 of FiberTower’s 39 GHz spectrum licenses, raising eyebrows among shareholders who lost their investments in FiberTower after it declared bankruptcy. Hundreds of the spectrum licenses that came with the AT&T deal were given a value of $0.00, allowing AT&T a sweetheart deal and shareholders hoping to recover more money from the bankruptcy liquidation extremely upset. In fact, had FiberTower remained in bankruptcy, it would eventually have surrendered all of its licenses, which would then be put up for auction by the FCC and would likely command much higher value among bidders. Verizon effectively paid triple the price for what AT&T got for a song in the FiberTower acquisition. Even more remarkable, the FCC approved the acquisition by AT&T despite the obvious fire sale price, and has ignored the consequences of what could come from an AT&T/Verizon duopoly across large swaths of 5G frequencies.

Eshoo

That brought a rebuke from Rep. Anna Eshoo (D-Calif.) who accused both Verizon and AT&T of flipping public property for private gain.

“The FCC’s policies unambiguously required Straight Path and FiberTower to forfeit their unbuilt spectrum licenses,” Eshoo wrote. “But rather than auction the reclaimed spectrum and promote timely deployment, the FCC’s Wireless Telecommunications Bureau reached ‘resolutions’ with Straight Path and FiberTower than allowed them to profit handsomely from their wrongdoing. Following the ‘resolution,’ Straight Path sold its assets to Verizon for nearly $3.1 billion, and FiberTower is estimated to have sold its assets to AT&T for roughly $2 billion.”

In reality, AT&T acquired FiberTower for $207 million — a fraction of the amount of the estimated value of the spectrum Eshoo used in her estimate.

“The Bureau’s decisions also further concentrated critical input resources in the hands of the two dominant wireless incumbents,” Eshoo continued. “The purchasers of the public assets that Straight Path and FiberTower once held, Verizon and AT&T, already control a disproportionate amount of other critical spectrum available for immediate deployment. Up until recently, the industry had an imbalance in favor of these companies in low-band spectrum that lasted for decades. The FCC now risks going down the same wrong path with high-band spectrum should the Commission continue down this course. Allowing Straight Path and FiberTower to ‘flip’ public assets for private gain does nothing for taxpayers, but does much to further entrench the dominant incumbents’ longstanding spectrum advantage over their rivals.”

95+ GHz

The FCC has not regulated frequencies above 95 GHz, but as technology advances, there is growing interest in utilizing spectrum that many believed would be essentially unusable for communications services. Right now, most frequencies in this range are used by environmental satellites and radio astronomy. At these frequencies, signals would be absorbed by the skin and attenuated significantly by things like high humidity’s haze or fog. Still, there are proposals under consideration to open up a small portion of spectrum for unlicensed home users for things like indoor wireless routers.

The key policy priority here will be to protect existing users from any hint of interference. But with vast amounts of unused frequencies in this range, it shouldn’t be difficult to keep competing users apart.

Funding Cutbacks and Politics Trigger Closure of Multiple Public TV Stations

Phillip Dampier April 2, 2018 Competition, Consumer News, Online Video, Public Policy & Gov't Comments Off on Funding Cutbacks and Politics Trigger Closure of Multiple Public TV Stations

PBS TV stations in smaller communities and secondary PBS affiliates and public stations in large ones are ending their free, over-the-air television broadcasts after decades of service because of politics, budget cuts and repacking the TV dial to give up more spectrum for wireless providers.

The most significant trigger for the impending closedown of several stations, especially those run from universities, is the FCC’s spectrum auction and reallocation plan, repacking UHF stations into a much smaller number of available channels, requiring stations to buy new transmitting equipment many cannot afford.

The original plan to repack television stations reassured affected broadcasters that the auction proceeds from the wireless industry auctions would cover the costs of the necessary new equipment.

KNCT’s coverage partly overlaps other nearby public stations.

Then Central Texas College, which owns and operates PBS affiliate KNCT in Belton, Tex., learned Republicans in Congress might appropriate only enough funding to cover 60% of the transition costs. The trustees that oversee KNCT, which serves central Texas, realized they would have to find roughly half of the $4.5 million needed to change their channel from 46 to 17 as part of the “station repack” and hope Congress would change its mind and reimburse the station.

That was money the trustees ultimately decided could not be found, especially as annual deficits at the station now average $500,000 — costs covered by the college.

KNCT general manager Max Rudolph, who has been in charge of KNCT for most of its 38 year history, said the station will now have to leave the airwaves.

“The board had to make a tough decision, but repacking was only the tip of the iceberg,” Rudolph said. “It’s economics — dollars and cents.”

KNCT operates with a staff of 15 — including five part-time employees, that take care of both the PBS TV station and KNCT-FM, which will continue on the air. The annual budget for the TV station was about $1 million, half spent on PBS membership and programming. Donors also provided around $160,000 a year.

KNCT-TV serves the Belton/Killeen/Temple/Waco, Tex. market, although KNCT’s signal struggles to reach into the northeastern part of its service area near Waco, where public TV station KAMU-TV in more distant College Station strangely provides a better signal.

The station hopes to continue operations through online streaming and on-demand shows kept on its website, but both require a subscription to internet service. For parts of central Texas, it represents the end of free PBS over-the-air programming.

Last year, Central Michigan University decided to accept a $14 million offer for satellite PBS station WCMZ-TV in Flint to vacate its current UHF channel and close down for good April 23, 2018. WCMZ-TV’s signal reaches as far away as Port Huron, Detroit and Lansing. But its intended market was Flint, which lacked local PBS service when the station signed on more than 30 years ago. Today, Central Michigan University still operates its primary station WCMU in Mount Pleasant, along with WCMV, which serves Cadillac and Traverse City, WCML, serving Alpena, Petoskey, Cheboygan and the Straits of Mackinac, and WCMW, which broadcasts to the Lake Michigan communities of Manistee, Ludington and Pentwater.

CMU officials are pulling the plug on WCMZ because, they claim, 99 percent of viewers live in areas that are now served by other public broadcasting stations. While cord cutters may miss WCMZ, cable and other pay television customers likely won’t because the service is expected to continue uninterrupted on cable and possibly satellite.

KMTP, San Francisco’s youngest multicultural public television station, is looking for a new home after selling its spectrum for $87.8 million in last year’s FCC auction. KMTP is licensed to Minority Television Project, Inc., a not-for-profit corporation, and serves the San Francisco Bay Area with non-commercial public television. KMTP broadcasts international programming in multiple languages including English and is not affiliated with PBS.

Its best chance to survive is dependent on an acquisition or arrangement with Poquito Mas Communications LLC, the licensee of low-power KCNZ in San Francisco, which is best known for carrying Creation TV, a Chinese language religious network. KMTP can either occupy several of KCNZ’s subchannels, or potentially buy the station outright. As a low power outlet, KMTP can hope to keep carriage on cable television, giving it perfect reception in areas where KCNZ’s low-power UHF transmitter cannot reach. But that means cord-cutters may have no access to the channel unless they live near the transmitter.

WUSF-TV, on the air in Tampa for 51 years, signed off late last year after the University of South Florida decided to liquidate the station for $18.8 million in auction proceeds from the FCC’s spectrum auction. The area’s larger PBS station, WEDU, has absorbed most of the programming that used to appear on WUSF, which now appears as a virtual subchannel on WEDU — unofficially called WEDQ.

Today, WEDU carries six different signals on its over the air digital channel: WEDU/PBS HD, PBS World, PBS Kids, WEDU+, Florida Channel, and Create TV. Many of these services are also available on cable television. But the original competing voice from WUSF is now gone.

WYCC in Chicago was the city’s second PBS affiliate, behind the larger and better known WTTW. Licensed by City Colleges of Chicago, the trustees decided to liquidate WYCC last year for cash as part of the FCC’s spectrum auction.

WYCC began its operations in 1983 with a message from President Ronald Reagan, congratulating the station for producing adult learning programming lacking on commercial television. WYCC first ended its PBS affiliation in 2017 and had one sole program provider, MHz Networks’ WorldView, when it ceased broadcasting on Nov. 27, 2017.

WTTW has sought to claim WYCC’s remaining assets and intends to place WorldView on one of its subchannels in the future. It already grabbed two Australian shows WYCC used to air:  “Miss Fisher’s Murder Mysteries” and “The Doctor Blake Mysteries.” All that will remain of WYCC are its “call letters,” which could possibly reappear when WTTW launches WorldView.

Alabama Passes New Broadband Accessibility Act, $20 Million in Tax Credits for Rural Expansion

Phillip Dampier April 2, 2018 Broadband Speed, Consumer News, Public Policy & Gov't, Rural Broadband Comments Off on Alabama Passes New Broadband Accessibility Act, $20 Million in Tax Credits for Rural Expansion

Gov. Ivey signs SB149.

Alabama Governor Kay Ivey last week signed into law SB149, the Alabama Broadband Accessibility Act, authorizing the creation of a broadband accessibility grant program to be administered by the Alabama Department of Economic and Community Affairs. The bill, sponsored by Senator Clay Scofield (R-District 9) and Representative Donnie Chesteen (R-District 87), also creates the Alabama Broadband Accessibility Fund.

According to a press release from the governor’s office, there are more than 842,000 people in Alabama without access to a wired connection capable of 25 Mbps download speeds. Over 1 million people in Alabama have access to only one wired provider and another 276,000 people don’t have any wired internet providers available where they live.

“The internet is vital to economic development, health, education, and to be honest, all areas of our modern life. This common sense legislation will help us attract new broadband to areas that need it most, especially in rural Alabama,” Governor Ivey said. “I congratulate Senator Scofield and Representative Chesteen for a job well done in seeing this bill through the legislature. It is just another step forward as we improve access to high-speed internet sooner rather than later.”

Sen. Scofield

Media reports claimed the new bill would help “thousands” of Alabama’s unconnected to get access to broadband service for the first time. A closer look at the legislation shows an effort to encourage private internet providers in the state to expand their networks in areas they currently consider unprofitable to serve.

At the heart of the new law is up to $20 million in state tax credits for providers willing to expand broadband:

  1. A state income tax credit equal to 10% of the new investment a provider spends to build or upgrade broadband service in a qualified unserved area.
  2. A 10-year exemption from sales tax for any qualified broadband network facilities that are built with new investment, starting the date those upgrades go live.
  3. A sales tax exemption applicable to the purchase of equipment needed for the upgrade.

Rep. Chesteen

There are annual caps on the credits, limiting the amount Alabama is willing to spend on the program:

  1. $750,000 limit per provider if the upgrade provides up to 10/1 Mbps service;
  2. $1,400,000 limit per provider if the upgrade delivers up to 25/3 Mbps service.
  3. $20 million annual cap on program – $18 million designated for rural projects, $2 million for areas that do not receive at least 10/1 Mbps service.

In contrast, New York State’s rural broadband expansion effort paid $209.7 million in the third round of its funding program alone to extend service to an additional 122,285 rural homes, businesses and community institutions. Fairpoint Communications (today doing business as Consolidated Communications) received $3.2 million — more than twice the maximum amount Alabama will pay any one provider — to extend service to just 407 homes in the Capital and mid-Hudson region of the state.

Alabama is also counting on the Trump Administration’s infrastructure improvement spending program that will enable applicants to finance a project by combining loans and grants to provide broadband to eligible rural and tribal areas. But almost all that money will be spent on private providers, and will cover only a small portion of their costs. For a broadband expansion program to be successful, providers will have to determine if the amount of tax credits and exemptions available will allow such projects to pass the critical Return On Investment (ROI) test companies use to decide where to offer service.

Renting? You May Lose “Free” Spectrum Cable TV Over Contract Disputes

Phillip Dampier March 28, 2018 Charter Spectrum, Competition, Consumer News, Video 6 Comments

No TV for you until you sign here.

Charter Communications is asking owners of apartment complexes, nursing homes, independent living/assisted care residences, and hotel and motel owners to sign new agreements allowing Spectrum to lock owners into a 10-year contract that includes a provision allowing retroactive rate increases and a requirement to turn over personal information on every resident to the cable company.

A number of apartment complexes bundle “free cable TV” into the lease as a selling point for renters. Others pay a discounted rate that is part of a resident’s monthly rent payment or service fee. These agreements are part of the murky world of “bulk service contracts” for cable service, and disputes between a property owner and Spectrum can cause the loss of cable service for every resident without warning.

Most of the disputes involve apartment complexes, assisted-living facilities, and hotels/motels formerly served by Time Warner Cable. Most are still under relatively short-term contracts with Time Warner Cable, which was acquired in 2016 by Charter Communications. Good Shepherd Fairview Nursing Home in Binghamton, N.Y. and Good Shepherd Communities, a senior living center in Endwell, N.Y., are good examples.

Mike Keenan has been involved in long-term senior care for 30 years, and over that time he has negotiated hundreds of contracts. But as WICZ in Binghamton reports, nothing prepared him for dealing with Spectrum and Charter Communications.

Good Shepherd Village is a senior living center in Endwell, N.Y.

Charter is using its ongoing digital conversion program as a tool to force “bulk contract” holders to sign new agreements with Charter Communications, often replacing still-valid contracts with Time Warner Cable. Many are not happy about the new terms Charter is offering, particularly one that locks them in with Spectrum service for the next decade and another that allows the cable company to raise rates retroactively.

Those unwilling to sign new contracts have been threatened with service being shut off, usually as digital conversion and TV signal encryption reaches their area, which requires new equipment to keep watching. Those complex owners that still refuse to sign are required to share each tenant’s personal details and address with the cable company.

“Spectrum had taken the position that even though we had a contract in force until December 2018 that we needed to sign a new contract immediately,” said Keenan, president and CEO of Good Shepherd Communities. “If not, they threatened that we would lose service at our Good Shepherd Fairview in Binghamton location and our Good Shepherd Villages at our Endwell location.”

Charter was true to its word. Efforts to negotiate obtaining digital adapters or set-top boxes under the old Time Warner Cable contract failed and with no warning, all 161 nursing home residents at Good Shepherd Fairview lost their cable television on Feb. 27. Two weeks later, 264 residents at Good Shepherd Village — the senior living center — also lost their television and internet service.

The loss was devastating to residents, especially at the nursing home.

“Many of the residents are frail, some of them may be bedridden and their TV means everything to them,” Keenan said.

Keenan’s contract with Time Warner Cable was still valid, and its terms made it clear as long as Good Shepherd kept their payments current, they were owed service that Charter ultimately took away from hundreds of residents.

Apartment complex owners around the country are reviewing new contracts from Charter Communications and many are dropping “free cable TV” after decades of offering the service as an amenity included in the rent. Many who are ending their contracts believe a growing number of tenants neither need or want traditional cable service.

The deal-breaker for many is Charter’s insistence on offering a bulk discount only if the entire building signs up for service, which means owners will have to pay out-of-pocket for Spectrum service in vacant units or in apartments where the tenant has service with another provider.

WICZ in Binghamton, N.Y. reports Charter Communications used nursing home residents as pawns to force the hand of a nursing home manager to sign a new Spectrum contract, even though the current one with Time Warner Cable has not expired. (3:11)

Keenan

“Let’s say you’re paying for Spectrum” – the brand name for Charter’s service – “for 100 percent of the units,” attorney Tara Snow, a partner at Novitt, Sahr & Snow, told Habitat. “You may have 90 or 95 percent of the apartments signing up, but you always have some units that don’t.”

That leaves someone on the hook, either tenants or the property owner, to pay for cable service that nobody is watching. Under Time Warner Cable just a few years ago, the cable company would pay a co-op, condo association, or apartment owner an upfront cash bonus and ongoing “revenue-share fees” for getting a majority of residents — but not all — to sign up for service. It also allowed the company to market holdouts door to door.

No such luck with Charter, which wants to be paid for every unit no matter who is at home. For property owners staying loyal to Spectrum, some are absorbing the extra costs while others pass them on to tenants as part of their rent or monthly maintenance/service surcharges. A few are trying cost sharing arrangements that divide up the total bill equally among all tenants. But as younger renters move in and increasingly show no interest in cable television, the dwindling number who have cable are paying more and more to cover those that don’t.

“People are cord-cutting,” says Brian Scally, vice president of Garthchester Realty, a management firm. “Most people who still want cable want to select their own cable/internet/telephone provider.”

Of the 64 properties he manages, Scally told Habitat fewer than a dozen have signed up for a bulk rate, and those deals were signed years ago.

“I haven’t brought anybody new to bulk rate,” he says.

The other deal breaker for many is Spectrum’s 10-year contract, which locks owners in with a cable company a lot of tenants despise.

As a result, a growing number of apartment complexes and condos are terminating their bulk cable contracts as they expire, and have no intention of renewing under Charter’s draconian terms. Affected tenants are informed the “free” cable television they were receiving is ending and they should make individual arrangements with Spectrum to maintain service going forward.

Hotel and motel owners are also finding fault with Charter Communications, and some are taking their disputes to the Federal Communications Commission.

Yvonne Peach, who owns the Historic Coronado Motor Hotel in Yuma, Ariz., says dealing with Charter has been a nightmare since the merger.

After Charter converted commercial Time Warner Cable and Bright House customers to Spectrum plans and pricing, she lost service to all of her motel rooms for more than a week.

Historic Coronado Motor Hotel – Yuma, Ariz. (Image courtesy of owner)

“When they did the change over we didn’t have any cable TV in the hotel for 12 days,” Peach told KYMA-TV.

Spectrum advised her best solution would be to install leased set-top boxes in the hotel’s 126 rooms, a solution she claims caused even more problems. It seems Spectrum’s equipment doesn’t appreciate Yuma’s southwest Arizona heat, and the boxes regularly fail when air conditioning is switched off in unoccupied rooms.

“We’ve had over 100 of them replaced probably in the last I don’t how many months,” she said. “It’s a box that if the room isn’t rented every night it becomes deactivated.”

Those paying to stay in the motel are not happy to reach their rooms and find the television isn’t working either.

“We’ve lost thousands of dollars with people that would move out because of no TV in their room,” Peach said. “It comes and it will say dial an 800 number or something. But you know the guest. They are paying a certain amount for the room and they’re not going to call.”

KYMA-TV in Yuma, Ariz. reports Charter told this hotel owner her cable boxes were not working because they are not being kept air-conditioned. (2:29)

Spectrum ignores her complaints, she claims, transferring her from call center to call center in search of a solution. She finally took her complaint to the FCC, something she does not think should be required after paying the company $1,600 a month for cable television.

In response, Spectrum blamed the lack of air conditioning for its box failures, in addition to the “relocation of the digital adapters by hotel staff, which are dedicated to a particular room on the account.”

In other words, if you move equipment between hotel rooms, Spectrum claims that equipment will deauthorize. Spectrum effectively wants motel guests placed in rooms where their cable equipment is still functioning, preferably where air conditioning is left running.

“If you’ve been driving all day and you get in your pajamas and you’re ready for bed and you’re watching TV and the TV doesn’t work, do you want to move to another room without complaining? No, nobody does,” said Peach.

In upstate New York, heat isn’t a significant problem, but having a bulk account representative in Rochester, 2.5 hours away by car from Binghamton is. The representative did not understand Binghamton and Endwell are two different communities about seven miles apart.

“This whole thing could have been avoided,” Keenan said. He called the New York Public Service Commission to complain and within a day multiple Spectrum trucks arrived loaded with set-top boxes — one per residence, potentially finally resolving the dispute, but not the bad feelings that emerged as a result.

“Time Warner Cable was saying ‘we need our customers,’” Keenan said. “The experience I have had with Spectrum is Spectrum is saying ‘you need me.’”

WICZ-TV follows up the next day with this report explaining why it is important to stay wary of cable companies offering long contracts. (1:09)

Capped Comcast Customers Play Columbo to Identify Data Hogging Services

Nathan Gray woke up one morning this month and received an alarming notification from Comcast, his internet provider, claiming he had exceeded his Comcast terabyte data cap and was being billed an additional $10 for a 50 GB allotment of extra data.

“This has never happened before and I was only six days into my monthly billing cycle, so I assumed it must be a mistake,” Gray told Stop the Cap! “But Comcast told me it wasn’t a mistake.”

Gray was hardly alone. One month earlier, “Bogreenwoo” discovered his family had blown the roof off their internet usage, exceeding 1 TB by the middle of the billing cycle, with more usage piling up hour after hour.

“Xfinity was adding 50 GB blocks every day at $10 each and calls to tech support were no help,” he shared on Comcast’s customer support forum.

Similar complaints are brought up on that forum at least weekly, if not more often. Comcast counterclaims that usage exceeding 1 TB a month is so rare, it represents only about 1% of its customer base. But customers with huge internet bills from Comcast who stumble their way to the company’s support forum strongly dispute that notion.

“Well good luck with finding a solution or even finding anyone at Comcast who cares or anyone anywhere else as far as that goes,” shared “Amaasing.” “I have had this issue more than once and have talked with every vice president of customer service and had discussions with the security department and even filed a complaint with the FCC and nothing happened at all.”

Some users, like Amaasing, have received so many bills stung with overlimit fees they now turn their computers off in the evening and unplug their cable modems. In many cases the usage keeps rising anyway.

“Today when I logged in, I had apparently used 196 GB yesterday,” Amaasing wrote. “196 GB in 24 hours?  Seriously?”

For most customers in this predicament, Comcast is quick to blame customers for the usage and leave the detective work up to them. Customer support will not entertain suggestions their usage meter is inaccurate. In their view, it is more likely someone is illicitly connected to your Wi-Fi and stealing your service or you are running some bandwidth-heavy application or your computer has been hijacked by hackers or pirates.

While you are left to investigate which of these might be true, Comcast is free to continue billing your account overlimit fees.

Comcast claims it will forgive customers who exceed their data allowance twice ‘a year’:

“We’ll provide you with two courtesy months, so you will not be billed the first two times you exceed a terabyte while you are getting used to the new data usage plan. This means that you will only be subject to overage charges if you use more than a terabyte for a third time in a 12-month period. If you use more than a terabyte two times or less in a 12-month period, your courtesy month balance will reset to two at the end of these 12 months. However, if you use more than a terabyte three times in a 12-month period, no more courtesy months will be given.”

After “courtesy months” expire, you are on the hook for whatever excess usage Comcast determines you have consumed. Some Comcast customers assume the courtesy month counter resets each calendar year, but in fact it only resets after 12 consecutive months of staying within your allowance limit.

What causes “excess usage” is anyone’s guess. Comcast customers have documented several recent causes why they have mysteriously started blowing through their 1 TB data allowance:

  1. The growing prevalence of 4K video, the highest streaming video quality available through online video streaming services can be responsible for a sudden spike of usage. Netflix and other services that support 4K video content with high dynamic range can eat up 7 GB to 10 GB of data per hour. Many services allow you to downgrade your video settings with minimal quality loss. We recommend trying settings typically labeled 720 or 1080 — the lower the better if you are running up against your allowance.
  2. Third party backup and cloud storage tools: That online backup or cloud storage service you are using may be malfunctioning. There are several reports about Amazon Drive having problems recently, causing files to be repeatedly transferred and driving up usage to several hundred gigabytes a day in some cases. If you use Amazon Drive and have seen a huge spike in usage, try uninstalling or turning off the service for several days and see if usage falls dramatically. Other file and computer backup services that store your data in the cloud can consume a lot of data, especially when installing them on a new computer for the first time. Even some cell phone backup services designed to store your photos in the cloud can malfunction and repeatedly try to send the same photos over and over. Disable these tools for several days and check your usage levels.
  3. Third party usage: Family members doing something bandwidth intensive can also be responsible for dramatic usage spikes. Although downloading video game updates can consume very large amounts of data, game play itself typically has little impact on your data usage. Check with family members to see if they are watching high bandwidth video or have installed a file backup service. Less common is an uninvited guest on your Wi-Fi network. Comcast often points to Wi-Fi security as a major problem when a neighbor gains access to your internet connection to download huge numbers of files. You can change your Wi-Fi password to help lock down your network. Make sure not to use plain word passwords — use a mixture of letters, numbers, and symbols.
  4. Comcast’s meter is simply inaccurate. There is no independent third-party verification or government oversight of Comcast’s usage meter. Most ISPs hire a third-party contractor to design and implement their data measurement meters, but those contractors are ultimately answerable to the provider — not to you, giving little peace of mind to consumers who are forced to trust their cable company to be honest. Our country’s Founding Fathers placed great importance on accurate measuring and weighing tools, so much so it is addressed in Section VIII of Article I of the U.S. Constitution. That section gives authority to Congress to establish accurate and regulated measurement tools. Each state has their own way of managing this, often with a bureau of weights and measurements that independently verifies and certifies — with a tamper-evident sticker, the accuracy of the food scale at your local grocer or the gas pump at a nearby service station. Comcast has resisted similar third-party oversight for its usage meter. But considering the company’s overlimit fees can add a substantial sum to customer bills, having this kind of oversight seems appropriate.

Avoiding the usage cap: Comcast ironically provides its own insurance plan to protect customers from its own arbitrary data allowance. For peace of mind, Comcast collects an extra $50 a month ($20 for gigabit speed DOCSIS 3.1 plans) if you wish to waive the data cap altogether. Data caps are completely under the control of Comcast and are especially prevalent in regions of the country where a lack of competition exists. But Comcast’s arguments in favor of data caps don’t wash at the nation’s second largest cable company – Charter Communications, which markets its internet service as having no data caps at all. In fact, Charter CEO Thomas Rutledge never saw much use for data caps at Charter or Cablevision, the company he used to head.

Debunking arguments for usage caps at Comcast and other ISPs. (5:46)

Search This Site:

Contributions:

Recent Comments:

Your Account:

Stop the Cap!