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Mid-Atlantic Storm Damage Shows Big Telecom Unprepared for Bad Weather

Phillip Dampier July 5, 2012 Comcast/Xfinity, Consumer News, Cox, Frontier, Public Policy & Gov't, Rural Broadband, Verizon, Wireless Broadband Comments Off on Mid-Atlantic Storm Damage Shows Big Telecom Unprepared for Bad Weather

NOAA caught this ominous derecho cloud front in La Porte, Ind on June 29. The same storm would later cut power for millions all the way to the eastern seaboard.

A series of severe thunderstorms accompanied by near-hurricane-force winds caused millions of customers in several Mid-Atlantic states to lose power and telecommunications services late Friday, and some are expected to remain without service until at least this coming weekend.

The storm, known as a “derecho,” uprooted trees, which in turn knocked down power lines and caused wind-related damage to buildings from Ohio to West Virginia, Virginia to Maryland, and even into North Carolina.

But the storm also is raising questions about the massive failures in commercial telecommunications systems that left entire 911 emergency response systems offline for days, wireless networks non-operational, cell phone systems overwhelmed, and broadband service, deemed a lower priority by emergency officials, down and offline.

Some of the biggest problems remain in and around the nation’s capital and in the states of West Virginia and Virginia, where inadequate infrastructure proved especially susceptible to the storm’s damaging winds.

D.C., Maryland, and northern Virginia

In northern Virginia, calls to 911 were met by silence over the weekend, thanks to a catastrophic failure of Verizon’s landline network. With primary lines down, Verizon’s backup 911 systems also failed, leaving millions with no access to emergency responders.

Fairfax County officials finally put the word out the best way to summon emergency help was to drive (through streets littered with debris and downed power lines) to the nearest fire or police station for assistance.

“It’s just not OK for the entire 911 system in the region to go down for the period of time that we were out, especially after an enormous emergency where people needed to make those calls the most,” Sharon Bulova, chairman of the Fairfax County Board of Supervisors, told the Associated Press.

Verizon spokesman Harry Mitchell was left flat-footed, promising an investigation into Verizon’s latest 911 failure, and called the storm as damaging as a hurricane. He urged local officials to “move forward” beyond the immediate criticism and help make progress to get service restored.

Many emergency response networks also depend on telecommunications services, including fiber cables, to reach transmission towers for radio dispatch and mobile data terminals. In northern Virginia, the city of Alexandria has been managing to handle emergency dispatch services for several counties.

With power lines down, cable and phone lines often went as well. In those cases, electric utilities have first priority to restore service, and then cable and phone companies can begin repairs of their own.

Since cable operators rely on power companies to supply electricity to their amplifiers and other equipment, Comcast and Cox, which dominate the region, are blaming most of their outages on power disruptions, and promise service will be restored when the power returns.

Verizon’s DSL and FiOS broadband networks were both disrupted by the storm, primarily because of downed lines and power losses.Even wireless networks, which some might suspect would be immune to downed lines, were also seriously affected by the storm. Cell towers connect to the provider’s network through fiber optic and T1 lines, and although backup power generators can maintain a cell tower for days in some cases, backhaul line cuts can leave cell towers useless.

In metro D.C., call completion problems were a problem during the storm and sometime after as local residents turned to cell phones to communicate. Over the weekend, customers in and around Richmond, Va., found Verizon Wireless useless for text messages because of a service disruption. As backup generators ran dry of fuel, some cell towers that survived the initial storm have been shutting down until maintenance crews arrive and refuel.

The harshest criticism has so far escaped phone and cable companies. Instead, local officials and residents remain focused on Pepco, the power utility serving the Washington area. Pepco has learned from previous storms to become a master of lowered expectations, and is promising to do its best to restore power a week or more after the storm was a memory.

West Virginia and western Virginia

The state of West Virginia, and western rural Virginia state, have illustrated what happens when deteriorating infrastructure is asked to withstand winds of up to 100mph. Frontier’s operations in West Virginia were hit especially hard. Landline networks in that state had been allowed to deteriorate for years by former owner Verizon Communications. Frontier had its hands full trying to keep up with repairs, calling in additional staff and trying to maintain landline service in some areas with the help of generators.

That job was made much harder by a rash of generator thefts that impacted the phone company, and local authorities are still looking for those responsible. At least one-third of all central switching offices operated by Frontier in West Virginia remain on generator power as of yesterday. As of July 3, the company reported it has 12,000 repair requests still waiting for action.

It was a similar story in the western half of Virginia where independent phone companies and Verizon were faced with an enormous number of downed trees and power lines, many in rural areas. More than 108,000 Virginia residents are still without power as of this afternoon, and many will not see it restored until the weekend.

Because the derecho swept across a large area encompassing the entire state, it has been difficult for utility crews to respond from unaffected areas to assist in repairs because the damage was so widespread. Logistically, just coordinating repair operations has proved difficult because cell service has been spotty (or networks have been jammed with calls) in some of the worst-affected areas.

“Derechos are nothing to fool with, but still this was not the most serious storm Virginia has ever dealt with, and the impacts on our telecommunications networks seem to indicate they’ve been allowed to fall apart over the last several years,” shares Stop the Cap! reader Edward Klein, who lives near Roanoke. “I think an investigation is needed to make sure utilities are spending enough money to keep these networks in good shape so this kind of thing doesn’t happen everytime a storm sweeps through.”

Fido Joins Parade of Cell Phone Companies Ending Per-Second Billing

Phillip Dampier July 5, 2012 Bell (Canada), Canada, Competition, Consumer News, Data Caps, Editorial & Site News, Fido, Koodo, Rogers, Telus, Virgin Mobile (Canada), Wireless Broadband Comments Off on Fido Joins Parade of Cell Phone Companies Ending Per-Second Billing

Fido puts per-second billing into the doghouse.

Canada, home of the three-year mobile phone contract, “service access fees,” high activation fees, unlock phone fees, $10 for 10MB of data, and $8 extra for “caller-ID” has had one thing going for it that American cell phone companies don’t offer — per-second billing.

Not anymore.

Our regular reader Alex writes to inform us that Fido (owned by Rogers Communications) has joined the parade of Telus’ Koodo and Bell’s Virgin Mobile Canada eliminating the money-saving billing feature for all new activations starting yesterday.

These prepaid customers will now pay by minute when they start new service or change an existing plan.

Mobile Syrup reached out to Rogers and obtained official confirmation and their explanation:

“Fido will adopt the common billing practice in Canada: per-minute billing beginning July 4th. This means that calls are rounded up to the nearest minute. This change will apply to new customers signing up with Fido. All customers who are on current plans with per second billing will retain this feature unless they change their monthly plan. The majority of customers should not notice any impact to their monthly bills. Fido offers several great plans with various call, text and data allowances that are designed to meet any need.”

The billing change further discourages Canadian consumers looking for a better deal in the prepaid market. It is the best alternative available from the handful of national carriers that charge considerably higher prices tied to an extra-long service contract and expensive data pricing.

Maybe not

Alex notes per-second billing was one of the great advantages Telus’ Koodo offered, and other competitors were initially forced to match that innovative pricing.

“Koodo’s new plans are simply the old plans, but with a $5/month increase for two calling features,” Alex notes. “Koodo found another way to gouge their customers: per-minute billing. They also removed 50 minutes from the $30/month (previously $25) plan, which used to have 150 minutes. At a time when Internet is the main demand, while talk and text cost virtually nothing to provide, Koodo is gouging.”

Koodo, Fido, and the other carriers are probably noticing that cell phone customers are talking on their cellular phones less than ever, and per-second billing can save an average of 25% off per-minute billing, especially for short conversations.

Alex has a petition up on Koodo’s website asking them to reconsider, but we’re doubtful they will. Rogers’ is not well-known for responding to customer desires for better, more cost-effective service.

T-Mobile: Verizon Wireless’ New Plans “Costly, Complicated, and Punitive”

Phillip Dampier July 3, 2012 Competition, Consumer News, T-Mobile, Verizon, Wireless Broadband Comments Off on T-Mobile: Verizon Wireless’ New Plans “Costly, Complicated, and Punitive”

Thomas

Feisty T-Mobile is back on the attack, this time against Verizon’s new “Share Everything” plans which T-Mobile’s marketing gurus are calling a lousy deal for consumers.

Harry Thomas, director of segment marketing, dismissed Verizon’s new plans as costly, complicated, and punitive in a company blog post:

  • They’re COSTLY – Verizon is charging more for what consumers want by raising rates on data, but promoting the “value” by pointing to unlimited talk and text even though today many consumers use less of these services. This is especially true for add-a-lines – now with Verizon’s Share Everything plans, adding a line starts at $30/month for a basic phone (non-smartphone) and, for accounts with at least one smartphone, requires unlimited minutes whether customers want unlimited or not.
  • They’re COMPLICATED – Verizon is forcing customers to share data when many customers don’t know how much data they’re using, which makes it hard to stay within their limit when trying to balance multiple users (not to mention the family data hog).
  • They’re PUNITIVE – At the same time that Verizon is making it harder for customers to manage overages, they are also increasing overage rates from $10/GB to $15/GB for accounts with at least one smartphone.

Thomas predicted Verizon’s new plans would deliver more benefits to Verizon’s bottom line than to consumers, and as they took effect late last week, he’s now convinced he was correct.

T-Mobile released this graphic showing its plans offer considerable savings over Verizon Wireless’ new “Share Everything” plans. Verizon is probably wishing AT&T managed to get that T-Mobile merger through, if only to stop this kind of competition.

 

AT&T Billing Errors Give Company Excuse to Strip Off Grandfathered Unlimited Data Plans

Phillip Dampier July 3, 2012 AT&T, Consumer News, Wireless Broadband 2 Comments

AT&T wireless customers grandfathered on unlimited wireless data plans might want to think twice about calling to protest billing errors, because the company is using the occasion to strip off unlimited data plans from customer accounts.

Stop the Cap! reader Jess DeSanto is one of thousands of Florida customers who discovered AT&T has a tendency to add “extras” on wireless lines without the customer’s consent. DeSanto had been paying $2.99 a month for “Roadside Assistance,” part of her phone bill since the day she signed up for AT&T, and she never asked for it. She only noticed when a lawsuit required the company to notify customers the service was optional and offered refunds to those paying for the plan without realizing it.

“We always thought it was just one of those fees AT&T puts on our monthly bill, because we have been paying for it ever since we switched to AT&T from T-Mobile,” DeSanto shares. “When we finally learned we should have never had to pay for a service we did not order, we contacted AT&T to have the service removed.”

DeSanto said AT&T promptly took the service off her account, and even refunded more than a year of charges because she never used the service. But the company also quietly stripped the DeSanto family of its grandfathered, unlimited use data plans in the process.

“When I was reviewing the bill, I saw the credits, but I also saw we were suddenly placed on 3GB usage-limited data plans — the unlimited data we had was gone,” DeSanto writes. “Boy was I mad at AT&T.”

DeSanto had to endure a lecture from a customer service representative about how the unlimited use plan and the 3GB plan were essentially identical. (AT&T throttles the speed customers receive on the unlimited plan after 3GB of usage per month. AT&T will charge customers overlimit fees on the 3GB plan if they exceed their allowance.)

“I told them I don’t want to deal with a sneaky phone company switching my services without my permission in such an underhanded way,” DeSanto said. “It’s like buying a car off the lot and after you sign the papers, they drive up in a different car.”

A manager finally agreed to switch DeSanto back to the plans she originally signed up for, but she is still seething over the affair.

“If you are an AT&T customer, you better scrutinize that bill real careful every month, because you have no idea what they will pull next.”

DeSanto is not alone. A blogger named “Michael” reports his unlimited data plan was also eliminated when he called about another AT&T “billing error”:

I’ve had one of AT&T’s unlimited data plans since I first got an iPhone 3GS not quite three years ago. You can thus imagine my surprise when I checked my bill last month and discovered that I had been switched to 3GB/month limited data plan.

[…] When I finally got a rep on the line, I learned that they had made the change on March 22nd when I had called in about another billing error. As it turns out, when I upgraded my phone, they not only renewed my contract, but they also added roadside assistance ($2.99/month), phone insurance ($6.99/month), and something called the “enhanced mobile protection plan” ($3.00/month). (Note that none of these charges were reflected on my signed contract.)

When I called back in March, I had no trouble getting them to remove the unwanted services and credit me for the charges, but… they apparently took this opportunity to also switch me from my beloved unlimited data plan to a 3GB/month limited data plan. Without my permission.

Michael had no trouble getting his unlimited plan back when he complained. In fact, he was suspicious because it seemed “too easy.”

“[It was sort of]  like they’ve been making this “mistake” on purpose and are ready if/when people notice and call in to complain,” Michael writes.

Verizon Sneaks Customer Off Unlimited Data Plan, Despite Promises It Wouldn’t

Sally Medina is a Sacramento mom grandfathered with her daughter on an unlimited data plan, or so she thought.

When daughter Leticia started getting text messages from Verizon alerting her she used half of her data allowance for the month, the Medina family learned for the first time Verizon had quietly switched them away from their unlimited data plan to one with just a 2GB usage allowance.

The family suspects the change was made when Leticia upgraded to a new phone back in January, and did not realize it until slowly growing data use finally triggered the first usage alert from Verizon.

Medina is angry because Verizon pulled the rug out from their agreement to allow the family to keep unlimited data.

“This was the agreement. We did our part. I think they should follow through on theirs,” Medina told CBS Sacramento consumer reporter Kurtis Ming. “They told her it was going to be unlimited so she didn’t question it.”

Too late to fix it now, came the reply from Verizon Wireless, who refused to switch the family back to unlimited data.

“Selling data consumption is incredibly lucrative, especially since data consumption is expected to rise. People are getting more hungry for it. And also people will start using more data as the network speeds improve,” CNET senior editor Jessica Dolcourt told the consumer reporter.

Dolcourt added carriers have a vested interest kicking customers off unlimited data as quickly as possible so they can start earning the additional revenue that comes with more expensive tiered data plans.

Verizon today launched its biggest change yet with its new “Share Everything” plan. Consumer groups like Free Press agree it does represent a big change. Verizon used to charge $29.99 a month for unlimited data. As of today, it charges $50 for 1GB on its newest plan.

The company says existing customers grandfathered on unlimited data plans can keep them, but only if they do not upgrade their phones or are willing to pay the unsubsidized upgrade price, which can run as high as $600. Either way, Verizon Wireless will get paid.

In light of the media attention on the company, the Medina family ultimately won what they wanted — an apology from Verizon and a return to unlimited data for daughter Leticia. But even she will not escape choosing a different plan if she wants a discounted phone in the future.

[flv width=”640″ height=”380″]http://www.phillipdampier.com/video/KOVR Sacramento Verizon Sneaks Away Unlimited Data 6-27-12.mp4[/flv]

KOVR in Sacramento reports Verizon Wireless snuck away an unlimited data plan that one local customer was promised she could keep.  (2 minutes)

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