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The ISP Defense Squad Attacks Guardian Story on Internet Slowdowns

Phillip "Speaking as a Customer" Dampier

Phillip “Speaking as a Customer” Dampier

Two defenders of large Internet Service Providers are coming to the defense of the broadband industry by questioning a Guardian article that reported major Internet Service Providers were intentionally allowing a degradation in performance of Content Delivery Networks and other high volume Internet traffic in a dispute over money.

Richard Bennett and Dan Rayburn today both published articles attempting to discredit Battle for the Net’s effort highlighting the impact interconnection disputes can have on consumers.

Rayburn:

On Monday The Guardian ran a story with a headline stating that major Internet providers are slowing traffic speeds for thousands of consumers in North America. While that’s a title that’s going to get a lot of people’s attention, it’s not accurate. Even worse, other news outlets like Network World picked up on the story, re-hashed everything The Guardian said, but then mentioned they could not find the “study” that The Guardian is talking about. The reason they can’t find the report is because it does not exist.

[…] Even if The Guardian article was trying to use data collected via the BattlefortheNet website, they don’t understand what data is actually being collected. That data is specific to problems at interconnection points, not inside the last mile networks. So if there isn’t enough capacity at an interconnection point, saying ISPs are “slowing traffic speeds” is not accurate. No ISP is slowing down the speed of the consumers’ connection to the Internet as that all takes place inside the last mile, which is outside of the interconnection points. Even the Free Press isn’t quoted as saying ISPs are “slowing” down access speed, but rather access to enough capacity at connection points.

Bennett:

In summary, it appears that Battle for the Net may have cooked up some dubious tests to support their predetermined conclusion that ISPs are engaging in evil, extortionate behavior.

It may well be the case that they want to, but AT&T, Verizon, Charter Cable, Time Warner Cable, Brighthouse, and several others have merger business and spectrum auction business pending before the FCC. If they were manipulating customer experience in such a malicious way during the pendency of the their critical business, that would constitute executive ineptitude on an enormous scale. The alleged behavior doesn’t make customers stick around either.

I doubt the ISPs are stupid enough to do what the Guardian says they’re doing, and a careful examination of the available test data says that Battle for the Net is actually cooking the books. There is no way a long haul bandwidth and latency test says a thing about CDN performance. Now it could be that Battle for the Net has as a secret test that actually measures CDNs, but if so it’s certainly a well-kept one. Stay tuned.

The higher line measures speeds received by Comcast customers. The lower line represents speeds endured by AT&T customers, as measured by MLab.

The higher line measures speeds received by Comcast customers connecting to websites handled by GTT in Atlanta. The lower line represents speeds endured by AT&T customers, as measured by MLab.

Stop the Cap! was peripherally mentioned in Rayburn’s piece because we originally referenced one of the affected providers as a Content Delivery Network (CDN). In fact, GTT is a Tier 1 IP Network, providing service to CDNs, among others — a point we made in a correction prompted by one of our readers yesterday.

Both Rayburn and Bennett scoff at Battle for the Net’s methodology, results, and conclusion your Internet Service Provider might care more about money than keeping customers satisfied with decent Internet speeds. Bennett alludes to the five groups backing the Battle for the Net campaign as “comrades” and Rayburn comes close to suggesting the Guardian piece represented journalistic malpractice.

Much was made of the missing “study” that the Guardian referenced in its original piece. Stop the Cap! told readers in our original story we did not have a copy to share either, but would update the story once it became available.

We published our own story because we were able to find, without much difficulty, plenty of raw data collected by MLab from consumers conducting voluntary Internet Health Tests, on which Battle for the Net drew its conclusions about network performance. A review of that data independently confirmed all the performance assertions made in the Guardian story, with or without a report. There are obvious and undeniable significant differences in performance between certain Internet Service Providers and traffic distribution networks like GTT.

So let’s take a closer look at the issues Rayburn and Bennett either dispute or attempt to explain away:

  1. MLab today confirmed there is a measurable and clear problem with ISPs serving around 75% of Americans that apparently involves under-provisioned interconnection capacity. That means the connection your ISP has with some content distributors is inadequate to handle the amount of traffic requested by customers. Some very large content distributors like Netflix increasingly use their own Content Delivery Networks, while others rely on third-party distributors to move that content for them. But the problem affects more than just high traffic video websites. If Stop the Cap! happens to reach you through one of these congested traffic networks and your ISP won’t upgrade that connection without compensation, not only will video traffic suffer slowdowns and buffering, but so will traffic from every other website, including ours, that happens to be sent through that same connection.

MLab: "Customers of Comcast, Time Warner Cable, and Verizon all saw degraded performance [in NYC] during peak use hours when connecting across transit ISPs GTT and Tata. These patterns were most dramatic for customers of Comcast and Verizon when connecting to GTT, with a low speed of near 1 Mbps during peak hours in May. None of the three experienced similar problems when connecting with other transit providers, such as Internap and Zayo, and Cablevision did not experience the same extent of problems."

MLab: “Customers of Comcast, Time Warner Cable, and Verizon all saw degraded performance [in NYC] during peak use hours when connecting across transit ISPs GTT and Tata. These patterns were most dramatic for customers of Comcast and Verizon when connecting to GTT, with a low-speed of near 1 Mbps during peak hours in May. None of the three experienced similar problems when connecting with other transit providers, such as Internap and Zayo, and Cablevision did not experience the same extent of problems.”

MLab:

Our initial findings show persistent performance degradation experienced by customers of a number of major access ISPs across the United States during the first half of 2015. While the ISPs involved differ, the symptoms and patterns of degradation are similar to those detailed in last year’s Interconnections study: decreased download throughput, increased latency and increased packet loss compared to the performance through different access ISPs in the same region. In nearly all cases degradation was worse during peak use hours. In last year’s technical report, we found that peak-hour degradation was an indicator of under-provisioned interconnection capacity whose shortcomings are only felt when traffic grows beyond a certain threshold.

Patterns of degraded performance occurred across the United States, impacting customers of various access ISPs when connecting to measurement points hosted within a number of transit ISPs in Atlanta, Chicago, Los Angeles, New York, Seattle, and Washington, D.C. Many of these access-transit ISP pairs have not previously been available for study using M-Lab data. In September, 2014, several measurement points were added in transit networks across the United States, making it possible to measure more access-transit ISP interconnection points. It is important to note that while we are able to observe and record these episodes of performance degradation, nothing in the data allows us to draw conclusions about who is responsible for the performance degradation. We leave determining the underlying cause of the degradation to others, and focus solely on the data, which tells us about consumer conditions irrespective of cause.

Rayburn attempts to go to town highlighting MLab’s statement that the data does not allow it to draw conclusions about who is responsible for the traffic jam. But any effort to extend that to a broader conclusion the Guardian article is “bogus” is folly. MLab’s findings clearly state there is a problem affecting the consumer’s Internet experience. To be fair, Rayburn’s view generally accepts there are disputes involving interconnection agreements, but he defends the current system that requires IP networks sending more traffic than they return to pay the ISP for a better connection.

Rayburn's website refers to him as "the voice of industry."

Rayburn’s website refers to him as “the voice of industry.”

  1. Rayburn comes to the debate with a different perspective than ours. Rayburn’s website highlights the fact he is the “voice of the industry.” He also helped launch the industry trade group Streaming Video Alliance, which counts Comcast as one of its members. Anyone able to afford the dues for sponsor/founding member ($25,000 annually); full member ($12,500); or supporting member ($5,500) can join.

Stop the Cap! unreservedly speaks only for consumers. In these disputes, paying customers are the undeniable collateral damage when Internet slowdowns occur and more than a few are frequently inconvenienced by congestion-related slowdowns.

It is our view that allowing paying customers to be caught in the middle of these disputes is a symptom of the monopoly/duopoly marketplace broadband providers enjoy. In any industry where competition demands a provider deliver an excellent customer experience, few would ever allow these kinds of disputes to alienate customers. In Atlanta, Los Angeles, and Chicago, for example, AT&T has evidently made a business decision to allow its connections with GTT to degrade to just a fraction of the performance achieved by other providers. Nothing else explains consistent slowdowns that have affected AT&T U-verse and DSL customers for months on end that involve GTT while Comcast customers experience none of those problems.

We also know why this is happening because AT&T and GTT have both confirmed it to Ars Technica, which covered this specific slowdown back in March. As is always the case about these disputes, it’s all about the money:

AT&T is seeking money from network operators and won’t upgrade capacity until it gets paid. Under its peering policy, AT&T demands payment when a network sends more than twice as much traffic as it receives.

“Some providers are sending significantly more than twice as much traffic as they are receiving at specific interconnection points, which violates our peering policy that has been in place for years,” AT&T told Ars. “We are engaged in commercial-agreement discussions, as is typical in such situations, with several ISPs and Internet providers regarding this imbalanced traffic and possible solutions for augmenting capacity.”

competitionMissing from this discussion are AT&T customers directly affected by slowdowns. AT&T’s attitude seems uninterested in the customer experience and the company feels safe stonewalling GTT until it gets a check in the mail. It matters less that AT&T customers have paid $40, 50, even 70 a month for high quality Internet service they are not getting.

In a more competitive marketplace, we believe no ISP would ever allow these disputes to impact paying subscribers, because a dissatisfied customer can cancel service and switch providers. That is much less likely if you are an AT&T DSL customer with no cable competition or if your only other choice cannot offer the Internet speed you need.

  1. Consolidating the telecommunications industry will only guarantee these problems will get worse. If AT&T is allowed to merge with DirecTV and expand Internet service to more customers in rural areas where cable broadband does not reach, does that not strengthen AT&T’s ability to further stonewall content providers? Of course it does. In fact, even a company the size of Netflix eventually relented and wrote a check to Comcast to clear up major congestion problems experienced by Comcast customers in 2014. Comcast could have solved the problem itself for the benefit of its paying customers, but refused. The day Netflix’s check arrived, problems with Netflix magically disappeared.

More mergers and more consolidation does not enhance competition. It entrenches big ISPs to play more aggressive hardball with content providers at the expense of consumers.

Even Rayburn concedes these disputes are “not about ‘fairness,’ it’s business,” he writes. “Some pay based on various business terms, others might not. There is no law against it, no rule that prohibits it.”

Battle for the Net’s point may be that there should be.

Wireless Bills are Rising: Prices Up More than 50% Since 2007 and Will Head Even Higher When 5G Arrives

Phillip Dampier June 1, 2015 Broadband "Shortage" 1 Comment

attverizonWithout dramatic changes in wireless pricing and more careful usage, owning a smartphone will cost an average of $119 a month per phone by the year 2019.

Ever since the largest players in the wireless industry decided to monetize wireless data usage by ending unlimited use data plans, the average monthly phone bills of smartphone users have been on the increase. In 2013, the average cell phone bill was $76 a month, according to Bureau of Labor statistics. That’s up 50% from the $51 a month customers paid in 2007, the first year the iconic Apple iPhone was offered for sale.

Although wireless companies claim their current 4G (largely LTE) networks are robust enough to sustain the growing demand for wireless data until more spectrum becomes available, the transition to next generation 5G technology will dramatically increase the efficiency of wireless data transmission, delivering up to 40 times the speed of existing 4G networks. But if providers are not willing to slash prices on 5G data plans, average usage and customers’ phone bills are likely to soar to new all-time highs, costing a family of four smartphone owners an average of $476 a month.

A study by Wafa Elmannai and Khaled Elleithy at the Department of Computer Science and Engineering at the University of Bridgeport found wireless carriers have given up on monetizing voice and texting services, including unlimited minutes and text messages as part of most basic service plans. The real money is made from wireless data plans which traditionally cost customers between $10.79-16.72 per gigabyte, depending on the carrier and whatever fees, surcharges and required add-ons are necessary to get the service.

4g-5gWireless carriers defend their pricing, claiming they have cut prices on certain data plans while granting some customers extra gigabytes of usage at no extra cost. Some evidence shows that carriers have indeed reduced the asking price of delivering a megabyte of data by 50 percent annually. But their costs to deliver that data have dropped even faster, particularly as networks shift traffic away from older 3G networks to 4G technology, which is vastly more efficient than its predecessor.

The end of unlimited data plans by AT&T and Verizon Wireless was key to shifting the industry towards monetizing data usage. The more a customer consumes, the more revenue a carrier earns. But as web pages and applications become more complex and bandwidth intensive, customers will naturally consume more and more data each month, forcing regular usage plan upgrades to avoid confronting overlimit fees. Unless providers pass along more of their savings on traffic costs to consumers, bills will rise.

At current usage estimates from Cisco, the average customer will consume at least 57% more wireless data by 2019 than they do today. To sustain that usage, wireless providers are bidding for additional spectrum rights and are working towards upgrading to next generation 5G technology. But some carriers, including AT&T and Verizon, are also investing in new applications for their networks that include in-car telematics, home security and automation, and online video. Using some of these technologies guarantees an even greater amount of data usage, particularly for online video. Unless customers are careful about their usage and avoid high-bandwidth applications, they are in for a much bigger bill in the future, much to the delight of wireless providers.

While most analysts expect wireless companies will choose to give customers a larger data allowance instead of resorting to fire sale pricing, Elmannai and Elleithy expect that will not be enough to keep cell phone bills stable.

“We will need to reduce the bit rate to (1/1000th) of today’s level in order to receive x1000 of data capacity [at the] same cost [we see today],” the authors conclude. That would mean a low end 1GB data plan on a 4G network would cost just $0.03. Larger allowance plans would cost less than one cent per gigabyte.

The authors of the study expect carriers to price 5G data plans more or less the same as 4G plans, but will probably boost usage allowances to deliver a perception of greater value. But as web applications continue to gravitate towards higher data usage, bills will continue to rise, assuring providers of growing returns even with modest to moderate levels of competition.

At the moment, despite some evidence of price competition, some carriers are still raising prices. Verizon increased the price of its 10GB plan by $20 to $100 a month and T-Mobile raised the price of its unlimited data plan by $10 a month last year.

Stop the Cap! Declares War on Cox’s Usage Cap Ripoff in Cleveland; It’s About the Money, Not Fairness

Stopping the money party from getting started, if we can help it.

Stopping Cox’s money party from getting started, if we can help it.

Stop the Cap! today formally declares war on Cox’s usage cap experiment in Cleveland, Ohio and will coordinate several protest actions to educate consumers about the true nature of usage-based billing and how they can effectively fight back against these types of Internet Overcharging schemes.

Time Warner Cable quickly learned it was deeply mistaken telling customers that a 40GB monthly usage allowance was more than 95% of customers would ever need when introducing a similar concept April 1, 2009 in test markets including Rochester, N.Y., Austin and San Antonio, Tex., and Greensboro, N.C. The company repeatedly suggested only about five percent of customers would ever exceed that cap.

Six years later, it is likely 95% of customers would be paying a higher broadband bill to cover applicable overlimit fees or be forced to upgrade to a more expensive plan to avoid them. Before Time Warner realized the errors of its way, it claimed with a straight face it was acceptable to charge customers $150 a month for the same unlimited broadband experience that used to cost $50.

Cox’s talking points for customers and the media frames usage caps as a fairness enforcement tool. It is a tired argument and lacks merit because nobody ever pays less for usage-capped broadband service. At best, you pay at least the same and risk new overlimit charges for exceeding an arbitrary usage allowance created out of thin air. At worst, you are forced by cost issues to downgrade service to a cheaper plan that comes with an even lower allowance and an even bigger risk of facing overlimit fees.

Industry trade journal Multichannel News, which covers the cable industry for the cable industry does not frame usage caps in the context of fairness. It’s all about the money.

“If you’re a cable operator, you might want to strike [with new usage caps] while the iron is hot,” said MoffettNathanson principal and senior analyst Craig Moffett, a Wall Street analyst and major proponent of investing in cable industry stocks.

Multichannel News warned operators they “must tread carefully in how they deliver the usage-based message.” Instead of getting away with punitive caps, Time Warner Cable had to “rethink” its definition of fairness, keeping prices the same for heavy users of bandwidth but offering discounts to customers whose usage was lighter. No money party for them.

So how did Cox frame its message in the pages of an industry trade journal to fellow members of the cable industry? Was it about fairness or collecting more of your money. You decide:

Customers will be notified of their data usage and any potential overages beginning in mid- June but won’t have to pay for overages until the October billing cycle, a Cox spokesman said. That gives customers the chance either to alter their usage or step up to a more data-intensive plan.   The additional charges serve as a temporary step-up plan for certain consumers, the spokesman said — they can keep their current level of service and pay the additional fee during months when usage spikes, like when their kids come home from college.

cox say noThe Government Accounting Office, charged with studying the issue of data caps, found plenty to be concerned about. Consumers rightfully expressed fears about price increases and confusion over data consumption issues. In short, customers hate the kind of usage-based pricing proposed by Cox. It’s a rate hike wrapped in uncertainty and an important tool to discourage consumers from cutting their cable television package.

It’s also nakedly anti-competitive because Cox has conveniently exempted its television, home phone, and home security products from its usage cap. Subscribe to Cox home phone service? The cap does not apply. Use Ooma or Vonage? The cap does apply so talk fast. If a customer wants to use Cox’s Home Security service to monitor their home while away, they won’t eat away their usage cap. If they use ADT to do the same, Cox steals a portion of your usage allowance. Watch a favorite television show on Cox cable television and your usage allowance is unaffected. Watch it on Netflix and look out, another chunk is gone.

While Cox starts rationing your Internet usage, it isn’t lowering your price. A truly fair usage plan would offer customers a discount if they voluntarily agreed to limit their usage. But nothing about Cox’s rationing plan is fair. It’s compulsory, so customers looking for a worry-free unlimited plan are out of luck. It’s punitive, punishing customers for using a broadband connection they already paid good money to buy. It’s arbitrary — nobody asked customers what they wanted. It doesn’t even make sense. But it will make a lot of dollars for Cox.

Cox claims it only wants usage caps to help customers choose the “right plan.”

The right plan for Cox.

To escape Cox’s $10 overlimit fees, a customer will have to pay at least $10 more to buy a higher allowance plan — turning a service that costs less to offer than ever into an ever-more expensive necessity, with few competitive alternatives. Will Cox ever recommend customers downgrade to a cheaper plan? We don’t think so. Customers could easily pay $78-100+ for broadband service that used to cost $52-66.

Back in 2009, the same arguments against usage caps applied as they do today. Industry expert Dave Burstein made it clear usage caps were about one thing:

“Anybody who thinks that’s not an attempt to raise prices and keep competitive video off the network — I have a bridge to sell them, and it goes to Brooklyn,” Burstein said.

Windstream Introduces Kinetic IPTV Triple Play in Lincoln, Neb.; Includes Wireless Set-Top Boxes, Whole House DVR

kinetic logoWindstream this week introduced its fiber to the neighborhood service Kinetic – its attempt to bring a competitive triple-play package of broadband, home phone, and television service to about 50,000 homes initially in Lincoln, Neb.

“We’re extremely excited to launch Kinetic in Lincoln,” said David Redmond, president of small business and consumer at Windstream. “Over the last year, we have heard loudly and clearly that this community is excited and eager for an alternative TV service. Windstream is confident that residents that sign up for Kinetic will find a highly interactive experience and a smarter way to watch TV than cable or satellite.”

The project in Lincoln will test consumer reaction and help the company plan if or how it plans to expand the service across many of its other service areas across the country.

Powered by the Ericsson Mediaroom platform, Kinetic is Windstream’s effort to squeeze about as much use of its existing copper wire infrastructure as possible. Like AT&T U-verse, Kinetic requires a fiber connection part of the way to customers, but continues to rely on existing copper telephone wiring already in the subscriber’s neighborhood. In effect, it’s an enhanced DSL platform that will split available bandwidth between television, Internet access and home phone service.

One unique aspect of Kinetic is its use of a next generation, compact whole home DVR that can record four shows at the same time, supplemented with wireless set-top boxes ($7/mo each), that allow subscribers to take the service to any television in the home without wiring. A subscriber can even move a television out into the yard and not lose service.

Remarkably, Windstream — an independent telephone company — completely de-emphasizes its own phone service in its up front promotions. Unless customers dig deeper into the Kinetic website, they will find prominently featured double play packages of television and Internet service starting at $59.98 a month. Telephone service is offered (and priced) almost as an afterthought, bundled into various packages for $5 extra a month. Phone customers get unlimited nationwide local and long distance calling.

[flv]http://www.phillipdampier.com/video/Windstream Kinetic TV 4-2015.flv[/flv]

Windstream produced this introductory video to its new Kinetic TV service, offered initially to 50,000 homes in Lincoln, Neb. (1:20)

kinetic

We added the pricing details for Home Phone service.

The biggest limitation Windstream faces marketing the service is its legacy network of copper wires. Customers can only qualify for the service if the connection between their home and Windstream’s central office is good enough to sustain the speeds required to handle all three services at the same time. The company is focusing Kinetic squarely on customers looking for a cable television alternative to Lincoln’s only other provider — Time Warner Cable. That may be because Kinetic remains disadvantaged in the broadband department.

The highest Internet speed a Kinetic customer can buy is 15Mbps, which is the speed Time Warner Cable offers in its “Standard” package. Time Warner currently sells up to 50/5Mbps in Lincoln — more than three times faster than Windstream’s Kinetic. Many Windstream DSL customers have complained they don’t come close to the speeds they are paying for, particularly during peak usage periods. A Facebook group with over 500 customers exists to discuss exactly that issue. Whether it will be different for Kinetic customers is not yet known, but the company’s lawyers are prepared for that possibility.

Windstream's Whole House DVR is only about the length of its remote control.

Windstream’s Whole House DVR is only about the length of its remote control.

“Windstream cannot guarantee speeds or uninterrupted, error-free service,” the company says in its terms and conditions. “Internet speed claims represent maximum network service capability speeds.  Actual customer speeds may vary based on factors including simultaneous use of multiple devices, use of other Windstream services, customer device capabilities, Internet and Network congestion, website traffic, content provider service capacity, customer location, network conditions, and bandwidth devoted to carriage or protocol and network information.”

At least there are no usage caps.

Kinetic subscribers are also warned that just like DSL broadband, line quality will impact the kind of television service received.

“Kinetic TV includes digital channels (including local channels), one receiver and up to four standard direct video streams to the customer residence,” Windstream notes. “Of the four standard direct video streams per residence, customer’s location will determine both high definition (“HD”) availability and the maximum number of HD video streams (between one and four) a customer can view and record in HD at any one time, regardless of the number of receivers in the residence.  The remaining streams will be standard definition.”

Kinetic’s channel lineup is comparable to that of Time Warner Cable, with some minor exceptions. Time Warner imports some regional over the air channels from adjacent cities, Windstream does not. Certain channels like Turner Classic Movies are available on Kinetic, but only for customers subscribing to the most expensive tier. Time Warner offers that channel on its less expensive Standard tier.

Limited bandwidth may limit your broadband speeds and the number of HD channels you can watch at any one time.

Limited bandwidth may limit your broadband speeds and the number of HD channels you can watch at any one time.

Time Warner Cable spokesman Mike Hogan took indirect shots at both the City of Lincoln and Windstream in response to the introduction of Kinetic.

“Lincoln residents can count on the fact that Time Warner Cable will offer the best choices for TV, Internet, home phone and home security to the entire city — in sharp contrast to competitors who only serve select areas, or won’t even say where they will or won’t serve,” Hogan said in an email to the Journal-Star.

That’s a reference to Windstream’s refusal to specify exactly where in Lincoln Kinetic is available.

Stop the Cap! surveyed more than 100 Lincoln-area addresses this morning and found Kinetic available primarily in wealthy and newer neighborhoods south and southeast of the city center, including zip codes such as 68516. A review of real estate transactions across the city of Lincoln showed home prices in this area are well above other parts of the city. That suggests Windstream is targeting the service to higher-income neighborhoods during its initial rollout, which plans to reach up to 45 percent of city households.

Although Windstream officials expect to bring Kinetic to about 80% of Lincoln, the city has given the company 15 years to complete the project. Further expansion may also depend on how customers respond to Kinetic.

With plenty of time, Windstream may choose to turn its attention elsewhere, eventually introducing the service in other cities across its 18-state service area of Alabama, Arkansas, Florida, Georgia, Iowa, Kentucky, Minnesota, Mississippi, Missouri, Nebraska, New Mexico, New York, North Carolina, Ohio, Oklahoma, Pennsylvania, South Carolina and Texas, before it gets around to wiring urban poor neighborhoods in Lincoln.

Cable industry defenders believe Time Warner Cable and Windstream are being treated differently by city officials. Hogan notes the cable company is required to serve the entire metropolitan area, unlike Windstream that critics contend may be interested only in cherry-picking the low-hanging fruit.

Windstream’s announcement leaves just two significant independent telephone companies without IPTV offerings: FairPoint and Frontier Communications.

[flv]http://www.phillipdampier.com/video/KLKN Lincoln New television service in Lincoln 4-16-15.mp4[/flv]

KLKN in Lincoln covered the Windstream event introducing Kinetic TV to Lincoln and talked with company officials about what the new service offers Lincoln and how much it costs in comparison to Time Warner Cable, the area’s incumbent cable company. (2:29)

Charter Communications Quietly Eliminates Usage Caps That Were Rarely Enforced Anyway

charter spectrum logoCharter Communications has quietly dropped usage caps and allowances from the company’s terms and conditions, once again giving Charter broadband customers unlimited access to the Internet.

Like Cox Cable, Charter almost never enforced their usage caps, which were specified as 100GB for its “base” service, 250GB for “Plus” and “Max” tiers and 500GB for “Ultra” service. Customers threatening to cancel service over usage cap matters were assuaged with a commitment by retention specialists that the caps were just a “guideline” and would not be enforced except in the most egregious instances of customer “overuse” of the Internet.

In place of the caps, Charter has returned to boilerplate language found in almost every ISP’s Acceptable Use Policy:

Excessive use of bandwidth that in Charter’s sole opinion, places an unusually large burden on the network or goes above normal usage [is prohibited]. Charter has the right to impose limits on excessive bandwidth consumption via any means available to Charter.

Customers routinely exceeding a terabyte of usage a month have never been contacted by Charter, so such usage apparently does not place a burden on their network. However, Charter also reserves the right to cut your speeds through “reasonable network management tools,” some that may now be forbidden by the FCC’s Net Neutrality policy:

Charter uses a variety of reasonable network management tools and practices consistent with industry standards. In the event the periods of congestion necessitate such management, Charter has available the following tools and practices (without limitation and as may be adjusted over time): (i) use of an upper limit of bandwidth allocated for uploading of files during congested periods; (ii) Subscriber Traffic Management (STM) technology to temporarily lower the priority of traffic with the greatest impact on peak congestion; (iii) spam filtering and detection techniques; and (iv) measures to protect the security and integrity of its network, resources and subscribers. In limited instances if employed, these techniques may affect the throughput rate at which subscribers may send and receive data, the ability of users to establish session connections within the network, or result in the delay of certain traffic during times of peak congestion.

Charter has “simplified” their Internet offers down to two for most customers: 60/4Mbps for Spectrum Internet ($59.99) and 100/5Mbps for Internet Ultra ($109.99). A source at Charter tells Stop the Cap! the company is conducting very limited trials raising speeds to 100/25Mbps for its base package and boosting its Ultra tier to 300/50Mbps, in case fiber competitors arrive. Those tests are not expected to become widespread however as the prevailing view at Charter is to wait until it deploys DOCSIS 3.1 and then raise speeds to 300/50Mbps for its entry-level package and 500/300Mbps for Ultra.

Starting in January, Charter began notifying its broadband-only customers it was raising prices $5 a month (from $54.99 to $59.99).

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