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Time Warner Cable to Boost Austin Broadband Speeds Up to 300Mbps as Competition Arrives

Austin is getting an upgrade just in time for competition with AT&T and Google.

Austin is getting an upgrade just in time for competition with AT&T and Google.

There is no market for super-fast broadband speeds, unless your competitor decides to offer them.

Time Warner Cable customers in Austin will benefit from major Internet speed increases that the company insists have nothing to do with its competition.

Google is planning to offer gigabit broadband in select neighborhoods and AT&T is delivering 300Mbps service to a limited number of Austin customers over its slowly expanding fiber network. Coincidentally, Time Warner Cable now plans to match AT&T’s current top speed of 300Mbps beginning this summer.

“Our Austin network allows us to implement the speed increases quickly, and since it’s a rapidly growing market where we know there is demand for faster speeds, we’re moving forward with this aspect right away,” a spokeswoman for Time Warner Cable wrote in an email to CED.

“These substantial speed increases mean Time Warner Cable Internet customers have incredibly powerful new choices for services and features to meet their needs,” said Kathy Brabson, area vice president of operations for Time Warner Cable in Central Texas. “In stark contrast to our competitors, upon completion of this short roll out phase, these faster speeds and choices will be available to every Time Warner Cable customer in every area we serve in the Austin market, not just select neighborhoods.”

Time Warner has also been furiously expanding its Wi-Fi service, available at no cost to Internet customers with Standard Internet or above. To date the company has installed more than 1,300 hotspots with another 1,000 scheduled for installation this year.

Residential Plans Current Speeds New Speeds
(Downstream/Upstream) (Downstream/Upstream)
Everyday Low Price 2×1 3×1
Basic 3×1 10×1
Standard 15×1 50×5
Turbo 20×2 100×10
Extreme 30×5 200×20
Ultimate 50×5 300×20

Along with Austin, the other areas that will get new speeds include Round Rock, Cedar Park, Leander, San Marcos, Elgin, Marble Falls, Lockhart, Bastrop, Fredericksburg, Taylor, Smithville, Wimberley, Liberty Hill, Lago Vista, Buda, Kyle, Elroy, and Lakeway.

Business Services customers in the area will also have access and can upgrade their service as the new plans are introduced starting this summer. TWC Business Services will introduce the new speed plans of 100 x 10, 200 x 20 and 300 x 20 as add-on options to its existing Wideband plans.

Current Standard Internet and above customers will receive new modems, likely produced by Arris or Technicolor. More information will be sent to customers as the launch dates approach. It is unclear if customers will have to pay to rent the new modems, will get to use them for free, and/or if they will be available separately for purchase.

Unlike Here, British Broadband Customers Satisfied With Their Broadband Providers

Plusnet offers DSL and fiber broadband plans (in some areas) that offer budget-priced capped or unlimited use plans.

Plusnet offers DSL and fiber broadband plans (in some areas) that offer budget-priced capped or unlimited use plans.

While North American cable and phone broadband providers are among the most-hated companies on the continent, in the United Kingdom, customers gave generally high scores to their Internet providers.

PC Advisor partnered with Broadband Genie, an impartial, independent, and consumer-focused commercial broadband comparison service. Together they engaged an independent survey company (OnPoll) to survey 3,000 broadband users, chosen at random, in late 2013 and early 2014. They asked those users how happy they were with their ISP, tested the speed and reliability of their connections, and found out other valuable tidbits, such as how much they were paying, and for what exactly. Altogether, more than 10,000 U.K. broadband users contributed to the data that made an in-depth assessment of British broadband possible.

The results might stun those on the other side of the Atlantic. Unlike in Canada and the U.S., British broadband users are satisfied overall with their providers, and are enthusiastic about recommending many of them to others. Even the worst-performing provider – BE – still had a 46% recommendation rating, and the company was sold to BSkyB well over a year ago and is in the process of being merged with Sky’s broadband service.

Around 68 percent of British broadband users responding still rely primarily on various flavors of DSL for Internet service. But BT, the national telephone company, is in the process of upgrading facilities and dramatically increasing the amount of fiber optics in its network. The result is what the Brits call “Super Fast Broadband.” Back here, we call it fiber to the neighborhood service similar to AT&T’s U-verse or Bell’s Fibe. In many cases, improved service is providing speeds much closer to 25Mbps vs. the 1-6Mbps many customers used to receive. The upgrade is an important development, especially in rural Britain, often left without Internet access.

Cable broadband is much more common in North American than in the United Kingdom. While cable television became dominant here, the British favored small satellite dishes like those used by DirecTV or Dish customers. With BT dominating wired infrastructure, the government required the company to open its landline network to third-party providers. Some cable companies do exist in England, but they hold only a 12% broadband market share, even lower than fiber to the home service now at nearly 20%.

Great Britain treats broadband as a national priority, and although the current government has controversially settled for a hybrid fiber-copper network instead of delivering fiber straight to every British home, it’s a considerable improvement over what came before, especially in rural areas. Usage caps that used to dominate British broadband plans are now an option for the budget-minded. Unlimited use plans are becoming more mainstream.

With all the upgrade activity and improved service, the Brits have gotten optimistic about their broadband future. Only 12% of those surveyed loathe their broadband supplier. Another 20% were neutral about recommending their ISP, but 51% considered themselves satisfied and another 17% considered their provider top rate. Many in Britain even expect their Internet bill will decrease in 2014, and compared with North American prices, it’s often very low already.

The average price paid by customers of various British ISPs (excluding line rental)

The average price paid by customers of various British ISPs (excluding line rental)

Average speed received by customers varies depending on the technology. Virgin operates cable broadband, Plusnet uses a mix of DSL and fiber, while the slower performers are primarily ADSL.

Average speed test results per ISP (kbps)

  • Virgin: 27,266

    virgin-media-union-logo

    Was top-rated for broadband reliability.

  • Plusnet: 24,529
  • BT: 13,164
  • TalkTalk: 6,910
  • EE: 6,818
  • Demon: 6,586
  • Sky: 5,942
  • Eclipse: 5,786
  • O2: 5,642
  • Be: 5,458
  • AOL: 3,809
  • Post Office: 3,255

Overall ratings and reviews from PC Advisor found Virgin Media (cable) and Plusnet (DSL/Fiber) near tied for top ratings.

[flv]http://www.phillipdampier.com/video/PC Advisor Best cheapest fastest broadband UK ISPs rated 2-19-14.mp4[/flv]

PC Advisor talks about this year’s British ISP review, which reveals Brits are generally satisfied with their broadband speeds and pricing. (3:51)

Broadband Monopolies/Duopolies Against the Public Interest, Declares China

Phillip Dampier February 20, 2014 Broadband Speed, Competition, Consumer News, Public Policy & Gov't Comments Off on Broadband Monopolies/Duopolies Against the Public Interest, Declares China

chinatelChina’s top economic planning agency is assessing a monopoly case involving two large telecom companies and will make a ruling soon as the Beijing government declares uncompetitive broadband against the interests of the people.

The National Development and Reform Commission (NDRC) began to investigate the duopoly of China Telecom and China Unicom in the broadband business two years ago. The two companies, fearing reprisals, promised to end the questionable practices that brought scores of complaints from Chinese citizens over network incompatibilities, rising prices, and slow service.

The two companies together maintain a 90 percent market share of Chinese broadband, and both could face fines up to 10 percent of their annual Internet revenues if the NDRC finds they are acting as an abusive duopoly.

The Chinese government passed strict anti-monopoly laws in 2008 and has enforced them. Beijing has been particularly concerned about price discrimination against other Internet Service Providers and relentless rate hikes, even as costs to offer the service have dropped dramatically.

The NDRC said on Wednesday that the two companies submitted evidence that suggested both had significantly raised network integration, extended the direct-link bandwidth of their backbone networks, raised broadband speeds and lowered prices.

Although the Chinese government’s free market policies have brought investment and economic change to China, the government has grown increasingly concerned about leaving vital sectors of the economy unregulated. In several instances, the result has been bad for consumers and generally reduced innovation, as handfuls of conglomerates found it easier to enforce market power, reduce investment, and raise prices. The Chinese consider the country’s online networks critical to its participation in the global digital economy, with the NDRC acting as a check against uneven playing fields and abusive business practices.

Danish Telco TDC Offers Customers 100% Speed Guarantees; No More “Up To” Speeds

Phillip Dampier February 20, 2014 Broadband Speed, Competition, Consumer News 2 Comments

tdcDenmark’s TDC telephone company is so confident about their network upgrades, they are ready to guarantee customers will get the broadband speeds advertised, or their money back and a commitment to fix the problem.

Most phone companies selling DSL service have always had to qualify their speed marketing claims with words like “up to” because customers further away from central switching offices or remote hubs won’t necessarily get the speeds on offer. The further away a customer lives from a telephone company facility, the slower the speeds on copper-based networks. Total network capacity can also create problems during peak usage periods, but not for TDC, which says it has a network robust enough to handle demand.

denmarkGoogleMapsTDC’s Guaranteed Speed Tiers (US$):

  • Basic: 20/2Mbps $47
  • Enhanced: 30/5Mbps $49.50
  • Superior: 40/10Mbps $53
  • Extreme: 50/10Mbps $55

“With this initiative we want [to show] how communication to broadband customers can be further improved,” said Rene Brochner, director of TDC’s residential service division. “With the new products we now offer we guarantee that the speed is always [as advertised]. For example, the 40Mbps/10Mbps speed is always 40Mbps/10Mbps.”

Two-thirds of Denmark will be upgraded to 20/2Mbps service by the middle of this year, with another 750,000 households qualified for 50Mbps service because of TDC’s investment in fiber and pair bonding. Next year, TDC will add Vectoring technology, which will improve speeds on existing copper lines to as much as 100Mbps.

Sticker Shock for Time Warner Customers: A Review of Comcast’s Rates & Packages

comcast twcShould a deal to merge Time Warner Cable with Comcast be approved by regulators, Time Warner Cable customers can expect a number of changes to their cable, Internet, and phone service because of Comcast’s much more involved rate plans¹.

Customers should expect to pay significantly higher prices for a package comparable to what Time Warner Cable offers today, especially for cable television.

Broadband speeds will be faster with Comcast, but also likely usage-capped at 300GB a month, with overlimit fees applied to “heavy users.”

A sample Comcast bill

A sample Comcast bill

Customers may also be surprised to discover Comcast levies a number of ancillary fees that Time Warner does not, especially for various tasks completed by a Comcast customer service representative.

Comcast and Time Warner Cable have very different operating philosophies. Comcast is quickly moving customers to all-digital cable television service, so those Time Warner customers without set-top boxes or CableCARDs should be ready for a rapid transition to all-digital TV. Time Warner Cable, in comparison, has moved slowly towards digital service and uses a stop-gap technology that delivers some digital channels to neighborhoods only when being watched as a bandwidth conservation measure. Comcast will likely scrap that technology in favor of an all-out drive to switch to digital service.

Comcast’s television packages are very different from what TWC customers are used to buying. Time Warner customers can expect significant channel losses with Comcast’s nearest equivalent basic cable service. If you enjoy a lot of sports or old movies, Comcast will make you spend nearly $20 more on a higher-cost tier to get back the networks that Time Warner used to bundle as part of their basic cable service. But Comcast makes adding “whole home” DVR service look a lot more affordable than the $30+ unbundled fee Time Warner Cable has traditionally charged for the equipment and service.

In general Time Warner Cable customers should expect a higher bill for cable television, unless they want to downgrade service (for which Comcast also charges a service fee).

Broadband service from Comcast is also very different from what Time Warner Cable has offered. Most TWC customers now get 15/1Mbps service. Most Comcast customers get 25/5 or 50/15Mbps service. However, TWC doesn’t force usage caps on customers and Comcast is systematically reimposing them on theirs city by city, usually 300GB a month. The tradeoff with Comcast is faster advertised speed that comes usage-limited vs. slower speeds you can use as much as you want. Comcast also charges the highest modem rental fees in the country — now $8 a month in most places. Customers can and should buy their own modems. Those Time Warner Cable customers who already have better double-check to make certain Comcast will still support that equipment.

Phone service isn’t much different between the two companies, so we’re not covering it here.

Television Packages

Comcast offers a bigger variety of television packages than Time Warner Cable. Comcast likes to bundle premium channels into some of their higher end packages. Time Warner Cable’s prefers an a-la-carte approach with HBO and other similar networks.

tvComcast customers start with Limited Basic service, comparable to Time Warner Cable’s Broadcast Basic package. It primarily features over the air local television stations and often runs under $10 a month. Effective this year, there is also a $1.50/month Broadcast TV surcharge applicable to all cable TV customers.

A new concept for Time Warner Cable customers is Comcast’s Digital Economy package that includes Limited Basic, Digital Economy channels, and a standard definition cable box and remote. Consider this barely promoted tier the economy bare bones basic cable package. In addition to local channels, Digital Economy offers a lineup of home shopping channels, CNN, HSN, Cartoon Network, Lifetime, History, A&E, E!, Comedy Central, Spike TV, USA Network, Fox News Channel, The Weather Channel, Food Network, Animal Planet, TLN, BET, TV Guide Network, Discovery Channel, Comcast Network, CSPAN, EWTN, Jewelry Television, and Music Choice. This package is $40 a month, although promotions may cut the cost. For some, this may be more than enough.

But most Comcast cable TV customers choose the Digital Starter package that also includes Limited Basic, Expanded Basic, MoviePlex, and Music Choice. The lineup includes just over 80 channels. This $69.95 package is still smaller than what Time Warner Cable offers its digital cable customers, leaving out networks including Cloo, CNBC World, Al Jazeera America, Discovery Fit & Health, Disney XD, DIY, a range of ESPN’s extra networks, EWTN, Fine Living, Fox Business News, Great American Country, IFC, Investigation Discovery, Lifetime Real Women, Military Channel, MLB, most of MTV’s extra networks, NBA, National Geographic Channel, NFL Network, NHL Network, most of Nickelodeon’s extra networks, OWN, Oxygen, Sundance, Turner Classic Movies, The Science Channel, and VH1’s extra networks. There are other channels left out of the lineup as well. But Digital Starter customers do get the full lineup of Encore movie channels, for which TWC charges extra. However, sports and old movie fans will be dismayed to find so many sports networks and Turner Classic Movies excluded. Comcast customers have to pay more to get them back in the lineup.

Those who can’t live without sports networks and TCM, among other networks noted above, will have to pay for Comcast’s 150+ channel Digital Preferred package. This tier brings back the cable channels you used to get with Time Warner Cable (plus Encore), but it costs an extra $17.95 a month. Check your current Time Warner Cable TV bill. Compare it against Comcast’s total combined charge of $87.89 a month for a comparable lineup. How much is your cable TV bill going to increase after Comcast takes over?

special reportFor those who want even more, Comcast offers Digital Premier, with more than 190 channels. This package includes Digital Preferred, HBO, Showtime, Starz, Cinemax and Comcast’s Sports Entertainment Package. It adds an extra $57.45 a month on top of the $69.95 Digital Starter package. That is $127.40 a month just for television service.

Time Warner customers looking for a DVR will probably be mystified by the way Comcast charges for DVR service. Comcast markets “whole house” DVR service much more aggressively than TWC. This service, dubbed AnyRoom, lets customers watch recorded shows on any set-top box-equipped television in the home, along with managing recordings. DVR service with Comcast costs an extra $8-10 a month, but Comcast also charges an “HD Technology Fee” of $9.95 a month to enable “whole house” service. Many higher end bundled packages incorporate the DVR service into the package, along with the Technology Fee.

At regular prices, a Comcast triple play customer should expect to pay $141.99 for the most bare bones TV, phone, and broadband package, $154.99 for the most popular package without premium channels, and $164.99 a month for a bundle that brings along a similar lineup to what TWC offers, along with Starz. Comcast’s nearest equivalent to Time Warner Cable’s $200 Signature Home service costs $239.99 a month and offers no better Internet speeds than what “regular” customers get.

Internet Plans

comcast-splash-internetComcast does offer faster Internet service than what Time Warner Cable has sold for the last 3-4 years, but it will likely come with a usage cap of 300GB per month, with overlimit fees applied to those who exceed their allowance. Internet-only customers are going to find higher prices for broadband service than what Time Warner Cable charges. Comcast prefers bundled service customers, and deters cord-cutters with extremely high Internet-only pricing.

Comcast’s Internet Tiers (The first price is for Internet-only service followed by the price, when different, for customers subscribing to more than broadband)

  • Economy: 1.5Mbps/384kb (N/A)
  • Economy Plus: 3Mbps/768kbps ($39.95 $29.95)
  • Performance Starter: 6/1Mbps ($49.95)
  • Performance: 25/5Mbps ($64.95 $51.95)
  • Blast: 50/15Mbps ($74.95 $61.95)
  • Extreme 105: 105/20Mbps ($114.95 $99.95)

Modem fees are extra unless you buy your own equipment.

Other Comcast Fees You Better Know About

fine printComcast charges a number of extra fees and surcharges that raise customer bills without affecting Comcast’s advertised prices. The ones we have not already covered are included below. Among our favorites: Comcast charging $20 to hound you at your front door for a past due payment, charging shipping/handling and other fees for “self-install” kits that save Comcast money not having to dispatch a technician to your home, installation -and- activation fees for extra outlets, and that $249 “go away” service charge for their 105Mbps broadband tier. It is important to note not everyone will pay these fees and promotions often waive some of them. Customer service representatives will also drop some of them when asked, and may remove them from your bill if you complain loudly enough.

Ancillary Service Fees You May Encounter

  • Reactivation fees: Shut off for non-payment or vacation? Comcast charges $5 to reactivate Internet service, $5 to reactivate a phone line, and $1.99 to turn back on your cable television;
  • Field Collection Charge: If Comcast sends someone to your residence to collect a past due balance or pick up unreturned equipment, there is a $20 charge per visit;
  • Returned Payment Fee: $20 per returned payment;
  • Late Fee: 5% of your account balance;
  • Name Change Fee: $1.99;
  • Pay by Phone Convenience Fee: Making a payment by phone with a customer care representative will cost $5.99 per payment;
  • Copy of Bill: For bill statement copy requested by phone or in person, there is a $5 charge per bill;
  • Unreturned/Damaged Equipment: Charged at the suggested manufacturer’s replacement cost.

Common Equipment Fees

  • Signal Amplifier: $35/each
  • Self-Install Kit Convenience Fee: $40
  • Self-Install Kit Shipping & Handling: $9.95 (Standard Delivery)
  • Self-Install Kit Shipping & Handling: $29.95 (Priority Mail)
  • Remote Control Replacement by Mail (Separate Shipping): $5.95/each
  • other chargesVoice/Data Modem (Used for customers with phone and Internet service): $8/mo²
  • Wireless Gateway (Provides Wi-Fi service): $8/mo²
  • Cienna 3931 Modem & Netgear Wireless Router: $19.95/mo
  • Wireless Adapter (each, one-time charge): $30.00
  • Limited Basic Only Service Converter: $1/mo
  • Digital Converter: $2.50/mo
  • Remote Control: $0.18/mo
  • HD Digital Converter (Limited Basic Only): $2.20/mo
  • Digital Adapter (Limited Basic Only): $0.50/mo each
  • CableCARD: 1st card is free, each additional is $1/mo
  • Customer-Owned Video Equipment Credit: $2.50/mo

Installation and Service Calls (May vary with promotions)

  • Installation fee for one product: $32
  • Installation fee for two products: $80
  • Installation fee for three products: $90
  • In-Home Service Call: $32.10
  • Service Charge for Custom Installation Work: $33.20/hr
  • Installation fee for additional outlets: $13.35/ea at time of new customer visit, $32.15/ea for existing customers
  • Activation fee for additional outlets: $5.60/ea for new customers, $22.05/ea for existing customers
  • Relocation fee for additional outlets: $13.60/ea for new customers, $28.55/ea for existing customers
  • VCR/DVD Connection Charge: $7.90 for new customers, $16.35 for existing customers
  • Upgrade/Downgrade Service Fee (no in-home visit required): $1.99 per instance
  • Upgrade/Downgrade Service Fee (in-home visit required): $26.30 per instance of an upgrade, $12.05 per instance of a downgrade
  • payment centerUpgrade Standard Definition DVR or HD DVR Service: $26.30

Broadband-Specific Installation/Service Charges

  • Additional IP Address (first): $4.95/mo
  • Additional IP Addresses (second and/or third) $9.00/mo each
  • Professional Internet Installation: $99.95
  • Wireless Networking On-Site Professional Set-up (up to 4 devices per trip): $49.95
  • Wireless Networking On-Site Professional Set-Up (extra trips): $99.95/ea
  • Wireless Networking On-Site Professional Set-Up (each additional device over 4): $29.95/ea
  • Broadband-related In-Home Service Visit: $40/per trip
  • Extreme 105Mbps Broadband Professional Installation/Activation Surcharge: $249.00

¹The rates and services quoted in this piece were taken from Comcast’s current rate card for Cambridge, Mass. Rates and services may vary slightly in other markets. The rate card was effective June 2013.
²Comcast charges $7 a month for their modem rental in certain other markets.

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