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Comcast Caught Telling Employees to Vote for Charter As ‘Worst Company in America’

Phillip Dampier March 31, 2011 Charter Spectrum, Comcast/Xfinity, Competition, Consumer News Comments Off on Comcast Caught Telling Employees to Vote for Charter As ‘Worst Company in America’

The final results were no help to Comcast in this square-off.

Comcast will do anything to avoid being labeled the Consumerist’s Worst Company in America, even if it means encouraging employees to stuff the ballot boxes with votes for one of their colleagues — Charter Communications.

Instead of improving service and making friends with their customers, Comcast sent asked employees to send in multiple votes to beat up on Charter Cable, one of America’s smaller cable companies that emerged from bankruptcy in late 2009.  Consumer Reports gives Charter low marks anyway, so why not pile on?  Comcast sure did in not one, but two memos begging for employees to vote soon and vote often:

Comcasters,

We need your help to show that Comcast is a great company.

The Consumerist website is currently hosting its poll of the “Worst Companies in America.” Comcast is part of the first round of this poll, which started today and ends at 9 a.m. (ET) this Friday. Unfortunately, this same poll named us as their worst last year. If you feel that Comcast does not deserve this label, we hope that you will participate and vote for the company that is paired against Comcast.

To vote, just click on the following link and place your vote: https://consumerist.com/2011/03/23/worst-company-in-america-round-one-comcast-vs-charter/.

Of course, your participation is voluntary. Naturally, we don’t want to vote for any company to receive this label; unfortunately that is how the Consumerist poll is structured.

You can only vote one time from a single IP address, so we hope that you will consider voting today/tonight and at home from your cell phone, iPad, personal computer or other web-enabled devices with a unique IP address. You can use company devices as well as your personal devices. (If you are having trouble voting, please send an email to us here and someone will contact you to assist you.)

We have all worked very hard to make Comcast the terrific company that it is today and to create a customer experience that we are all proud of. We hope you will consider defending our company name by participating in this poll. Thanks in advance for your assistance and for the great work you do every day.

Version 2:

Comcasters,

Our great company has been nominated by The Consumerist as one of the “Worst Companies in America in 2011” in their annual survey. We have all been working very hard to create a customer experience that we are proud of and need to come together to send a strong message that we simply don’t deserve this title.

We encourage you to participate in this poll and to vote with your heart to tell America that we are proud of our company. Participation is purely voluntary, and in the event you choose to vote, here’s what you need to know:

* DO NOT vote for Comcast. When you cast your ballot, vote for the other company. Remember, you’re voting for the “Worst Company in America.”
* Click on the following link and vote: https://consumerist.com/2011/03/23/worst-company-in-america-round-one-comcast-vs-charter/
* Feel free to vote from the office and at home on your personal computers and laptops. You can also vote via the web browser on your cell phones, iPads, tablets and other web-enabled wireless devices.

When you cast your ballot, vote for the other company. Remember, you’re voting for the “Worst Company in America.”

It’s good the memo clarified… repeatedly, not to vote -for- Comcast in case anyone got confused.

In the end, it was to no avail.  In fact, the Consumerist exposed the attempted vote rigging and Comcast won the square-off in the first round.

Meanwhile, the rest of the finalists consist of a remarkable number of telecommunications companies among the perennial favorites — financial vampire banks Chase and Bank of America and gougers like WellPoint, UnitedHealth and Ticketmaster.  All of the major telecom companies made the list, including Comcast (which won top honors last year), Time Warner Cable, AT&T, Charter, Verizon, Dish Networks, and DirecTV.

Time Warner Cable has lucked out in today’s competition.  It faces off against the ultimate evildoer – BP.  The cable company should come out ahead.  It only jacked up your cable rates.  It didn’t hemorrhage oil into the Gulf of Mexico for a good part of last summer.

Cable Stock Booster Predicts AT&T Provides ‘Safe Passage’ for Cable Internet Overcharging Schemes

Phillip Dampier March 14, 2011 AT&T, Charter Spectrum, Cox, Data Caps, Online Video 4 Comments

Craig E. Moffett joined Sanford C. Bernstein & Co. as the Senior Analyst for U.S. Cable and Satellite Broadcasting in 2002.

Craig Moffett, perennial cable stock booster, predicts AT&T’s move to implement usage limits on its broadband customers will provide cover for cable operators to rush in their own Internet Overcharging schemes, starting with budget-priced usage plans.

Moffett released a research note Monday claiming Charter Communications, Cox Communications, and Time Warner Cable are among the first most likely to move towards limiting their customers’ broadband usage, with Comcast standing on the sidelines, at least for the moment.

Moffett thinks AT&T’s announcement is excellent news for wired providers, who could reap enormous new profits on top of some of the world’s most expensive broadband packages.

“AT&T’s move provides air cover that makes it easier for all of them to follow,” Moffett told his clients. “We view the move as good news for all the terrestrial broadband operators.”

Moffett believes usage caps have everything to do with stopping the torrent of online video.  He notes AT&T’s caps are set high enough to target AT&T customers who use their connections to watch a considerable amount of video programming online.

“Only video can drive that kind of usage,” Moffett writes.

Moffett has repeatedly predicted any challenge to pay television models from online video will be met with pricing plans that eliminate or reduce the threat:

“[I]f consumption patterns change such that web video begins to substitute for linear video, then the terrestrial broadband operators will simply adopt pricing plans that preserve the economics of their physical infrastructure,” Moffett said. “Of course, any move to preserve their own economics has far-ranging implications. Any move towards usage-based pricing doesn’t just affect the returns of the operators, it also affects the demand of end users (the ‘feedback loop’).”

Patent Trolls Want a Piece of Your Rising Cable Bill

Gertraude Hofstätter-Weiß February 1, 2011 Public Policy & Gov't Comments Off on Patent Trolls Want a Piece of Your Rising Cable Bill

A company claiming to own a broad patent covering ‘storage and retrieval playback systems’ has sued six large cable companies claiming they are infringing its patents.

Comcast, Time Warner Cable, Cox Communications, Bright House Networks, Charter Communications, and Cablevision have all been accused of violating patents that could cover their respective video-on-demand systems.

Pragmatus, whose website is “under construction,” acquired the patents from Intellectual Patents, which has extracted more than a billion dollars in licensing fees on broad-based general patents.  Law.com calls both firms “patent trolls,” because they exist largely to collect money from deep pocketed technology companies.

The lawsuit covers patents 5,581,479 and 5,636,139 which describe technology that uses “information service control points” that send blocks of data to remote stations.  That could cover just about any server.

As proof of infringement, the legal filing simply includes the URL’s of websites that promote video-on-demand services.

Many lawsuits eventually settle out of court quietly, with licensing deals that extract a portion of each subscriber’s monthly payment and send it on to companies like Pragmatus.

Harry Cole, who has dealt with these nuisance suits before, says they are a product of a broken patent system.

“[A patent trolls does] not produce anything. It does not sell anything bought or processed, nor does it buy anything sold or processed, nor does it process anything sold, bought or processed, nor does it repair anything sold, bought or processed … All the company does is speculate on patents, which it purchases on the secondary market in the hope that one such patent will hit it big.”

Confirmed: Charter Cable About to Ruthlessly Enforce Usage Caps

Phillip Dampier November 11, 2010 Charter Spectrum, Data Caps, Editorial & Site News 12 Comments

Stop the Cap! comments: After today’s confirmation of the story below, it turns out that not only will Charter enforce its usage caps, it is also implementing a throttling scheme that will turn down speeds for “heavy users” when Charter’s overburdened broadband network is congested.  We’ve seen how that works in Europe.  Network management techniques like throttling and usage caps allow providers to turn up the speed and usage controls and turn down the level of investment to grow their broadband networks to meet growing customer demand.

Wall Street will certainly encourage this kind of behavior so long as Charter customers have few alternative choices.  This is bad news for Charter customers who may find the phone company’s unthrottled and typically unlimited broadband a much better alternative, even if it does run slower.

Two separate e-mails arrived in our mailbox this evening from individuals claiming to work for Charter’s call center informing us customer service agents are required to attend a meeting Thursday to explain Charter Cable’s new hard-usage cap Internet Overcharging policy.

It’s too late for us to touch base with company officials for verification, but both our sources shared nearly-identical details of the forthcoming hard usage cap program:

“Effective Nov. 16th, Charter will begin enforcing their Usage Cap policy strictly:

  • Base Service: 100GB per month
  • Plus & Max: 250GB per month
  • Ultra: 500GB per month

Violators will receive two warnings and then face service suspension for up to six months unless they switch to a Business Class broadband product.”

Our other source tells us CSR’s are being trained to deal with irate customers who are deemed violators, all because Charter is in no financial position to keep up with network demands.

Until we receive absolute verification, this should be considered unconfirmed information.

Charter Cable has maintained soft usage caps for some time, rarely enforced on a system-by-system basis with phone calls.  The details are buried on Charter’s website.  They have generally left most customers alone.  But if Charter intends to enforce a formal Internet Overcharging scheme, customers will have just one more reason to despise the company, which already rates as the worst cable broadband provider in the United States according to Consumer Reports (only Wildblue and HughesNet — both satellite fraudband providers scored worse for broadband).

Updated 3:04pm ET:  Here is a statement we received from Charter regarding this matter:

Charter is introducing some new programs designed to improve our high-speed Internet service.  We had planned to send information your way when we start to inform our customers directly; however, in the spirit of flexibility here is a quick summary for you today.

As I know that you know, Charter has long offered graduated tiers of Internet service, ranging from lower speed “Lite” (1 Mbps) versions to “Ultra60” (60 Mbps) and each service level has a monthly usage threshold within which customers are supposed to limit their usage.  Until this point, we haven’t taken action to enforce our thresholds; however, in order to continue providing the highest quality Internet service, we do plan to begin enforcing our “No Excessive Use of Bandwidth” policy documented in our Acceptable Use Policy (AUP). The thresholds are substantially above typical use for approximately 98% of our customers.

In December, we will begin reaching out to a select group of customers whose use is excessive to make them aware of their usage patterns, to help identify possible causes (e.g., unsecured wireless routers or viruses) and review security options with these customers to reduce the risk of unauthorized Internet use. We are currently working on a way to present data usage to customers so they can self-monitor their bandwidth usage.  Until we make that tool available directly, customers who are notified of excessive use will be provided a contact at Charter who can check the customer’s usage throughout the month to help them better manage their Internet usage. If the excessive usage continues repeatedly, their Internet service could be suspended. Our intent is to prevent the very small number of users who are consuming excessive amounts of bandwidth from negatively impacting the experience for the majority of our customers.

In tandem with enforcing our “Excessive Use of Bandwidth” policy, we will also introduce a congestion management policy to improve the Internet experience for all of our customers.  Congestion Management will become part of our standard Network Management practices, and the policy will be protocol agnostic, which doesn’t distinguish among the online activities, protocols or applications a customer uses. It applies only during periods of congestion (which we find to be relatively rare).  It affects only the heaviest users (less than 1%) in small time increments, who will have their bandwidth limited during times of congestion, however, no Internet activities will be blocked.  We based this system on the “fair share” model described to the FCC in September of 2008.

We certainly wanted you to know about these initiatives and believe these steps will help us deliver the best possible Internet experience for our residential users.

Anita Lamont

[Updated 12:14pm ET:  We reached out to Charter Cable’s social media reps and media relations in e-mail this morning and are still waiting for a confirmation/denial/comment on this story.  If/when we get one, it will appear here as an update.]


Charter Customers Revolt: $25 for Broadcast Basic Cable That Costs Cable $1 in Programming Fees

Phillip Dampier October 12, 2010 Charter Spectrum, Competition, Consumer News, Video Comments Off on Charter Customers Revolt: $25 for Broadcast Basic Cable That Costs Cable $1 in Programming Fees

Charter Cable customers are upset over new surcharges of a dollar or more on their monthly cable bills to pay for broadcast/over-the-air stations they can receive for free.  Even worse, Charter already charges its basic customers in areas like upstate South Carolina up to $25 a month for basic cable, which includes local channels and a handful of cable networks.

Now customers like Cathy Bader want to know why Charter needs a dollar surcharge on a $25 cable package when it only costs Charter a dollar for the local channels she wants to watch.

Those in other parts of the state pay as low as one-third that price for the same local channels.

“If you’re only paying $1.12 to rebroadcast the same channels that you can get with an antenna or on basic elsewhere [in the state] for $14 dollars, well, why don’t [they] take it down to $14 for basic cable,” Bader asked Diane Lee, a consumer reporter for WSPA-TV in Spartanburg.  “Why gouge the customers when you are the only game in town for most of us.”

Now that Bader has learned the exorbitant markup rate on basic, she wants to know how much Charter pays to re-transmit other channels, too.  She’s certain it is much less than the $111 she pays every month for cable service.

Time Warner Cable, in comparison, charges between $8-13 per month for the same broadcast networks in other parts of the state.  A good antenna will cut that bill to zero.

Charter Cable handed the TV station a written response:

“The pricing for our basic level of service incorporates the overall operating costs of providing video services to our customers.  Charter’s price for basic service in the upstate area is comparable to prices charged by certain other video providers, including basic cable service in the Atlanta area, which is approximately $23 a month.”

[flv width=”480″ height=”380″]http://www.phillipdampier.com/video/WSPA Spartanburg Charter Surcharge 10-5-10.flv[/flv]

WSPA-TV in Spartanburg ran this report about Charter’s high basic cable rates.  (2 minutes)

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