Time Warner Cable is demonstrating 290Mbps downstream coupled with 90Mbps upstream broadband in its booth at the 2010 Cable Show in Los Angeles. A Time Warner Cable insider told CED magazine it was the first public showing of the company’s ability to provide faster service outside of a lab environment.
The new high speeds are achieved using DOCSIS 3 technology which can bond multiple “channels” on a cable system together to create additional bandwidth.
The demonstration relies on an Arris CMTS and cable modems manufactured by both Arris and Motorola, which are connected to Time Warner’s Los Angeles cable headend.
CED notes Time Warner Cable has plenty of room for broadband speed growth.
The company is achieving the speeds using 8 x 4 channel bonding. With TWC’s top tier rated at 50/5 Mbps, the demo shows speed increases of greater than fivefold on the downstream and 18-fold on the upstream.
The TWC engineer compared the MSO’s achievement with the 300 Mbps that Bell Labs demonstrated on DSL recently.
“What they’ve got is something in the lab that goes 10 feet, and what we’re showing is live from our headend 22 miles away. We can compete (using) DOCSIS,” he observed.
Such developments are all part of a larger company plan to develop and market additional services the nation’s second largest cable operator can upsell to its customers. For now, 290Mbps service is more theoretical than practical at Time Warner Cable’s likely pricing. But it illustrates cable remains technologically ahead of what most phone companies can deliver over non-fiber-to-the-home networks.
MediaPost’s MediaDailyNewsreports Time Warner Cable is about to begin market testing a new super-deluxe package that moves beyond the “Triple Play” packages common in the cable industry today. Targeting wealthy, premium cable customers, Time Warner’s new “Homesuite” service would include all the bells and whistles:
Multiple DVRs for several rooms in the house, with can eventually be connected together to let you start a recorded show in one room and finish it in another;
A full range of premium channels at a bundled discount price;
Faster DOCSIS-3 broadband with free Wi-Fi in and outside the home;
Enhanced digital phone service, perhaps with more calling features;
Concierge-like customer service, which could allow Homesuite customers to jump to the front of the queue for everything from service installation, repair and customer service.
Other options might include access to Time Warner’s wireless mobile broadband (rebranded Clearwire service), extended hours for service calls, discounts on pay per view, more deluxe set top boxes, and in some areas, even home security systems.
For Chief Operating Officer Landel Hobbs, the idea of selling $100 a month Triple Play package promotions just isn’t good enough anymore. Time Warner Cable, MediaPost speculates, is now looking at $250 a month as a potential target price for Homesuite clients.
Time Warner Cable customers in Charlotte, North Carolina will be the first guinea pigs for super premium cable. Are there enough customers around in Charlotte to pony up $250 a month for service?
TWC has conducted a customer “segmentation” study allowing it to identify opportunities for up-selling. “Our analysis indicates that certain of our large and profitable customer segments continue to hold substantial untapped opportunity,” Hobbs said earlier this year.
TWC says in a recent government filing that it’s likely to continue to lose video subscribers, but is expecting to make up for it by persuading customers to take DVR service, premium channels and other add-ons.
Charlotte is a key market for TWC — a Time Warner Cable Arena is located in the city center. After launching there, “Homesuite” would presumably then roll out in other TWC principal areas, which include Ohio, New York, Southern California and Texas. The working “Homesuite” moniker could be altered.
American Salt Company's salt pile in Hampton Corners, just south of Rochester, N.Y.
Faithful Stop the Cap! reader Lance dropped us a note this afternoon alerting us that Syracuse is the latest Time Warner Cable city getting the benefits of increased speed from Time Warner Cable’s DOCSIS 3 Wideband upgrade.
While those in the Salt City can now sign up for 50Mbps broadband service, Time Warner Cable tells residents of the Flower City to go pound salt — there are no upgrades for you!
Why?
Thank Frontier Communications anemic (read that barely-existent) competition against Time Warner Cable in Rochester. While the rest of upstate New York is being wired for fiber-to-the-home service from Verizon, Frontier Communications is relying on decade-old DSL service… indefinitely. For residents like myself, that topped out at a whopping 3.1Mbps. That fails the FCC’s newly-proposed minimum speed to even be considered “broadband.”
Buffalo has been Wideband ready since early this month, and New York City launched service last year.
The Rochester Democrat & Chronicle must have noticed nearby cities were getting speed increases, but Rochester was not, so they contacted Time Warner Cable to find out why:
While those DOCSIS 3.0 products — called Wideband and Road Runner Extreme — are being made available in Buffalo and Syracuse, the company “has just begun its national launch of this product across its entire footprint, but with no additional locations determined at this time,” said spokesman Jeff Unaitis.
The company, however, does plan to roll out a wireless broadband product for the Rochester market before the end of 2010, he said.
(*) - As long as you don't live in Rochester, N.Y.
That’s the nice way of saying Rochester isn’t getting the speed increases because there is no competitive reason to provide it. With Rochester left off the upgrade list, and no real incentive to run to Frontier (which can’t beat Road Runner’s existing speeds), this community falls behind the rest of the state in broadband speed.
To think last April Time Warner Cable was promising dramatically upgraded service, if the community agreed to accept their Internet Overcharging usage-based billing scheme. Apparently no other upstate city was required to commit to ripoff pricing, and speed upgrades came anyway. The fact Rochester is bypassed this year proves our contention their pricing experiment came to Rochester only because they faced no real competitive threat from Frontier then, and they still do not today.
As for the wireless product coming to Rochester, that will come courtesy of rebranded Clearwire service, which has had very mixed reviews. Time Warner Cable and Comcast are both major investors in Clearwire, and are using their service to provide a wireless add-on. It won’t come cheap, however, if North Carolina’s pricing also applies here:
Road Runner Mobile 4G National Elite gives unlimited access to both Time Warner Cable’s 4G Mobile Network and a national 3G network (Sprint, presumably), for use when traveling.
o $79.95 per month for Road Runner Standard or Turbo customers.
Road Runner Mobile 4G Elite gives customers unlimited access to the Time Warner Cable 4G Mobile Network.
o $49.95 per month for Road Runner Standard or Turbo customers.
Road Runner Mobile 4G Choice gives light users 2GB of service on the Time Warner Cable 4G network each month.
o Available for $39.95 per month to customers of at least one other Time Warner Cable service. Additional $5 off if you have a bundled service package.
As for Wideband pricing, Syracuse residents should expect to pay:
30/5Mbps: $25 more than standard Road Runner service;
50/5Mbps: $99 per month, but ask about promotional pricing, which may be available.
In Syracuse, Road Runner speed now matches Verizon FiOS on the downstream side, although Verizon can deliver better upload speed at 20Mbps. Formerly, Road Runner maxed out at 15Mbps in central New York.
About 30 percent of the central New York division of Time Warner Cable is now Wideband-ready, including the entire city of Syracuse. By October, the company expects to have the faster service available in 70 percent of the central New York area.
Tomorrow, the Federal Communications Commission is anticipated to release its long-awaited National Broadband Plan (NBP) for the United States.
The proposed road map to better broadband is supposed to bolster availability in rural communities, improve access in urban and suburban areas, and lay the groundwork for 21st century service and speeds.
FCC Chairman Julius Genachowski and Blair Levin, executive director of the FCC Broadband Initiative, have provided plenty of clues along the way. But one thing is certain — the true impact of the NBP will be to pass a de facto national stimulus program for corporate lobbyists, who will spend the rest of the year loving the goodies in the plan and lobbying away the parts they don’t.
Everyone but consumers have plenty of cash on hand to pay for a full assault on Capitol Hill, bending the ears of lawmakers to deliver the changes they can believe in, and outlawing the changes they don’t. Since those words will be underlined with fat campaign contributions, more than a few lawmakers are likely to listen.
National Public Radio’s Morning Edition asked the question, will the National Broadband Plan come up short? (4 minutes)
You must remain on this page to hear the clip, or you can download the clip and listen later.
The Winners
Public Institutions: To be a health care provider, a school, or library is a good thing these days. Some of the most generous and non-controversial elements of the NBP will be directed to public institutions. The cosmetic impact can’t be beat. Every elected official sees great potential from ribbon-cutting a showcase project that improves health care, local schools, or a nearby public library. To all three will come fast access fiber connectivity, tele-learning funding, and support for educating the public about broadband. Libraries will be given special attention to address connectivity, schools will likely find free or low cost fiber in their future, and the digitization of health care records and results will also promise improvements in health care delivery.
None of these projects will create a significant competitive impact on current broadband players, and even earmark-wary politicians will pose for the cameras to launch an inner-city library’s fiber project. Public safety will also be provided for with plans to improve connectivity and leveraging broadband for our first responders.
Wireless Companies: It can’t hurt to be a big telecommunications company with a wireless division, either. That’s because one of the major priorities for the NBP will be finding additional wireless spectrum to improve mobile data services in hopes they can provide increased access in rural communities and increased competition in urban ones.
More airways for mobile data will be “a core goal,” FCC Chairman Julius Genachowski said in February. That means AT&T and Verizon stand to gain the largest benefits from expanded spectrum. Smaller carriers like T-Mobile and Sprint will also benefit to a lesser degree. The FCC wants to double the number of frequencies available to wireless carriers — 500MHz that must be reallocated from other uses and delivered to providers in new broadband spectrum auctions.
Those with the deepest pockets will win the most spectrum, which assures in priority markets where spectrum is in demand, AT&T and Verizon will likely outbid others.
With a mobile broadband future at stake, that guarantees added pressure on smaller players to merge so they can pool resources to compete for needed airwaves. That could ultimately reduce competition and choice among wireless providers. Pricing is unlikely to drop either, so long as providers try and recoup their auction expenses.
Levin, in particular, is a proponent of wireless competition.
“We don’t know necessarily whether wireless is going to provide perfect competition to wired. But we do know it’s a very important piece of the puzzle,” Levin believes.
Consumers know better, especially in a country replete with $60-for-five-gigabytes monthly usage plans.
Since wireless broadband is increasingly delivered by the same companies providing wired broadband, wired providers show few signs of fear from bolstered wireless competition. AT&T U-verse and AT&T Mobility are AT&T. Verizon FiOS, DSL, and Verizon Wireless are all Verizon. Comcast and Time Warner Cable are both major investors in Clearwire, a wireless “competitor.”
Equipment & Infrastructure Providers: If you haven’t bought shares in Corning, manufacturer of fiber optic network components, or Cisco, which supplies broadband infrastructure, you might want to consider it. Both companies, among dozens of others, stand to reap millions in profits from the sale of components to construct 21st century broadband. All of the major equipment manufacturers and their respective trade associations have already submitted piles of comments to the FCC to help identify priorities and speed implementation of the NBP. Not only do they promote the use of their products, they also speak in terms of helping to create thousands of new jobs for those building the next generation of broadband. What’s not to like about that?
Big Broadband Users: Major companies like Google and Amazon are expected to benefit from improved broadband, especially if it also includes increased competition and open access to privately owned networks. Constructing larger national and regional networks assures increased capacity and reduced pricing, especially if networks face additional competition. To underscore the point, the NBP is expected to announce a review by the FCC of the wholesale rates big carriers charge for access.
The Losers
Broadcasters: The nation’s broadcasters are clearly the biggest potential losers in the NBP. Threatened with plans to capture large amounts of the UHF television band and selling it off to wireless providers may cripple at least some of the nation’s free over-the-air broadcasters. For some at the FCC, the fact that less than half of all Americans watch television over-the-air must have made their frequencies a rational target. Most Americans pay a cable, telephone or satellite company to deliver local stations. If the FCC reallocated half of the current UHF dial and sold it to wireless carriers, the remaining channel space would mean a far more crowded, interference-prone TV dial.
Some wireless industry advocates of the reallocation plan believe stations can get by with reduced power on a network of cell-tower-like relay transmitters delivering signals to more distant suburbs in their service area. Reduced power means reduced interference, they advocate, although it also means significantly reduced coverage areas, especially for rural Americans which depend on distant stations for free over-the-air television.
Right now, the NBP reallocation proposal will likely be “voluntary,” meaning stations can give up their channel and move to a different one, earning compensation from a federal auction fund to pay 100 percent of the expenses involved with the channel change. The National Association of Broadcasters, the television industry’s trade association, fears what begins as “voluntary” may evolve into “compulsory.”
Open Access Proponents: Least likely to be included in the NBP is a broad-reaching requirement that broadband providers open their networks, usually a duopoly in most American cities, to would-be competitors at fair terms and prices. The industry has been down this road before with traditional telephone service, and spent countless millions fighting proposals that would allow consumers to choose different local telephone companies. In the end, choice for residential phone service over landlines never really got off the ground because the terms and conditions never made economic sense to would-be competitors.
Should the FCC try to mandate that cable and telephone industry broadband lines be opened to third party competitors, that will unleash a full scale lobbying assault on Washington. In an election year, antagonizing big telecommunications companies is unlikely. Besides, the industry can always sue, claiming any open access mandate violates their corporate constitutional rights.
The Jury Is Out
Consumers: That’s you and I. Don’t expect the FCC to announce large, government-constructed, fiber to the home projects for every American now living with a broadband duopoly that delivers the least amount of speed for the highest possible price. When a significant minority of Americans believes any government project to improve broadband is really a Barack Obama Socialist Wiretapping project, no national scale version of municipal fiber is forthcoming. Not even close.
Most of the media attention will likely focus on speed goals, cosmetic projects for local institutions, and general statements about increased competition.
The immediate benefits for consumers will be nebulous at best. We’ll likely gain more from Net Neutrality protections. The only likely direct benefit, should it come to fruition, is the plan to create a nationwide, free wireless network to ease the digital divide. Specific speeds, technology used, and service areas aren’t known at this point. But private providers will work particularly hard to prevent this plan from ever seeing the light of day.
Consumer complaints about telecommunications companies have been skyrocketing. The Better Business Bureau reports that the most complaints the group received in 2009 pertained to cell phone providers and the cable, telephone, and satellite-providers.
Consumers are screaming for competition and they get rate increases instead.
Without clear measures promoting increased competition and oversight, American broadband will evolve into an expensive, usage-limited experience for most urban customers, and “good enough for you”-slow speed DSL service delivered by a de facto telephone company monopoly in rural areas.
Relief for consumers does not come from handing additional few-strings-attached benefits and resources to the same providers that are responsible for the current state of broadband service in America.
Hollywood: Lobbyists for the music and movie studios have been peppering Washington with demands that broadband-related legislation include increased penalties and restrictions to reduce copyright theft. They seek a mandate that repeat copyright offenders be banned from broadband service, that consumer electronics incorporate digital rights management technology to thwart unauthorized distribution or access to copyrighted content, and increased financial penalties for those who try.
Should the FCC incorporate these concepts in the NBP, it will likely create a consumer backlash because of past memories of overzealous copyright controls that hamper legitimate use of purchased content. It will also raise opposition from consumer electronics manufacturers.
Cable and Telephone Providers: There are benefits and risks to companies like Comcast, Time Warner Cable, Verizon, AT&T, Frontier Communications, and Windstream, among others.
Reform of the much-maligned Universal Service Fund, which currently benefits traditional telephone customers, could be a game-changer for many companies. Currently, Verizon and AT&T pay more into the USF than they receive from it. That is especially true for Verizon which is abandoning rural markets by selling off service areas to smaller providers. The USF provides a subsidy for rural phone companies to deliver affordable service at comparable pricing enjoyed in larger communities. By transitioning the USF into a Broadband Service Fund — using the money to construct and improve broadband service — many companies stand to benefit.
Frontier, CenturyLink, and Windstream are among those specializing in “rural phone service” and could use funding to defray the costs of broadband networks otherwise built with investor money. Verizon and AT&T could earn broadband funding for projects in their service areas currently not delivering broadband, or only providing anemic DSL service.
That has cable companies worried, particularly if the funds can be used to provide service in areas where they already offer service. Even worse, the thought of a new wireless broadband entrant in a community already served by cable and telephone company broadband.
McSlarrow
The cable industry is also worried about a proposal to let consumers ditch cable-owned cable boxes in favor of their own purchased alternatives.
Cable companies rent tens of millions of cable boxes that they control and manage. The FCC wants consumers to be able to purchase and manage their own devices capable of utilizing the services cable operators provide, without having to pay several dollars a month to borrow one from the cable company.
Kyle McSlarrow from the National Cable & Telecommunications Association sent a letter Friday to Genachowski offering the FCC a compromise. Offering seven points the NCTA says cable is willing to voluntarily abide to, McSlarrow suggests consumers should be able to buy such devices, but that they should not be required to access every possible service on offer from his cable members. Indeed, such devices also must incorporate security and copyright controls to limit unauthorized access and use of cable-delivered content.
That guarantees the same success rate consumers have today with CableCARD technology, which few consumers use or understand.
Regardless of what comes from tomorrow’s National Broadband Plan, look beyond the happy talk, general promises, and visionary language. The devil is in the details, definitions, schedules, and clear path from tomorrow’s platitudes into next year’s broadband improvement reality.
Clearwire this week changed their terms and conditions governing the use of their service. The changes are sufficiently materially adverse that subscribers under contract should be able to cancel service, if they wish, without incurring any early termination fee.
The most prominent change is Clearwire’s ability to crack down on whatever they define “excessive usage” to be, and the redefining of ‘unlimited service’ as ‘limited and speed throttled service.’
Clearwire’s unlimited use plans have always carried a clause giving the company the right to terminate or suspend service for exceptionally excessive usage, after several contacts with customers. The old language:
UnlimitedUsePlans. (Effective January 9, 2009)
While the determination of what constitutes excessive use depends on the amountspecific state of datayoumaydownloadoruploadduringamonththe network at any given time, youshouldexcessive use will bethatsuchunlimited”plansareneverthelesssubjecttodetermined by resource consumption and not by the provisionsuse of thisAUPany particular application. WhatthismeansisthatallWhen feasible, upon observation of theprovisionsdescribedinthisAUPan excessive use pattern, includingthosethatdescribehow Clearwire mayperformreasonablenetworkmanagementsuchasreducingwill attempt to contact you by e-mail at the dataratee-mail address on file or otherwise to alert you to your excessive use of bandwidth intensiveusersduringperiodsand to help determine the cause. Clearwire representatives also are available to explain the parameters of congestion,willapplythis AUP and to yourhelp you avoid another excessive use incident or to upgrade you to a different class of the Service that comports with your usage. Thetermunlimited”meansthatwewillIf you are unavailable or do not placealimitonhowmuchdatarespond to Clearwire’s attempt to contact you uploadregarding excessive use, or downloadduringamonthif excessive use is ongoing or otherparticularperiodrecurring, howeverClearwire reserves the right, itdoesnotmeanthatwewillnottakestepsset forth in the “AUP Enforcement and Notice” provisions below, to reduceyourdatarateduringperiodsofcongestionact immediately and without further notice to restrict, suspend or takeotheractionsdescribedinthisAUPwhenterminate your usageisnegativelyimpactingothersubscriberstoour Service.
The new language now permits the company to use “network management” techniques such as reducing your speed if they feel you are excessively using Clearwire’s “unlimited” service. Although the new language sounds friendlier — deleting references to suspending or terminating your service — Clearwire’s Acceptable Use Policy (AUP) maintains those rights in another section. When all is said and done, Clearwire still gets to limit your usage -and- can now also reduce your speed:
UnlimitedUsePlans. (Effective November 22, 2009)
IfyousubscribetoaserviceplanthatdoesnotimposelimitsWhile the determination of what constitutes excessive use depends on the amountspecific state of datayoumaydownloadoruploadduringamonththe network at any given time, youshouldexcessive use will be awarethatsuch “unlimited”plansareneverthelesssubjecttodetermined by resource consumption and not by the provisionsuse of thisAUPany particular application. WhatthismeansisthatallWhen feasible, upon observation of theprovisionsdescribedinthisAUPan excessive use pattern, includingthosethatdescribehow Clearwire mayperformreasonablenetworkmanagementsuchasreducingwill attempt to contact you by e-mail at the dataratee-mail address on file or otherwise to alert you to your excessive use of bandwidth intensiveusersduringperiodsand to help determine the cause. Clearwire representatives also are available to explain the parameters of congestion,willapplythis AUP and to yourhelp you avoid another excessive useincident or to upgrade you to a different class of the Servicethat comports with your usage. Theterm “unlimited”meansthatwewillIf you are unavailable or do not placealimitonhowmuchdatarespond to Clearwire’s attempt to contact you uploadregarding excessive use, or downloadduringamonthif excessive use is ongoing or otherparticularperiodrecurring, howeverClearwire reserves the right, itdoesnotmeanthatwewillnottakestepsset forth in the “AUP Enforcement and Notice” provisions below, to reduceyourdatarateduringperiodsofcongestionact immediately and without further notice to restrict, suspend or takeotheractionsdescribedinthisAUPwhenterminate your usageisnegativelyimpactingothersubscriberstoour Service.
Clearwire (and the soon-to-be-launched Road Runner Mobile from Time Warner Cable and Comcast’s mobile broadband option) share the same Clearwire WiMax network. As investors in Clearwire, the cable operators have won the right to rebrand the service to provide a mobile option for their broadband customers.
Customers considering signing up for service should carefully verify the terms and conditions of their contract, as well as the quality of service provided where you expect to use the service the most. Several websites highly critical of Clearwire have been established with hundreds of upset customers who were promised broadband speeds and barely managed much more than dial-up speeds using the service.
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“Clearwireblows” ran a speed test illustrating serious speed problems using Clearwire in Texas this past April. (2 minutes)
Customers who wish to end their contract without incurring a cancellation fee can do so following this procedure:
Contact Clearwire in writing and inform them you are exercising your right to terminate service without charge or penalty because of materially disadvantageous changes to the Clearwire Terms and Conditions effective November 22, 2009. Under their terms, you have a right to discontinue service in accordance with the section “Revisions: Reservation of Rights.” Namely, “…if you do not wish to continue Service after a change that is materially disadvantageous to you, you may terminate this Agreement by providing written notice to Clearwire within twenty (20) days of the effective date of the modification.” The link above contains contact addresses you may use.
Contact customer service by telephone and inform them you have followed the written cancellation procedure outlined above.
Be certain to insist Clearwire not charge any termination fees, and that you do not agree to pay any such fees.
Should you experience any difficulties, contact the Better Business Bureau as this customer did. The BBB helped facilitate an immediate cancellation with no termination fees.
Leveraging their investment in Clearwire, a WiMax provider, Time Warner Cable on Monday announced it will officially launch the Time Warner Cable 4G Mobile Network in Dallas on December 1st. The first product to launch is Road Runner Mobile, which will essentially resell access to Clearwire for as low as $44.99 per month for Time Warner Cable customers. North Texas customers using the service can expect speeds up to 6Mbps.
“With Time Warner Cable’s 4G Mobile Network, we now offer the fastest mobile data service available,” said Barry Rosenblum, executive vice president of the Texas Region for Time Warner Cable. “We’re extending our reach outside of the home and giving our customers the convenience of mobility and the speed of 4G. Road Runner Mobile lets customers take their favorite Internet service wherever they go. This is an important part of our strategy to give our customers any content, on any device, anytime, anywhere.”
Customers face equipment fees, contracts typically extending two years, and usage caps on lower tier service. Actual speeds vary considerably. Consumers using Clearwire’s WiMax service have experienced problems using the service indoors, particularly in homes equipped with energy efficient windows. It seems window coatings can block or reduce reception in certain cases.
On December 9, Time Warner Cable will host an exclusive event in Dallas at the House of Blues in celebration of the launch of Road Runner Mobile. The “Life in the 4G Fast Lane” event will feature an appearance by “The Fastest Woman in the World,” Indy Race Car superstar Danica Patrick. Along with being able to sample the service, guests will enjoy musical performances by Eagles tribute band, 7 Bridges, and Dallas’ own The King Bucks. A limited number of tickets will be available to the public leading up to the event.
North Texas residents can register to win $4,000 in the Life in the 4G Fast Lane Sweepstakes. One grand prize of $4,000 plus an HP Mini 311 Notebook will be awarded on December 9. An additional ten (10) HP Mini 311 Notebooks will be given away to 10 first prize winners.
Residents of Austin and San Antonio are expected to get access to Road Runner Mobile in early 2010.
Time Warner Cable also announced it would utilize the services of Brightpoint, a fulfillment house, to support the launch of Road Runner Mobile nationwide including wireless data card, accessory and collateral fulfillment and returns, triage and repairs.
Customers ordering products for Road Runner Mobile are likely to receive them shipped directly from Brightpoint, which will also manage customer returns and repairs. Brightpoint is also known for supporting rebate programs and supplying retail locations with products from a variety of wireless equipment manufacturers.
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I see it took all of five minutes for George Ou and his friends at Digital Society to be swayed by the tunnel vision myopia of last week’s latest effort to justify Internet Overcharging schemes. Until recently, I’ve always rationalized my distain for smaller usage caps by ignoring the fact that I’m being subsidized by […]
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