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4 Tips to Find the Cheapest Deals for Internet Access

CenturyLink runs specials on their website that offer extra savings when ordered online.

Your $50 monthly broadband bill has been burning a hole in your wallet and you think there should be a cheaper price available somewhere, right?

The answer is, for most of us, there is.  You just have to look.

The most expensive Internet access around comes when you buy broadband-only service from a provider.  Both cable and phone companies have been incrementally punishing their “broadband-only” customers for years, tacking on $5, $10, even $15 to the price because you have chosen not to bundle broadband with other services the company sells.  It is not unusual to see some cable companies charging $55-60 for standard Internet service.  When you call to inquire, they are sure to begin aggressively upselling you to a bundled service package, arguing you can add cable TV and phone service for $20-30 more a month.  That sounds like a better deal, unless you honestly don’t care about either service.

Welcome to the world of marketing, where the “value perception” is key to driving the average revenue collected from each subscriber higher and higher.  You end up buying services you probably would not have considered, but because they seem so inexpensive when compared with the price of the service you are interested in, why not?

Phone companies do the same thing, but many of them also love to bury hidden charges in the fine print and commit you to 1-3 years of service to guarantee the advertised price.  Companies like Frontier Communications may pitch DSL service for just $15 a month, but keep reading and you will discover the taxes and fees raise that price substantially.  In fact, that particular phone company is notorious for charging substantial modem rental fees and what they call a “High Speed Internet” surcharge.  To get the lowest price from them, you will be a Frontier customer for at least a year, depending on the promotional offer selected.

Frontier redefines "value": This attractive looking offer "fine prints" the $6.30 modem rental fee, is for service "up to" 1Mbps (so much for "high speed"), has a one-year service commitment with a $50 early termination fee, and does not include unspecified "taxes and surcharges" which run extra.

You can break free of the marketing circus by concentrating on finding the best possible deal for the service(s) you really care about.

  1. Check advertising offers on television and in newspapers, but always read the fine print;
  2. Visit the website of each local provider and look for “Internet-only” offers that may deliver extra savings, but only when you order online;
  3. Call providers and ask them about their various deals and inquire “is this the best offer you have right now?;”
  4. Use search engines and type in your provider’s name and words like “deals,” “offers,” or “promotion.”  Third party authorized resellers may have an offer that works better for you.

Sometimes you can get excellent results playing providers off each other.  Try contacting the social media representatives of different providers in your area to unlock hidden deals, and more importantly, customer retention offers.  One Rochester reader of ours got Time Warner Cable to open negotiations to keep his business with this tweet:

Getting ready to schedule my @TWCable disconnect after rate increase – should I go with @dishnetwork over @DirecTV or vice versa?

He received a substantial retention offer within hours of alerting Time Warner of his discontent (he’s also a rabid hockey fan, and the ongoing MSG-Time Warner Cable dispute made satellite an attractive alternative.)

[flv width=”360″ height=”290″]http://www.phillipdampier.com/video/KNXV Phoenix Which broadband provider saves you the most money 2-7-12.mp4[/flv]

KNXV in Phoenix helped residents in that Arizona city figure out who was cheaper, CenturyLink or Cox Cable.  And what about using mobile broadband for a home broadband replacement?  (3 minutes)

Customers “Probably Don’t Need Higher (<1Mbps) Speed," Editorializes N.M. Newspaper

Phillip Dampier December 5, 2011 Broadband Speed, CenturyLink, Community Networks, Competition, Editorial & Site News, Kit Carson Telecom, Public Policy & Gov't, Rural Broadband, Wireless Broadband Comments Off on Customers “Probably Don’t Need Higher (<1Mbps) Speed," Editorializes N.M. Newspaper

Sometimes you can’t please some people no matter what you do.

Kit Carson Electric Cooperative’s $64 million fiber-to-the-home expansion project will finally bring 21st century broadband speeds to northern New Mexico. The electric co-op intends to deliver broadband speeds up to 100Mbps to 20,000 largely rural residents and businesses in Taos, Colfax, and Rio Arriba counties who have had limited access to cable broadband or live with speeds often less than 1Mbps from CenturyLink-delivered DSL.

“It’s a whole new ballgame for rural New Mexico,” shares Stop the Cap! reader Raul. “But the pinheads at the local weekly newspaper are ringing their hands over the project, suggesting only businesses deserve 100Mbps while the rest of us should be satisfied with speeds under a megabit per second.”

Indeed, editors at the Sangre de Christo Chronicle are wringing their hands over the project:

But many of us in the Kit Carson service area already have Internet service — and we’re completely happy with it. Kit Carson CEO Luis Reyes, Jr. said a large portion of the organization’s electric customers are currently under-served by other providers with Internet speeds of less than one megabit (1,000 kilobits) per second.

We have no reason to doubt that, but many of these customers probably don’t need the higher speeds. For the Internet customers who use the Internet for email, Facebook, news and other basic functions, Kit Carson’s prices will be most important. Most of us will not pay more for faster Internet speed we don’t need, but we will consider switching to a local provider if it offers identical or better service and prices.

“CenturyLink barely delivers DSL today, and has shown no interest in investing substantially in northern New Mexico, and outside of concentrated built-up areas there is no cable competition,” Raul says. “Kit Carson is the only local concern that has shown any real interest in making our community better, and the local newspaper is complaining about it.”

Proposed service area for Kit Carson Electric's new fiber to the home network serving northern New Mexico.

Kit Carson Electric’s project will provide a true fiber-to-the-home service bundling television, telephone, and broadband service — a substantial upgrade over what the telephone company has on offer.  With speeds far beyond what cable and phone providers in New Mexico are accustomed to providing, the region stands to benefit from entrepreneurs building digital economy businesses over a broadband network that can actually help, not hinder online development.

Currently, area residents pay CenturyLink up to $55 a month for 1.5/1Mbps DSL service.  Residents are so excited by the prospects of much faster speeds at significantly lower prices, Kit Carson Electric has developed an innovative stop-gap service for residents still waiting for direct fiber connections — fiber-to-wireless service.  New and existing customers can sign up for the service for a $100 installation fee and choose from three service tiers:

  • 3Mbps — $29.95/month
  • 7Mbps — $39.95/month
  • 10Mbps — $49.95/month

A three year contract is required (early termination fee is $200).  But customers who eventually obtain Kit Carson Electric’s fiber service will automatically satisfy their contract requirement.

“Kit Carson’s wireless project already blows away CenturyLink’s speeds and pricing, and that is for inferior wireless,” Raul argues. “The Chronicle doesn’t have a clue.”

We can’t understand the newspaper’s concerns either.  Kit Carson Electric has already demonstrated their prices (and interest) in northern New Mexico is superior to that of CenturyLink, owner of former Baby Bell Qwest, which serves New Mexico.

Republican Sen. Jeff Bingaman is thrilled with Kit Carson’s broadband initiative.

“This major investment in broadband technology is exactly the kind of project I had envisioned when I voted for the American Recovery and Reinvestment Act,” U.S. Senator Jeff Bingaman said. “This grant is not only creating jobs now in northern New Mexico, it is laying the groundwork to attract new businesses, improve healthcare services and create new education opportunities in the future.”

The electric co-op has been successful operating non-profit businesses selling propane, telecommunications, and economic development space.  The fiber project will also allow the electric utility to deploy “smart grid” technology to increase the efficiency of their electric service.

A groundbreaking ceremony at the broadband project’s command center held this past summer also coincided with a public emergency communications network upgrade which will increase the efficiency and reliability of first responders and other emergency and public safety agencies.

Clearwire Consolidates: Company Pushing $50 4G Mobile Broadband With Throttling Plan

Phillip Dampier November 1, 2011 Competition, Data Caps, Wireless Broadband Comments Off on Clearwire Consolidates: Company Pushing $50 4G Mobile Broadband With Throttling Plan

Now all prepaid and contract-free.

Clearwire customers are being informed the wireless broadband provider is consolidating service plans in a move the company hopes will simplify what’s on offer.  Following on the heels of Leap Wireless’ Cricket, which launched simplified pricing last year, Clearwire will now market prepaid, no-contract broadband to new customers effective today.

Broadband Reports has been talking with Clearwire after forum members began noticing changes on some dealer websites that eliminated 3G coverage and dropped postpaid bundles of voice and data plans.  Earlier today, the company confirmed it was getting rid of contracts, early termination fees, rental fees for devices, and activation fees.  New customers will be asked to purchase their own mobile broadband device which will work exclusively on Clearwire’s own 4G WiMax network.  You can purchase plans that work by the day, week, or month.

The most popular anticipated plan will offer “unlimited” 4G wireless broadband for $50 a month.

Gone is the bundled Sprint 3G voice option and the annoying early termination fees customers howled about when Clearwire’s advertised coverage didn’t live up to expectations.  Although Clearwire continues to pitch “unlimited mobile broadband,” their notorious speed throttles will remain for “congested cell sites.”  Customers have dropped the service over significant throttling issues in some areas, which reduce speeds to near dial-up in some cases.

Broadband Reports speculates Clearwire wants to be in the wholesale broadband business, and slowly exit the retail business that has earned them the scorn (and threatened legal action) of some of their customers.

Existing customers will be able to keep their existing plans, at least for now.

iPhone Owners Start Bugging AT&T for Special Upgrade Discounts

Phillip Dampier October 6, 2011 AT&T, Competition, Consumer News, Wireless Broadband 4 Comments

Courtesy: Gottabemobile

Just two days after the less-than-overwhelming unveiling of the incrementally-upgraded Apple iPhone 4S, the “must-have-it” crowd has begun melting down the customer service lines of AT&T looking for special discounted upgrade pricing, even though many are months away from the end of their contracts.

AT&T customers are being invited to dial *639# from their phones for an upgrade text message in response.  Others are visiting AT&T’s Phone Upgrade website.  Many are not happy to find AT&T isn’t automatically throwing out the rules for two-year contract upgrade pricing, and are being offered phones that include an early upgrade penalty and a new two year contract.:

  1. $250 early upgrade penalty fee;
  2. $199 for the iPhone 4S (8GB model) on a new two-year contract (other models available);
  3. $18 upgrade activation fee;
  4. Shipping, handling, and taxes extra.

For the benefit of having the latest iPhone, AT&T customers will pay at least $467.  That $250 early upgrade fee appears to be different from the company’s standard early termination fee: $325 minus $10 for each full month of your two year contract that you complete.

Several customers are unhappy to hear that, so they are calling up AT&T and demanding the same discounts a new iPhone customer would get.  AT&T has a history of bending over backwards for their iPhone customers, because they often spend more than other customers on higher-priced service plans.  In many cases, customers got their current generation iPhone months before contract renewal time, scoring significant savings and avoiding penalties other phone owners face when attempting early upgrades.  Many customers expect they’ll get the same treatment again, but AT&T is showing signs it has few reasons to agree to every request.

Surveying several message boards, it appears AT&T is granting early upgrades only to their best, biggest-spending customers.  Everyone else gets to wait.  For those who managed to acquire the iPhone 4 on the day it was released, discounted upgrades without the $250 penalty will become available the day after Thanksgiving.

CenturyLink Copies Comcast: Another 1.5Mbps Low Income Broadband Plan With Gotchas

CenturyLink has unveiled its own discounted Internet access program for the income-challenged, loaded with tricks and traps buried in the fine print.

Dubbed CenturyLink Internet Basics, the 1.5Mbps DSL service is available to those who currently qualify for Lifeline Affordable Telephone Service, a federal program that provides discounts on basic monthly telephone service to eligible low-income consumers.  The service sells for $9.95 a month, before taxes and fees.

But buried in the fine print are a number of surprises that deliver higher prices and some nasty surprises (underlining ours):

  • Listed High-speed Internet rate of $9.95/mo. applies for first 12 months of service (after which the rate reverts to $14.95/mo. for the next 48 months of service), and requires a 12-month term agreement or 24-month term agreement (if purchasing Netbook);
  • Customer must either lease a modem/router from CenturyLink for an additional monthly charge or purchase a modem/router from CenturyLink for a one-time charge, and a one-time High-Speed Internet activation fee applies;
  • A one-time professional installation charge (if selected by customer) and a one-time shipping and handling fee applies to customer’s modem/router;
  • Taxes, Fees, and Surcharges – Applicable taxes, fees, and surcharges include a carrier Universal Service charge, carrier cost recovery surcharges, state and local fees that vary by area and certain in-state surcharges. Cost recovery fees are not taxes or government-required charges for use (which means they are little more than bill padding junk fees). Taxes, fees, and surcharges apply based on standard monthly, not promotional, rates;
  • The first bill will include charges for the first full month of service billed in advance, prorated charges for service from the date of installation to bill date, and one-time charges and fees described above.
  • Netbook purchase must be paid in full to CenturyLink prior to shipment. Shipping and handling fees, and applicable taxes will apply. If customer purchases Netbook as part of the CenturyLink Internet Basic service, all warranty and support for the Netbook and accompanying equipment will be covered by the manufacturer or other identified third party, not CenturyLink.
  • No software applications or wireless service are included with the Netbook.
  • An early termination fee will apply based on the applicable monthly recurring service fee multiplied by the number of months remaining in the minimum service period, up to $200.

Unlike Comcast, CenturyLink claims it will provide equivalent discounts for faster speeds — an important consideration for those with school-age children at home who may need multimedia capability for research and studies.

CenturyLink also offers a netbook computer for an additional $150, plus shipping and taxes, at the time of enrollment in the program.  The service also includes educational training, a 30-day money back guarantee, Norton Security Suite, and parental controls.

“While the Internet has become part of daily life for most Americans, many still aren’t connected because the cost is beyond their reach. CenturyLink is pleased to introduce this new program that offers affordable High-Speed Internet service and computers to those who need help getting online,” said CenturyLink CEO and President Glen F. Post, III.

That and the fact the company was required to offer discounted Internet service as a condition for the approval of their acquisition of Savvis, a web hosting company, according to Broadband Reports.

Like Comcast, participation in the program requires meeting a number of terms and pre-conditions:

  • Reside where CenturyLink offers Internet service;
  • Have not subscribed to CenturyLink Internet service within the last 90 days and are not a current CenturyLink Internet customer;
  • Do not have an overdue CenturyLink bill or unreturned equipment;
  • Follow current guidelines for Lifeline/TAP phone service programs.

Free training programs will be introduced starting this fall in Foley, Ala.; Dumas, Ark.; Eagle, Colo.; Tallahassee, Fla.; Phoenix; Galesburg, Ill.; Franklin, Ind.; Billings and Great Falls, Mont.; Las Vegas; Farmington, N.M.; Rockingham, N.C.; Lorain, Ohio; Columbia River Gorge, Ore.;  Greenwood, S.C.; Seattle and Yakima, Wash.; and Glenwood City, Wis. Other communities where the training is taking place will be announced in 2012.

Many of the terms and conditions of the discounted Internet program are not very different from standard CenturyLink new customer promotions, which promise discounted service but leave a lot of surprise charges, fees, and contract commitment details to the tiny fine print customers have to search to find (or wait to find out on their first bill.)

Yet like Comcast, CenturyLink will seek to take credit for addressing the digital divide when in fact they are not selling the service to those who don’t want or need $40 Internet bills, but are not poor enough to qualify for the $10 Internet program on offer here.

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