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Friday Afternoon Update – Where Things Go Next

Phillip Dampier April 3, 2009 Editorial & Site News 17 Comments

Good afternoon. A number of you have been sending me ideas regarding petitions, complaint forms, and other public policy initiatives. I appreciate receiving this information, and the reason you have not seen much push in this direction as of yet is because I wanted to first make sure people who needed alternatives to a capped Road Runner could begin to find them, especially those with Price Protection plans which let you lock in cap-free Internet for as long as you can. A lot of folks have been very emotional with me in discussing this issue. One young lady wrote she was in tears and hysterical because her parents just cut off her Internet because they were sure the cap started immediately. Another wrote he was having trouble staying focused and felt completely deflated thinking about the many ways these caps will change his life.

For a lot of younger people, the online life they have always known is about to change forever if we are stuck in an all-cap world. It’s a major shell shocker, and you cannot get people refocused on the fight against this until you deal with the emotional shock some people are coping with. So step one was finding people some hope that while we prepare to go to war over this issue, their Internet connection will at least be safe, available, and not predisposed to empty your wallet.

Next week, the education will begin. A lot of consumers do not understand the broadband business, and are at risk of being co-opted into an industry “us vs. them” campaign, where we are left arguing over their terms about who is a “bandwidth hog” and who “deserves a lower bill.” The first thing you need to know is there is no such thing as a lower bill. No Time Warner plan is going to save you money on these terms. If you are a light user who barely uses the net, there are already plenty of alternatives out there that cost less than what TW charges today, and will charge and limit you with tomorrow. Anyone with cable already knows the only direction those bills will go is up. It’s just we’ve redefined the stratosphere.

So we’re going to understand that we’re all in this together, whether you are a casual or very heavy user. This isn’t about costs or fake “bandwidth shortages,” this is about padding profits plain and simple, and attempting to kill off potential competition before it gets started.

And that latter point will be the direction we are going to go legislatively. Not only dealing with the net neutrality issue, but also the concepts of a level playing field, redlining people into bandwidth have’s and have not’s, and also equity of access for our rural communities. These are all points legislators care about, and since cable broadband service is completely unregulated, simply complaining about something legislators have no authority over at the moment will not help us. We’ll be dealing with state and local officials, federal agencies, and also private entities that stand to lose much more than we have. It’s time for Netflix and other like companies to start ponying up resources and get in the game, or their days are numbered.

Stay tuned. You can read a moderately improved article above the fold in today’s Democrat & Chronicle. It’s better than the last one, but there is still simply a ton of information missing. Ask us.

Lots of Great Ideas – Keep Them Coming!

Thanks for the tremendous support from folks not just here in Rochester, but also in the other cities dealing with this. I am overwhelmed with the excellent ideas, suggestions, and responses and am going to begin bringing them together so we can begin work on several different fronts. I will be personally getting back to many of you asking if you can help head up some of these efforts. This absolutely will need to be a group endeavor, and I’d also like to have others writing articles here and helping to keep each other up to date.

I have a major article to write next about alternatives people in Rochester at least can find, but I’m hunting around for options in other affected cities as well. We’ll begin a mass exodus from Road Runner well before there are any usage caps, if only to let them know as customers we feel abused, taken for granted, and outraged over this naked attempt to profiteer. And we’ll be coordinating a public list of those specifically leaving for this reason.

Then, we’re going to get involved in two additional fronts:

– Public policy initiatives to start looking at legislative or regulatory approaches to market abuse;
– Sending gifts and flowers to Verizon corporate begging them to either invade Rochester or write a check from petty cash and buy out Frontier if they are incapable of competing on a level comparable to what Verizon is providing across the rest of the state.

And we’ll be partnering with other websites that are also working on this issue, particularly in places like Austin where the outrage over this action is growing with the same intensity it is here in upstate New York. Stay tuned!

Breaking News: The Shock & Stupidity of Time Warner: Profiteering Gone Wild

Phillip Dampier April 1, 2009 Editorial & Site News 21 Comments

I’m still getting over the shock of learning this morning that once again, Rochester NY is going to be ground zero over a major broadband usage cap nightmare. After spending a large part of last summer battling Frontier’s ludicrous 5GB usage cap, which they have suspended implementing, at least temporarily, I get the news that Time Warner is about to devastate this, and three other communities, with the same kind of outrageous bandwidth capping they’ve dropped onto the good people of Beaumont, Texas.

Coming later this summer, according to an article in Business Week magazine, Time Warner will introduce usage caps similar to what is in place in Beaumont. For the average Time Warner customer in Rochester, Greensboro, North Carolina, and Austin and San Antonio, Texas, this means standard service customers paying $40 a month will be limited to 20GB per month, those paying $54.95 a month are limited to 40GB per month. Exceed that at your financial peril – overage fees are $1 per gigabyte.

You don’t need this, and I sure don’t need this. If you review this site, you’ll read the whole sordid history of just how outrageous of a gouge on customers this represents. It’s rank profiteering, not “cost sharing” as their marketing people like to put it. For my western New York city and hometown of Rochester, this is absolutely devastating to our competitiveness and image as a high tech city in the ever-struggling western half of this state.

While upstate and downstate cities from Buffalo to the suburbs of Long Island will escape cap free (for now) because of the aggressive development of Verizon’s FIOS network, Rochester is stuck with the dreary and uninspired Frontier Communications with a DSL product that can never come close to hoping to compete on an even keel with Road Runner, yet had the nerve to try cell-phone like usage caps on their customers last year.

With competitors like that, Time Warner can do whatever they please in Rochester. Frontier again has an opening for marketing gold to drop the idea of usage caps and run an ad blitz telling Road Runner customers they’ll never have to worry whether they can watch Hulu, or play someone else online, or download something from iTunes, because they are not going to throw a draconian cap in your face. The stampede exiting Time Warner would be a sight to see. Frontier can bring themselves a massive new customer base. Alas, I have little confidence Frontier is that inspired. Perhaps they can prove me wrong.

Barring that, Frontier will foolishly bring back their own crazy cap and stick Rochester in the broadband doghouse for years and years. When Penn Yan has unlimited FIOS and Pittsford has a father yelling at his son his five minutes of Internet time is up because of the cap and the cost for exceeding it, we’ll all be down the rabbit hole.

One thing is certain, I cannot fight this battle alone. I am going to need article writers, folks to help organize people not only in Rochester but in the other affected cities, as well as outside help from those who may not have the cap today, but soon might tomorrow.

Broadband policy in this country cannot be allowed to deteriorate into de facto duopolies which ration access at ridiculous prices. Consumption based Internet access only works and is justified when the mark-up is nowhere close to the prices Time Warner and other companies want to charge. A better policy recognizes that no cable company or telephone company has gone broke with their current pricing model. To the contrary. Investments bring profits. Enhancing your existing service with add-ons like Road Runner Turbo is a quick and easy way to bring an extra $10 a month and make everyone happy. Heck, I’d suggest a whole lot of moderate users of Road Runner would rather see an across the board $5 rate increase than these kinds of caps. Or at least the potential of a rationally priced unlimited plan offering, which is simply not available with these kinds of usage caps.

Today’s announcement from Time Warner is a broadband game changer akin to a category five hurricane for many online users. It’s literally the end of things like Apple TV, Slingbox, Netflix’s set top box, and even frequent viewings from Hulu and other future video providers. The bandwidth allowances just make using those products and services untenable. And it only gets worse if you’ve got a family with computers around the house. Those are just more chances you’ll exceed the cap.

The Pearl Harbor moment from this company today brings a day of shock, surprise, and contemplating your options, if any. Tomorrow it brings anger, conviction, and organization to make a difference and send a message that no company can be allowed to get away with this sort of thing. I hope you’ll join the fight.

Welcome Back!

Phillip Dampier April 1, 2009 Broadband "Shortage", Editorial & Site News Comments Off on Welcome Back!

One of the major problems in waging a battle with large corporations is being able to protect yourself from potential legal harassment and bothersome lawyers that want you to go away and stop organizing and fighting the fight.

With some behind the scenes arrangements to better handle potential “difficulties,” we’re now back in business. And at just the right time, as we learn Time-Warner has decided to dump unjustified bandwidth usage caps on four more American cities, including my own hometown of Rochester, N.Y. Nothing gets you more energized that confronting a ridiculous cap on a service you use to bang out these articles on this website.

I appreciate the continued loyalty of readers and commenters who are still coming back to look for new things. It has been too long, but now we’re back in it again.

Breaking News: Frontier Modifies Their Position On Usage Caps… Again

Phillip Dampier September 3, 2008 Broadband "Shortage", Editorial & Site News, Frontier 10 Comments

BREAKING NEWS: Frontier Communications has modified their position on the 5GB usage cap yet again.   Your pushback on this unjustified 5GB monthly usage cap has continued to make a real difference in getting company officials to listen to reason.

Frontier’s website has been changed again, now deleting the portions of their DSL sales pitch which used to reference “5GB” of included access per month.   Additional changes have been made to their terms and conditions pages.   Still present in Frontier’s Residential Acceptable Use Policy is the language which defines their usage cap at 5GB per month, although they don’t formally call it that.   Instead, they consider 5GB to be a “reasonable” amount of usage, and reserve the right to terminate accounts that exceed it.   However, some other language has been introduced as Frontier backs off from implementing their cap formally:

The Company has made no decision about potential charges for monthly usage in excess of 5GB.

Company officials have repeatedly said they will not penalize customers who exceed the 5GB “reasonable” level they define in their Acceptable Use Policy, which is to be commended.   But as Frontier Communications has been continually modifying their position on the cap issue in general, both in comments to reporters and on their website, customers have no guarantees what they insist today won’t be much different tomorrow.

StopTheCap! calls on Frontier to do the right thing and remove this entire “5GB” section of their Residential Acceptable Use Policy altogether.   It is this language upon which the entire 5GB usage cap debacle was built, and Frontier can show its good faith by eliminating it from their website  if they truly want to put customers at ease.

We have also learned that Frontier has taken another piece of our advice: to launch a campaign to better educate and inform their customers about how bandwidth is utilized, and ways they can reduce their usage voluntarily.

StopTheCap! strongly believes that consumers are willing to review what they are doing with their Internet connections and will reduce usage voluntarily if they understood how certain applications can consume bandwidth even if they don’t seem to be running.   And it’s a win-win for customers who wonder why their Internet connection seems so slow without realizing someone in the house is running a torrent server 24/7, or has a computer infected with a virus that is churning out millions of spam e-mails without the owner even realizing it.

Treating your customers right means allowing them to  take advantage of the myriad of new applications and features a broadband experience can provide, without a draconian limit on that usage.   And customers have a responsibility to better understand what they are running on their computers.

There are several additional developments about Frontier’s 5GB usage cap, and we’ll be publishing a roundup of the latest news, including your comments and what company representatives have been telling you, shortly.

This remains a developing story.

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