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Slow Broadband = Low Usage, Finds New Study

Phillip Dampier June 15, 2016 Broadband Speed, Consumer News, Online Video, Rural Broadband Comments Off on Slow Broadband = Low Usage, Finds New Study

kcl-logoHow much you use the Internet is often a matter of how fast your broadband connection is, according to a new study.

King’s College London researchers found a clear correlation between bad broadband and low usage rates, as customers avoided high bandwidth apps like online video because they were frustrating or impossible to use. One analyst said the findings show rural areas are being “deprived of the full benefits of broadband.”

One of Britain’s most used apps is the BBC iPlayer, which streams live and on-demand programming from multiple BBC radio and television networks. It is a well-known bandwidth consumer, using a significant proportion of a customer’s broadband connection to deliver up to HD-quality video streams. The study found users in South Ayrshire, Ards, the Isle of Wight, the East Riding of Yorkshire, North Down and Midlothian were among the areas where people used iPlayer the least. It wasn’t because they didn’t want to. Those areas were identified by Ofcom, the British telecom regulator, as receiving some of the worst Internet speeds in the UK. Conversely, areas with robust broadband, including London, south Gloucestershire and Bristol, showed above average usage.

Dr. Sastry

Dr. Sastry

“It is clear that high-speed broadband is an important factor in the use of bandwidth-intensive applications such as BBC iPlayer,” said Dr. Nishanth Sastry, a senior lecturer at King’s College London and the lead researcher. “With technological advancements, it is likely that more services important to daily life will move online, yet there is a significant proportion of the population with inadequate broadband connections who won’t be able to access such services.”

Ian Watt, a telecommunications consultant with the analyst Ovum, said broadband speeds must get higher to assure users can watch HD video and simultaneously share their Internet connection with other members of the household.

“Recent Ovum research indicated a speed of 25Mbps was an appropriate target access speed to provide a high quality experience for video services,” Watt said. In the United States, 25Mbps is the current minimum speed to qualify as broadband, according to the most recent FCC definition.

The findings may also explain why U.S. broadband providers only capable of delivering relatively low-speed Internet access report lower average usage than those capable of providing service at or above 25Mbps. Those offering the fastest speeds are also the most likely to attract higher volumes of Internet traffic as customers take advantage of those speeds.

Wireless Data “Traffic Explosion” is a Fraud; Network Densification Deferred

Phillip Dampier July 21, 2015 AT&T, Broadband "Shortage", Competition, Consumer News, Data Caps, Online Video, Wireless Broadband Comments Off on Wireless Data “Traffic Explosion” is a Fraud; Network Densification Deferred

Analysys Mason logoDespite perennial claims of an unmanageable wireless data traffic tsunami threatening the future of the wireless industry, there is strong evidence wireless data traffic growth has actually flattened, increasing mostly as a result of new customers signing up for service for the first time.

Expensive wireless data plans and usage caps have left consumers more cautious about how they use wireless data, reducing the demand on wireless networks and allowing carriers to defer plans for aggressive network densification they claim is needed to keep up with demand.

Analysys Mason discovered some of the biggest victims of the myth of the traffic tidal wave are the manufacturers and dealers of small cell equipment hoping to make a killing selling solutions to the wireless traffic jam. Vendors attending the ‘Small Cell, Carrier Wi-Fi and Small Cells Backhaul World’ event will have no trouble filling the modest amount of orders they likely received this year. While there is money to made selling small cells to manage data usage in very high traffic locations including shopping and sports venues, AT&T dropped plans to deploy 40,000 small cells on its network by the end of 2015, a goal that had been a key element of its Project Velocity IP (VIP) network initiative, and no other U.S. carrier has shown as much interest in small cell technology as AT&T once did.

It turns out, Rupert Wood, principal analyst at Analysys Mason writes, most operators admit they are not experiencing much “pain” managing data growth. As a result, rapid public small-cell densification, an important indicator of heavy traffic growth, is continuously deferred.

As customers confront costly, usage-limited data plans, they are deterred from the kind of usage that might actually create widespread traffic issues for wireless carriers. Instead, carriers are primarily relying on a mix of data caps, incremental upgrades, and gradual expansion of their traditional cell tower networks to keep 4G performance stable and expand coverage areas to improve customer satisfaction. AT&T claims most of its traffic concerns were abated with the 2014 acquisition of Leap Wireless’ Cricket network, which added to AT&T’s network capacity. The Cricket network never came close to offering nationwide coverage, however.

Figure_2_webWhen pressed for specifics, many wireless carriers eventually admit they have enough spectrum to handle today’s traffic demand, but will face overburdened and insufficient capacity tomorrow. But that is not what the evidence shows.

Analysys Mason:

Nations where the use of 4G is highest are not experiencing exponential growth in mobile data traffic. In fact, they have not been doing so for some time – even in developed Asia–Pacific. In the US, the CTIA recently recorded 26% traffic growth in 2014. If this figure is correct, the average usage per US mobile data subscriber barely changed at all in 2014: the recorded number of data subscribers grew by 22%, and the expected exponential curve of data traffic has morphed into an s-curve.

In fact, with wireless pricing so high in the United States, traffic growth here is minimal in comparison to Sweden, Hong Kong, South Korea and Japan. Most shift their usage to Wi-Fi as often as possible instead of chewing up their monthly data allowance.

Analysys Mason believes the forthcoming introduction of LTE-A — the more efficient next generation of 4G — will allow carriers to expand capacity on existing cell towers as quickly as future demand mounts without the need for massive numbers of new towers or small cells.

The analyst firm labels today’s cellular platform as a low-volume, high-cost network. If providers cut prices or relaxed usage caps, traffic would grow. It recommends operators should focus on increasing the supply of, and stimulating the demand for, data usage, and not simply expecting demand to come at some point in the near future. The analyst believes constructing a network of fiber-connected small cells may open the door to an exponentially higher capacity wireless network that performs better than traditional wireless data services and is robust enough to support high bandwidth applications that demand a strong level of network performance.

It would also benefit fiber to the home providers that could also market wireless backhaul service to wireless companies, helping defray the costs of constructing the fiber network and further monetizing it.

Another Reminder Wireless ISPs are Not a Good Choice if a Fiber Alternative is Possible

Phillip Dampier July 14, 2015 Broadband "Shortage", Broadband Speed, Canada, Community Networks, Consumer News, EastLink, Editorial & Site News, Public Policy & Gov't, Rural Broadband, WiredWest, Wireless Broadband Comments Off on Another Reminder Wireless ISPs are Not a Good Choice if a Fiber Alternative is Possible
Rationing Your Internet Experience: Stick to e-mail and web pages.

Rationing Your Internet Experience: Stick to e-mail and web pages.

This week’s news that the alleged owner of a Wireless ISP serving parts of New England may have fled the country to avoid an investigation by the Securities and Exchange Commission on an unrelated digital currency matter has left about 1,000 Vermont customers of GAW Wireless with no certain future for their Internet Service Provider.

As the “Geniuses At Work” came under pressure from public accusations the company was running a scam on digital currency investors, so went the performance of GAW Wireless. In February, a two-week service outage left many customers without telephone and Internet service. This month, e-mail accounts stopped working for some and nobody appears to be answering the firm’s customer service line. Even Vermont’s Attorney General cannot find the owner.

While Wireless ISPs (WISPs) can be a good option for North America’s unserved rural communities, they are not always the best choice, especially as customers continue to gravitate towards high bandwidth applications like Netflix.

Some rural WISPs have kept up with customer demand and continue to offer good service. Others have educated customers about being a good steward of a limited resource by showing courtesy to other customers by self-limiting heavy traffic applications to off-peak hours.

But other providers have chosen usage-discouraging data caps or usage-based billing to cover up for their inadequate infrastructure investment. In Nova Scotia, Eastlink’s new 15GB monthly usage cap on rural customers is nothing short of Internet rationing, completely ignorant of the fact most customers have moved beyond the Internet applications Eastlink envisioned them using when it built its network in 2006. Nearly a decade later, it is ridiculous to suggest customers should be happy continuing to pay almost $50 a month for a 1.5Mbps connection designed for e-mail, basic web browsing, and occasional dabbling into downloads, music, and video.

Come for the view but don't stay for the broadband.

Come for the view but don’t stay for the wireless broadband.

Some angry customers suspect Eastlink is simply being greedy. We believe it is more likely Eastlink’s existing wireless network is no longer adequate for the needs of Nova Scotians (or practically anybody else in 2015). The evidence that congestion is the real problem was supplied by customers who have noticed the network’s performance has slowed over the last few years. That is a sign the network is either oversold — too many customers trying to share the same bandwidth limited resource — or has become congested because of the growth of Internet traffic generally. It might even be both.

Implementing draconian usage caps only alienates customers and suggests Eastlink wants to collect as much revenue as it can from a resource that should either be vastly upgraded or retired in favor of superior technology. We have not seen anything from Eastlink that suggests major upgrades are on the way. In fact, the only conclusion we can make from Eastlink’s public comments is they think equal access to an inadequate resource is fairer than actually upgrading it.

Eastlink claims nobody could have envisioned Internet traffic growth from the likes of Netflix. In fact, equipment manufacturers like 3Com and Cisco were issuing scare stories about Internet brownouts and future traffic exafloods since December, 1995 — the year before Eastlink planned its Nova Scotia wireless network. Smart network planners have kept up with demand, which has been made easier by technology improvements accompanying the increased traffic. A good ISP recognizes upgrades are continual and essential to keep up with customer needs. A bad ISP introduces a rationing usage cap and claims it is only trying to be fair to every customer.

Phillip "Fiber is Good for You" Dampier

Phillip “Fiber is Good for You” Dampier

Usage caps and usage-based billing have never been about “fairness.” We’ve seen all sorts of usage enforcement schemes imposed on customers since 2008 when Stop the Cap! was founded. In each instance, usage caps were only about the money. Eastlink customers will not see any rate decrease as a result of its rationing plan, giving users less value for their broadband dollar. If an Eastlink customer confines use of their high traffic applications to the overnight hours, when they would cause little or no congestion, they will still eat into their monthly usage allowance.

All the benefits of usage caps accrue to Eastlink, either by reducing traffic on its network and allowing the company to delay necessary upgrades, or by pocketing the inevitable overlimit fees, which may or may not go towards upgrades. In our experience, the case for spending capital on network upgrades has never depended on overlimit fees collected from subscribers squirreled away in a separate bank account.

This is why communities in Vermont, Nova Scotia and beyond should strongly consider investing in fiber optics for broadband delivery and consider wireless only for the least populated areas. A broadband project in rural western Massachusetts can offer a guide to resolving the ongoing problem of unserved or underserved communities ignored by commercial providers. Deprived of upgrades from Verizon and shunned by Comcast and Time Warner Cable, the residents of these towns continue to vote overwhelmingly in favor of fiber optics.

The WiredWest approach is a solid solution. The initiative secures bond authorizations from each participating town in a public vote backed by deposits of $49 per household, held in escrow to be later used to cover the first month of broadband service when the service launches. Each town must have at least a 40% buy-in from residents, providing strong evidence the project has a solid customer base, is financially viable, and can recover construction costs and pay off the bonds estimated at $100-120 million within a reasonable amount of time. The state legislature contributed an additional $40 million dedicated to last mile infrastructure — the cost to wire each home or business. (In contrast, Nova Scotia and the federal government spent $34 million subsidizing the Eastlink wireless network in 2007 that has not aged well. Fiber optics is infinitely upgradable.) By choosing fiber optics, instead of getting rationed, slow speed, or no Internet service, WiredWest towns will be able to subscribe to 25Mbps for $49 a month, 100Mbps service for $79, or 1,000Mbps for $109 a month
.

In comparison, Eastlink charges $46.95 a month for “up to” 1.5Mbps with a 15GB cap and GAW Wireless (when working) charges $39.95/mo for “up to 7Mbps.”

Uproar Over Eastlink’s 15GB Usage Limit Brings Call to Ban Data Caps in Rural Canada

EastlinkLogoA plan to place a 15GB monthly usage cap on Eastlink broadband service in rural Nova Scotia has led to calls to ban data caps, with a NDP Member of the Legislative Assembly of Nova Scotia leading the charge.

NDP MLA Sterling Belliveau is calling on the Liberal government to prohibit Eastlink from placing Internet data caps on rural broadband.

“This newly announced cap really sends us back to the 1990s when it comes to technology,” Belliveau said in a news release Tuesday. “The province paid $20 million to bring this service to rural communities, and as such, the Minister of Business needs to tell Eastlink this can’t stand.”

Belliveau’s office is being flooded with complaints from residents and business owners upset about Eastlink’s data cap, which includes a $2/GB overlimit fee, up to a maximum of $20.

“Only rural customers get penalized for using the Internet,” complained Angel Flanagan on Twitter. “We can’t have Netflix or YouTube. Eastlink, stop this cap and upgrade your services and give us better Internet. We don’t need to use it less.”

“I am so angry about the Internet capping,” said Emma Davis. “Eastlink you are out of your goddamn minds. Rural Nova Scotia is entering the Dark Ages.”

rural connect

Eastlink’s Rural Connect package is a wireless service, delivering speeds up to 1.5Mbps at a cost of $46.95 a month. The service is provided where wired providers are generally not available, including Annapolis, Hants, Digby, Yarmouth, Queens, Lunenburg, Shelburne and Kings counties. Eastlink says its new usage cap was designed to accommodate “intended usage like surfing the web, reading/sending emails, social media, e-commerce, accessing government services, etc. — and NOT video streaming, for which the service was not intended.”

Belliveau

Belliveau

Eastlink’s continued dependence on a low capacity wireless network platform has conflicted with the changing needs of Internet users, who increasingly use high bandwidth applications like streaming video that can quickly clog wireless ISP traffic.

When the service was designed, the popular video streaming service “Netflix was shipping DVDs by mail,” says Eastlink spokesperson Jill Laing.

The cap was implemented to “address Internet traffic, which we believe will help provide equal access to the service and deliver a better overall rural Internet experience for customers,” Laing wrote.

Eastlink says the average customer uses about 12GB of traffic, excluding video streaming. Setting a usage cap at 15GB should not be a problem for customers who stay off Netflix, argues the ISP.

“Those who are using the service as it was intended to be used should not be impacted by monthly usage,” she wrote.

The fact Eastlink labeled some traffic legitimate while video streaming was discouraged did not go over well with customers.

“Who made them Internet Gods when our provincial tax dollars helped finance their Internet project,” asks Al Fournier. “The very fact they would suggest a 15GB cap with a straight face in 2015 should be ringing alarm bells in Ottawa about the rural broadband crisis in Canada.”

nova scotiaFournier suspects Eastlink has not invested enough to keep up with a growing Internet because the service originally advertised itself as a way to listen to online music and watch video. But he also wonders if the data cap is an attempt to force the government to fund additional upgrades to get Eastlink to back down.

“This is why wireless ISPs suck for 21st century Internet,” Fournier argues. “They are incapable of keeping up with growing traffic and bandwidth needs and need to be retired in favor of fiber.”

But at least one wireless provider in Nova Scotia does not understand why Eastlink is making a fuss over data caps.

Cape Breton’s Seaside Wireless Communications offers Internet access in Antigonish, Cape Breton, Colchester, Cumberland, Guysborough, Inverness, Pictou, Richmond and Victoria counties, along with rural parts of Halifax County, and has no data caps.

“It is not even on our radar,” said Loran Tweedie, CEO of Seaside Wireless. “This is a differential we are proud of.”

Some Nova Scotians are also questioning why their Internet service is being capped while rural Eastlink customers in Newfoundland, Labrador and Ontario can continue to use the Internet cap-free, at least for now. Others are suspicious about the future of Eastlink’s maximum cap on overlimit fees, currently $20. Canadian providers have a history of raising the maximum cap, subjecting customers to greater fees.

“It’s hard to speak to what will happen over time. We’ll certainly evaluate where we’re at later in the fall,” said Laing.

Liberal provincial Business Minister Mark Furey said he was aware of Eastlink’s rural broadband data cap but only promised to monitor the situation for now.

Starting next month, Eastlink’s rural Internet packages will be capped at 15 gigabytes of usage per month. CBC Radio Nova Scotia’s “Information Morning” program speaks with Eastlink and Port Royal resident Gary Ewer about the impact the usage cap will have. (10:15)

You must remain on this page to hear the clip, or you can download the clip and listen later.

AT&T, Verizon, Time Warner Cable Implicated In Content Delivery Network Slowdowns

fat cat attIf your YouTube, Netflix, or Amazon Video experience isn’t what it should be, your Internet Service Provider is likely to blame.

A consumer group today implicated several major Internet providers including Comcast, AT&T, Time Warner Cable and Verizon in an Internet slowdown scheme that prevented customers from getting the broadband performance they are paying for.

A study* of 300,000 Internet users conducted by Battleforthenet found evidence some of America’s largest providers are not adequately providing connectivity for Content Delivery Networks (CDNs) that supply high-capacity traffic coming from the Internet’s most popular websites.

Significant performance degradation was measured on the networks of the five largest American ISPs, which provide Internet connectivity for 75% of U.S. households.

“For too long, Internet access providers and their lobbyists have characterized Net Neutrality protections as a solution in search of a problem,” Tim Karr from Free Press told the Guardian newspaper, which had advance notice of the study. “Data compiled using the Internet Health Test show us otherwise – that there is widespread and systemic abuse across the network. The irony is that this trove of evidence is becoming public just as many in Congress are trying to strip away the open Internet protections that would prevent such bad behavior.”

freepressThe study revealed network performance issues that would typically be invisible to most broadband customers performing generic speed tests to measure their Internet speed. The Open Technology Institute’s M-Lab devised a more advanced speed test that would compare the performance of high traffic CDNs across several providers. CDNs were created to reduce the distance between a customer and the content provider and balance high traffic loads more evenly to reduce congestion. The shorter the distance a Netflix movie has to cross, for example, the less of a chance network problems will disrupt a customer’s viewing.

If technicians controlled the Internet, the story would end there. But it turns out money has gotten between Internet engineers with intentions of moving traffic as efficiently as possible and the executives who want to be paid something extra to carry the traffic their customers want.

That may explain why Comcast can deliver 21.4Mbps median download speeds for traffic distributed by a CDN Tier1 IP network called GTT to customers in Atlanta, while AT&T only managed to squeeze through around 200kbps — one-fifth of 1Mbps. It turns out AT&T’s connection with GTT may be maxed out and AT&T will not upgrade capacity to a network that sends AT&T customers more than twice the traffic it receives from them without direct compensation from GTT.

Internet traffic jam, at least for AT&T customers in Atlanta trying to access content delivered by GTT.

Internet traffic jam, at least for AT&T customers in Atlanta trying to reach content delivered by GTT.

An AT&T U-verse customer in Atlanta would probably not attribute the poor performance depicted in M-Lab’s performance test directly to AT&T because Internet responsiveness for other websites would likely appear normal. Customers might blame the originating website instead. But M-Lab’s performance results shows the trouble is limited to AT&T, not other providers like Comcast.

AT&T: Slow down, you move too fast.

AT&T: Slow down, you move too fast.

The issues of performance and peering agreements that provide enough capacity to meet demand are close cousins of Net Neutrality, which is supposed to prevent content producers from being forced to pay for assurances their traffic will reach end users. But that seems to be exactly what AT&T is asking for from GTT.

“It would be unprecedented and unjustified to force AT&T to provide free backbone services to other backbone carriers and edge providers, as Cogent et al seek,” AT&T wrote in response to a request from several CDNs to disallow AT&T’s merger with DirecTV. “Nor is there any basis for requiring AT&T to augment network capacity for free and without any limits. Opponents’ proposals would shift the costs of their services onto all AT&T subscribers, many of whom do not use Opponents’ services, and would harm consumers.”

* – When a copy of the study becomes publicly available, we will supply a link to it.

Correction: It is more accurate to describe GTT as a “Tier1 IP network” which supplies services to CDN’s, among others. More detail on what GTT does can be found here.

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