An upstart telecom company has thrown the French mobile market into competitive chaos offering customers unlimited voice, messaging, and certain data services for around $26 a month. Now the company is expanding its footprint by offering free femtocells to customers that can be shared by other customers, according to a report by GigaOm‘s Kevin Fitchard.

France’s Free Mobile is everything North American cell phone providers are not. The company offers dirt cheap, often unlimited service (their backup HSPA+ roaming data network has a 3GB limit), crowdsourced public Wi-Fi networks run by its customers, and soon an even more robust network made possible by handing out network extender devices at no charge, improving indoor reception and data speeds.

Free offers more than just mobile services. Its home broadband service offers 40-100Mbps Internet service, offering plenty of bandwidth to accommodate shared connections.

Freebox home Internet gateway, now including a free femtocell.

Back home in the United States and Canada, cell phone companies ask customers to pay up to $300 for network extender devices to manage reception your provider was supposed to deliver in return for paying them nearly $100 a month. The femtocells connect to a customer’s home broadband connection to make and receive calls. Despite the fact customers are using their own broadband service to power the device, cell phone companies still deduct minutes, texts, and data from monthly usage allowances just as if one was using a nearby cell tower.

Free Mobile customers don’t have to deal with any of that. In return for helping improve the company’s cellular network, customers will get the network extender devices, known as femtocells, free after a nominal shipping charge. New customers will have the femtocell technology built right into Free Mobile’s Freebox Revolution gateway.

Parent company Iliad is depending on its generous customers to help extend the network while keeping prices low for everyone. Considering the costs, few object to sharing a negligible part of their broadband connection with other customers, especially with millions of potential connection points sharing the load.

French cell phone users have a lot to thank Iliad for, even if they are not Free Mobile customers. The appearance of Free Mobile on the scene sparked a massive price war that is delivering savings to every French mobile user.

[flv width=”640″ height=”380″]http://www.phillipdampier.com/video/Free Freebox Server 6-13.mp4[/flv]

Introducing the Freebox Server, a home gateway cool enough to put on your desktop. (1 minute)

[flv width=”640″ height=”380″]http://www.phillipdampier.com/video/Free Designer Starck talks about the Freebox 6-13.mp4[/flv]

Only in France will you find providers spending as much time and attention on the stylish details of a set-top box as they do fretting about its cost. To underline the point, designer Philippe Starck turned up on Free’s website to talk about his design philosophy for the gateway device. (3 minutes, French)

Cablevision broadband customers are likely to see some new, faster upload speeds from the cable operator between now and sometime in July thanks to ongoing competition from Verizon FiOS.

Employees are informally telling Stop the Cap! the cable company has already dropped the “go-away” $300 installation fee for the company’s highest speed Ultra tiers and is set to formally introduce these packages this summer:

• Optimum Online Basic gets an upload speed boost. The 15Mbps download speed stays the same, but the 2Mbps upstream speed increases to 5Mbps;
• Optimum Online Boost will be retired. The 30/5Mbps service was Cablevision’s “turbo” tier, but now customers will be encouraged to consider faster packages;
• Optimum Online Boost Plus will be reintroduced as Optimum Ultra 50. The download speed remains 50Mbps, but upload speed is going up from 8Mbps to 25Mbps;
• Optimum Ultra also gets an upload speed boost. The 101/15Mbps tier becomes 101/35Mbps.

Courtesy: Sutheras

Cablevision did not get back to us in time to confirm the changes, but multiple sources have told us they are imminent.

Customers might appreciate the new speeds, but we’ve also heard from several readers Cablevision is now injecting ad banners into the browsing experience.

“I just started seeing advertisements for Optimum’s new website at the bottom of my screen, regardless of what web page I visit,” writes Dean Portew. “It just started happening and the ads disappear sometimes as quickly as they appear and Cablevision claims to not know anything about it.”

Reviewing the terms of service for Cablevision, the cable company doesn’t call it a web browser ad injection, they call it watermarking and to quote Det. Joe Fontana from the late Law & Order, “we’re authorized.”

32. Watermarking:

Subscriber understands and agrees that Cablevision may use “watermarking” techniques to message you about your account, Optimum services or for other communication purposes while using the Optimum Online Service. These “watermarks” may appear superimposed from time to time over portions of website pages you visit while using the Optimum Online Service, however, you understand and agree that this in no way indicates Cablevision’s approval of or responsibility for the content of such websites, which are solely the responsibility of the website operators and/or content providers. You further agree that you will not seek to hold Cablevision responsible in any way for any third party website content or the operation of any third party website accessed via the Optimum Online Service, or for the appearance of an Optimum “watermark” over a portion of any website.

A number of customers are not too happy about the intrusion, judging from an active discussion on DSL Reports’ Cablevision forum.

We saved the only good part.

The best part of Cablevision’s latest ridiculous advertising campaign is the 12-month introductory price new subscribers will pay for phone, broadband, and television service: $84.95 a month. Not bad. The same cannot be said to the advertising agency that created this mess and the executives who approved it.

Richard Greenfield from BTIG Research, which covers Cablevision for Wall Street, isn’t impressed with Cablevision’s ads either:

We believe it is time for Cablevision to find a new ad agency, bring in some new marketing executives internally and seriously rethink what their consumer proposition is – going back to pitching the triple-play at an ever lower (now $84.95 price point) is not particularly compelling. Cablevision already has very high level of bundling of video, data and voice services across its customer base.  Given that, Cablevision should be devising a marketing approach to upsell existing customers, especially higher speed, higher ARPU broadband services (given their high margin).

Consumers concerned about the high cost of cable may not agree with Greenfield’s assessment. Paying $85 a month for a triple play package is a great deal, at least until it expires.

But we suspect a lot of consumers will never get that far through the ad, particularly when most viewers don’t pay that much attention to advertising in the first place.

At least 88 percent of Dutch consumers are getting 50Mbps from their broadband provider, with the remaining 12 percent expected to get similar speed increases within two years.

A Telecompaper survey found nearly one-third of those consumers consider 50Mbps speeds necessary and almost the same number believe they will need 200Mbps service at some point in the future.

The Netherlands has benefited from a series of provider speed upgrades which have lifted connection speeds to 50Mbps or more.

Only 12% of Dutch consumers do not already receive 50Mbps broadband service. They will have it within two years according to Dutch telecom observers.

This year, enhanced competition from fiber broadband providers have forced cable companies to boost speeds. Some providers now offer tiers as fast as 100-200Mbps, mostly over fiber networks. Two-thirds of Dutch consumers believe fiber networks are necessary to get the best speed increases.

At the end of 2012 there were 1,450,000 households connected to fiber to the home service, 440,000 more than one year before. This is reflected in the growing number of consumers reporting they have fiber broadband, which has halted the growth in cable broadband’s market share.

The report ‘Dutch Consumer Connected 2013’ is based on the Telecompaper Consumer Panel, an online survey conducted between March and May 2013 among almost 15,000 consumers aged 12-80. The report also presents the results for 2010, 2011 and 2012.

An older Comcast Wireless Gateway (Model 2)

Comcast customers may soon find themselves providing free Internet access to other Comcast customers under a new initiative announced today that will turn millions of homes into Wi-Fi hotspots.

The “xfinitywifi” project will activate a second 15-25Mbps Wi-Fi signal from Comcast’s XB2 and XB3 wireless gateways that any Comcast broadband customer can reach as long as they stay within 250-300 feet of the gateway.

“We’ve been able to add certain feature functionality to the firmware of our devices,” Tom Nagel, senior vice president of business development, told CED. “The way its architected is we sort of logically split the modem in two. On the private side, you still get the same things. You can do your own security, you can manage, you can do port forwarding and all the things that no one really understands but are available to you. On the public side what happens is it’s logically a separate network. We actually provision a separate service flow to that cable modem for the public side. If that public side uses up what we’ve given them, there is no getting from someone else.”

In simplified terms, Comcast is opening up a second dedicated Internet connection for its public Wi-Fi service that will not share your existing broadband service. The two networks will co-exist from the wireless gateway, and although the available bandwidth cannot be combined to increase connection speed, customers do have the option of connecting various wireless devices to either the home Wi-Fi or public Wi-Fi connection. The public Wi-Fi service is exempt from usage measurement, caps, and/or consumption-based billing at this time. (Comcast last year suspended usage caps in all of its service areas except Nashville and Tucson.)

In beta tests, Comcast claims customers did not object to sharing their Wi-Fi wireless gateways as long as it did not affect their speed and protected their privacy.

Nagel says the service was designed to address both concerns, noting a 50Mbps Blast customer will still have full access to 50Mbps service, regardless of how many wireless visitors are connected to the customer’s gateway.

“There’s also no leakage of the public and private security functions as well,” Nagel said. “We do two totally different security regimes in the box and there’s really no way to get in between the two. We do provide people the ability to opt out of the service but there have been very few people that have done that, like sub fractions of 1 percent.”

Comcast enables the new service with a firmware upgrade automatically sent to customers when an area is ready for a Wi-Fi launch. Customers in Washington, D.C.; Philadelphia; Boston; Northern Virginia, Chicago, Atlanta; Delaware; and California will likely be among the first to receive the new service.

Some customers do have a problem with Comcast charging them for equipment Comcast is appropriating for its own benefit.

“This is a fine deal for Comcast, which can keep charging customers $7 a month for their gateway and benefit from millions of new hotspots they did not have to build themselves,” said Comcast customer David Tate. “If customers get wise and buy their own [gateway/cable modem], Comcast’s new Wi-Fi service will begin losing hotspots as customers return the equipment to avoid the fee. They should be charging a lot less or nothing at all for equipment if they want us to host their hotspots.”

Tate also believes Comcast will ruin its own service if they attempt to bring usage caps back.

“If Comcast brings back the cap, I wouldn’t want anyone else sharing my connection and I would avoid using Comcast’s Wi-Fi if they counted that usage against my allowance,” Tate explained. “If they exempt the wireless service from caps, customers can just connect to that network to avoid the cap so they would have a big loophole.”