Time Warner Cable Using Incentives And Fine Print To Lock Customers Into Broadband Caps
from the read-the-fine-print dept
Back in January, Time Warner Cable admitted that it was considering adding usage caps and overage fees to broadband users. It recently started signing up new customers for these offerings (sometimes with absurdly low usage caps). Of course, it knows it can't just change existing customers over to such plans, realizing they'd be in for quite a set of lawsuits for selling people one thing and then completely changing the terms. However, it's now working on a way around this: trying to convince existing customers to upgrade to special triple play packages with "locked in" pricing for a year and then burying in the fine print that they also agree to the usage caps. Sneaky. Soon it won't be long before you won't be able to change anything on your plan without also agreeing to the new usage caps.






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$1/gig?
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Umm
Just my half sense.
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Re: $1/gig?
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Sadly
From what I understand often they ARE the only game in town.
That's when it Sucks to be suburban!
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usage fees overage charges
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Time Warner not the only only doing bandwidth caps
http://tinyurl.com/bandwidthcaps
Oh No!!!! AT+T to rollout caps in October.
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how about...
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Easiest way to lose customers
I had the following experience with Vodafone (European arm of Verizon) for their Mobile Broadband. I was on an "unlimited package" for €50 per month. They offered me a capped version of 5GB and 2c per MB overage charge - 15€ for 3 months and thereafter €30. Money talks and I changed package.
As soon as their main competitor, O2, offered a package of 10GB per month for the same price and terms - I jumped ship.
Offering lower pricing for capped products will only eventually lead to lower pricing all round as the caps increase based on competitors offering higher and higher caps at equal prices.
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Re: how about...
Yes, there has been some word, although I am not sure if "offering" is the right word for it.
Here in Michigan they did make a small announcement saying they were looking at ways to implement this and are interested in it.
As soon as they do that though, they lose customers. I will see to it that everyone I know drops them.
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Re: Re: $1/gig?
1) the starting price is like $10
2) I'm getting a dumb pipe and nothing else.
Outside of that I will jump ship as soon as I have the chance.
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Try It Punk
Wow, I think I need to take a blood pressure pill.
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Re:
Sucks if you can't and are just trying to stay with the lesser of two evils, which seem to be trying to outdo each other for "evil".
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What Lawsuits?
It's like going to the store and buying a loaf of bread. If Acme bakery used to sell a 20 ounce loaf for a dollar, but suddenly they reduce the loaf size to 16 ounces for $1, I have no grounds to sue them (provided that the package is accurately labeled). The only choice I have is not to buy the bread.
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Idiots
It seems like a good business opportunity... offer the customers tiers of service, and a proper method for checking bandwidth/data used, and then let them decide.
Those who use more.. pick a higher tier and pay more, those who only use email and light browsing pick a lower tier and thus pay less.
No, I do not work in marketing this just seems like common sense.. where did they learn marketing... from the gov't??
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Useage Caps
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Time Warner Cable needs to be stopped
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Wow I had no Idea
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