Time Warner Cable Tiered Broadband Test Begins

from the if-only-there-were-competitors dept

Earlier this year, the story came out that Time Warner Cable wanted to experiment with capping its "unlimited" broadband, trying to force the heavy users to pay more. Even worse, it appeared to want to use exceptionally low caps that would discourage innovation. Despite all of the concerns, Time Warner Cable is moving forward with the test as planned.

The end result will be taking away value from customers -- not just in limiting how much bandwidth they get, but by adding a huge mental transaction cost. Basically, what Time Warner is doing, is adding a huge overhead in terms of whether or not users are willing to actually use the bandwidth they signed up for. Just the fact that people need to think about how much they're using will decrease usage significantly. While that may be what TWC wants, what it really does is annoy customers. This would never actually happen if there were real competition, but with very little competition out there, TWC can try out this plan. Any other broadband provider competing against TWC in areas where this test is going on should be hitting on the limits in any advertising campaign. TWC is free to do whatever it wants, of course, but it's never a good business move to take away features from customers -- especially if in doing so you add an annoying mental transaction fee.

Filed Under: broadband, broadband caps, cable, tiered service
Companies: time warner cable

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  1. identicon
    greg, 31 Jul 2008 @ 2:30pm

    I Hate Time Warner Cable

    Hello everyone,

    Fuck time warner cable. I just bought 2 web-sites about time warner, because of all the hype on the web. it will be free for all. I bought
    screwtimewarner.com and screwtimewarnercable.com

    It will have forums and everything you need to get the word out all over the web about time warner cable. its time to stop the monopoly and take back our freedom.

    What I hate the most is that they will remove channels that you have been paying on from the beginning, but will not reduce your bill and not even tell you that they removed these channels. Now we cant even get the NFL network, because they hate time warner and think they are scam artist.

    When you call time warner, your on hold for fucking 1 hour and then they don’t even speak any fucking english. (( I’m not racist in any matter )), but if you live in America, you better learn how to speak some fucking English, don’t come here and not learn our language. Also, I shouldn’t have to go to my own banks ATM and choose a language, get the fuck out of here with that crap, ( this is fucking America ) Now on DVD you have a setup for other language, this is getting out of hand. Just had to vent some.

    Take Care,

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