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.
Thank you for reading this Techdirt post. With so many things competing for everyone’s attention these days, we really appreciate you giving us your time. We work hard every day to put quality content out there for our community.
Techdirt is one of the few remaining truly independent media outlets. We do not have a giant corporation behind us, and we rely heavily on our community to support us, in an age when advertisers are increasingly uninterested in sponsoring small, independent sites — especially a site like ours that is unwilling to pull punches in its reporting and analysis.
While other websites have resorted to paywalls, registration requirements, and increasingly annoying/intrusive advertising, we have always kept Techdirt open and available to anyone. But in order to continue doing so, we need your support. We offer a variety of ways for our readers to support us, from direct donations to special subscriptions and cool merchandise — and every little bit helps. Thank you.
–The Techdirt Team
Filed Under: broadband caps, fine print, incentives
Companies: time warner cable
Reader Comments
Subscribe: RSS
View by: Time | Thread
$1/gig?
[ link to this | view in chronology ]
Re: $1/gig?
[ link to this | view in chronology ]
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.
[ link to this | view in chronology ]
Umm
Just my half sense.
[ link to this | view in chronology ]
[ link to this | view in chronology ]
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".
[ link to this | view in chronology ]
[ link to this | view in chronology ]
Sadly
From what I understand often they ARE the only game in town.
That's when it Sucks to be suburban!
[ link to this | view in chronology ]
usage fees overage charges
[ link to this | view in chronology ]
Time Warner not the only only doing bandwidth caps
http://tinyurl.com/bandwidthcaps
Oh No!!!! AT+T to rollout caps in October.
[ link to this | view in chronology ]
how about...
[ link to this | view in chronology ]
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.
[ link to this | view in chronology ]
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.
[ link to this | view in chronology ]
Try It Punk
Wow, I think I need to take a blood pressure pill.
[ link to this | view in chronology ]
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.
[ link to this | view in chronology ]
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??
[ link to this | view in chronology ]
Useage Caps
[ link to this | view in chronology ]
[ link to this | view in chronology ]
Time Warner Cable needs to be stopped
[ link to this | view in chronology ]
[ link to this | view in chronology ]
Wow I had no Idea
[ link to this | view in chronology ]