Internet billing based on usage

Cybergal · Jan 17, 2008

Time Warner to test Internet billing based on usage
1/17/08

NEW YORK (Reuters) - Time Warner Cable Inc said on Wednesday it is planning a trial to bill high-speed Internet subscribers based on their amount of usage rather than a flat fee, the standard industry practice.
The second largest U.S. cable operator said it will test consumption-based billing with subscribers in Beaumont, Texas later this year as a part of a strategy to help reduce congestion of its network by a minority of consumers who pay the same monthly fee as light users.

The company believes the billing system will impact only heavy users, who account for around 5 percent of all customers but typically use more than half of the total network bandwidth, according to a company spokesman.
Slowing network congestion due to downloading of large media files such as video is a growing problem for Time Warner Cable. The company said the problem will worsen as video downloading becomes more popular.

But the move could prove controversial. Unlike with utility bills such as the phone or electricity, which have traditionally been based on usage, U.S. high-speed Internet subscribers have come to expect a fixed monthly charge. An Internet bill typically only varies based on the speed of the consumer's Internet access.
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Yahoo>>>>>

bullhaulerswife · Jan 17, 2008

Cybergal said: ↑

Time Warner to test Internet billing based on usage
1/17/08

Yahoo>>>>>
Click to expand...

They'd better be prepared for people to move to another provider.

dancnoone · Jan 17, 2008

bullhaulerswife said: ↑

They'd better be prepared for people to move to another provider.
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Won't happen, not to worry. They'll lose too much money.

I've been complaining to my cable/dish providers for YEARS about the welfare policies they have. But, I have no other choice but pay the extra fees for people who can't afford the channels they want. So I'm forced to pay my share of the cost...even though I don't watch those channels EVER.

Hard core gamers can't afford the cost. Gaming companies will charge a premium (to other providers) to access their sites if this goes through. And it will wind up like cable.

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