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iansltx

join:2007-02-19
Austin, TX
kudos:2
Reviews:
·Time Warner Cable
·Verizon Online DSL
reply to tshirt

Re: depending on the base price...

Not only this, but with the lower cap and lower pricing TWC is somewhere in the neighborhood of significantly slower AT&T DSL in these markets.

Also, last I checked, overages were capped at $25 per month. So you're paying between $5 less and $20 more per month vs. the unlimited plans.

To be honest, if TWC stopped offering unlimited plans and only offered Internet Essentials, with the $25 overage cap, I could live with that, because I could still get unlimited access, just at an inflated price compared to what they had before.


tshirt
Premium
join:2004-07-11
Snohomish, WA
kudos:5
Reviews:
·Comcast

1 edit
Or suppose they shifted it even more
say $25 for a 5 gb account and a $50 or $75 cap for a really high cap (I don't think you'll see true unlimited ever seriousley offered again, at least not using that term)
Anyway some plan that doesn't overcharge low end users (but still gets more people paying the base network/plant costs) and allows you to buy more consumption in chunks.
with more total users, TW makes the more money they want, and you pay for what you use with out HUGE overages or extremely low limits, everybody comes out better.

Cobra11M

join:2010-12-23
Mineral Wells, TX
said by tshirt:

Or suppose they shifted it even more
say $25 for a 5 gb account and a $50 or $75 cap for a really high cap (I don't think you'll see true unlimited ever seriousley offered again, at least not using that term)
Anyway some plan that doesn't overcharge low end users (but still gets more people paying the base network/plant costs) and allows you to buy more consumption in chunks.
with more total users, TW makes the more money they want, and you pay for what you use with out HUGE overages or extremely low limits, everybody comes out better.

they've hinted at offering unlimited but at a very high rate in the future to replace the income of tv subs.. I think all of them will go to this soon


tshirt
Premium
join:2004-07-11
Snohomish, WA
kudos:5
Reviews:
·Comcast
I would agree that all will go to tier pricing, However you'll either see business tiers( as ComCast does for unlimited) at a very high rate(unlikely as it will drive away actual businesses they they worked hard to attract) or (more likely ) those plans will also have some higher level cap.
Unlimited at the high speeds available today is too attrative to those that Choose to abuse the intend purpose and potentially incurs great cost.

Wilsdom

join:2009-08-06
Bullshit. A connection maxed 24/7 at the rate set by the ISP is hardly "abuse" since they chose to offer that speed, and it does not incur "great cost". They never provide actual numbers, but we can be certain that they still make a nice profit off that usage even with a flat rate, because data actually costs them almost nothing.


tshirt
Premium
join:2004-07-11
Snohomish, WA
kudos:5
Reviews:
·Comcast
You are right that MOST of the cost is the Plant, and building addtional capacity, replacing equipment and maintaince is the "GREAT COST".
I know you believe your mantra of "everyone else makes too much money, everyone else charges too much for services rendered, and everyone else demands too much profit".

So should I assume you choose to make as little as possble, charge below cost for your effort and ideas, and lend money for free?

Since most of the larger ISP's are publicly traded, a person such as yourself can easily research their annual reports and learn exactly where they make their sub 10% annual profit margin*. **

*Industry average nationwide for large ISP's, quite a bit below other similarly capital intensive, high cash flow-high expense industries.
** A far more important measure than exactly where each penny is made.