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This is a sub-selection from Dang phone companies.

elray

join:2000-12-16
Santa Monica, CA
Reviews:
·Time Warner Cable
·EarthLink
reply to KrK

Re: Dang phone companies.

said by KrK:



Yeah, that's what it is.

Obviously must be, they prefer to give everyone unlimited, and forgo all the additional revenue. The fact is they could just throttle so called "abusers" if your theory was right.

They don't. It isn't.

No, they prefer to sell "unlimited" at a much higher price to one and all, who in turn, use next-to-nothing (i.e. 2GB and less today), but pay the extra rent every month for 2 years. When *every* subscriber is paying an extra $15/month to prevent overages, your ARPU goes sky-high.

But that strategy failed when a few select abusers decided to prove to the world that they could, indeed, download "unlimited" amounts, and when the iPhones started using tremendous amounts of cloud-access bandwidth. Network management, caps and throttling were the result.