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story category AT&T: Usage-Based Pricing 'Inevitable'
Company to begin testing such a system this fall
02:08PM Friday Jun 13 2008 by Karl Bode
tags: competition · business · bandwidth · caps · AT&T U-Verse · AT&T Southeast · AT&T Midwest · AT&T Southwest
Last week new AT&T CTO John Donovan let loose that the company will begin testing "usage-based pricing" starting this Fall. "Traffic on our backbone is growing 60 percent per year, but our revenue is not," complained Donovan. Today AT&T spokesman Michael Coe tells The Street that usage-based pricing is "inevitable." "Usage-based pricing is one way to deal fairly with Internet usage, which is very uneven among broadband users," says Coe. It's also a handy way to deal with Internet-delivery video providers who might compete with AT&T's U-Verse TV service.

Related:
  1. AT&T Considering SLAs For Residential DSL
  2. AT&T Considers Usage-Based Pricing as BitTorrent Solution
  3. Is AT&T Hinting At Usage-Based Pricing This Fall?
  4. Associated Press Discovers Cap Debate
  5. U-Verse Hitting Jacksonville This Week?
  6. AT&T Updates TOS, Clarifies 'New' Speed Tiers
  7. AT&T Again Hints At Bandwidth Crackdown
  8. The EFF Sues The President

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