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Buckeye Cable Raises Rates, Blames Netflix
by Karl Bode 09:34AM Monday Aug 26 2013 Tipped by PacketExodus See Profile
Ohio's Buckeye Cable has been sending users this notice informing them that they'll be paying higher rates for broadband starting September 1. Several of the hikes will be significant -- users on the company's 7 Mbps plan will be paying as much as $7 more each month. The company notes that this is just their third rate hike on broadband services in their fourteen years of operation, though that doesn't include hikes on TV and other services or hardware, or the fact Buckeye implemented usage caps last year.

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Rather amusingly, Buckeye takes the opportunity to blame their rate hikes on services like Netflix that have traditionally helped drive customers to faster broadband services in the first place.

Says the company:
Recently, Internet use has again expanded dramatically, meeting a whole new range of our entertainment needs through streaming video. Just two websites – Netflix and YouTube – now account for 1/2 of all Internet traffic on our network, and they continue to consume more and more. These Internet giants, and others like them, have made billions of dollars building the websites you enjoy, yet our federal government’s position on “net neutrality” allows them to contribute nothing to companies like ours, while we must expand our network to carry their traffic.
As noted, Buckeye has caps that already drive users to more expensive tiers if they're extremely heavy users, so complaining that Netflix is forcing another rate hike on everyone is nonsensical. Judging from the response to the rate hikes in the forum section of this local paper, Buckeye customers aren't particularly amused.

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Santa Monica, CA
·Time Warner Cable

2 recommendations

reply to Nightfall

Re: Glad I'm Not In Ohio

said by Nightfall:

I agree.

Its getting to the point where pay TV is quickly becoming a luxury item. My cousin pays $120 a month for FIOS TV and Internet. Even if he just bought internet he is looking at $60+ a month for it.

Pay-TV has always been a luxury.