Light Reading
The No. 2 US MSO has quietly expanded a usage-based broadband policy targeted to relatively light Internet users

TW Cable Rolls Usage-Based Broadband Wide

Jeff Baumgartner
LR Cable News Analysis
Jeff Baumgartner
12/3/2012
50%
50%

Time Warner Cable Inc. (NYSE: TWC) will expand its usage-based broadband policy to all systems, save for its Oceanic systems in Hawaii, by the end of the year, company CEO Glenn Britt told an investor conference Monday.

Britt, speaking a UBS AG event in New York City, was referring to Essentials Broadband, a policy that TW Cable launched in February in southern Texas that's targeted primarily to lighter Internet users. (See Usage-Based Broadband Returns to TW Cable .)

The Essentials plan lets customers consume five gigabytes per month before being charged $1 per GB above that threshold, but not to exceed $25 per month. The policy also provides a 60-day grace period before any overage charges are meted out. Customers who opt in for the policy are also free to opt out at any time. Also, TW Cable is only applying the model to its Standard, Basic and Lite broadband tiers, and keeping its Turbo and Docsis 3.0 tiers cap-free.

The MSO has already expanded the policy to all systems in Texas, the Carolinas, the Midwest and the Northeast, according to a company spokesman. The specifics of the policy remain unchanged from the one that debuted in southern Texas earlier this year, the official added.

Britt said the MSO intends to "always offer unlimited service" but will likewise want to offer lower price options for consumers who don't gobble up lots of capacity. Britt acknowledged that few have taken the Essentials plan, but didn't offer a number.

TW Cable's policy is markedly different than some usage-based approaches deployed recently by other U.S. MSOs, including Comcast Corp. (Nasdaq: CMCSA, CMCSK), Mediacom Communications Corp. and Suddenlink Communications .

Comcast, for instance, has been testing a policy in Nashville, Tenn., that charges $10 per bucket of 50GB that they consume above a monthly 300GB ceiling. Comcast is also trying out a plan in Tucson, Ariz., that matches up customer monthly data allowances with specific speed tiers. In that example, customers of Comcast's 105Mbit/s Docsis 3.0 tier aren't subject to overage charges until they exceed a monthly limit of 600GB. (See Comcast to Try On 600GB Data Cap, Comcast Turns On Usage-Based Broadband and Mediacom Unleashes Usage-Based Broadband .)

— Jeff Baumgartner, Site Editor, Light Reading Cable

(4)  | 
Comment  | 
Print  | 
Newest First  |  Oldest First  |  Threaded View
Jeff Baumgartner
50%
50%
Jeff Baumgartner,
User Rank: Light Beer
1/10/2013 | 4:00:18 AM
re: TW Cable Rolls Usage-Based Broadband Wide


Thanks, Todd. Much obliged. JB

Jeff Baumgartner
50%
50%
Jeff Baumgartner,
User Rank: Light Beer
12/5/2012 | 5:16:37 PM
re: TW Cable Rolls Usage-Based Broadband Wide


For picking up the story. JB

Jeff Baumgartner
50%
50%
Jeff Baumgartner,
User Rank: Light Beer
12/5/2012 | 5:16:37 PM
re: TW Cable Rolls Usage-Based Broadband Wide


TW Cable's policy is interesting in that it targets light users, while the one being tested by Comcast and widely deployed by Mediacom targets heavy users. I think Todd Spangler at Multichannel News said it well when he suggested earlier this year (still trying to find the link)  that TWC's is a carrot approach, while these others are using the stick.  But which approach or type of policy do you think will win out? When it comes to usage-based models, the genie is out of the bottle, but I think the stick approach will do alright (or at least keep the masses from revolting)  so long as the  ceiling remains generous before overage charges are applied. JB

xpangler
50%
50%
xpangler,
User Rank: Light Beer
12/5/2012 | 5:16:36 PM
re: TW Cable Rolls Usage-Based Broadband Wide


Thanks for the shout-out Jeff - here's the link to my story: http://www.multichannel.com/content/twc-widens-usage-based-internet-tiers-texas

Flash Poll
From The Founder
Is your network built on 'The Old IP,' or are you part of 'The New IP' revolution?
LRTV Huawei Video Resource Center
Innovating Access Technology With G.fast

10|1|14   |   3.42   |   (0) comments


Exploring the potential of G.fast technology from the point of view of the Broadband Forum, Huawei – and an end-user.
LRTV Documentaries
A Cultural Shift for an OTT World

9|26|14   |   01:41   |   (3) comments


Telcos need to embrace a new approach to partnerships if they are to generate extra revenues quickly and give customers what they want.
LRTV Documentaries
New Skills Needed as Telecom, IT Collide

9|26|14   |   4:07   |   (1) comment


As telecom and IT collide, new technologies are emerging, new skills are needed and new opportunities for women are arising.
UBB Forum News
Do IP Networks Need An Overhaul?

9|25|14   |   02:01   |   (0) comments


As traffic levels ramp, do IP networks need new technologies and topologies?
LRTV Documentaries
Sprint Wields Its Influence in the Valley

9|25|14   |   3:09   |   (11) comments


Anne-Louise Kardas, Sprint's connection to startups in the Valley, explains how telcos can be innovative and find new opportunities with partners.
LRTV Documentaries
SDN, NFV & The Future of XO's Network

9|25|14   |   3:47   |   (1) comment


XO Communications COO Don MacNeil explains how cloud, SDN and NFV are altering its network requirements as well as changing data centers of the future.
UBB Forum News
The OTT Conundrum

9|24|14   |   01:39   |   (0) comments


What is holding back prosperous partnerships between telcos and the OTT players?
LRTV Documentaries
Putting Broadband to Work

9|24|14   |   01:26   |   (0) comments


High-speed broadband network rollout is key to telco strategies, but it's what happens after the network is built that counts.
Light Reedy
Light Reading's Women in Telecom Recap

9|24|14   |   0:55   |   (4) comments


Our first Women in Telecom breakfast was a huge success, and we hope you'll join us in London for the next event on November 6.
UBB Forum News
Monetizing Ultra-Broadband

9|24|14   |   01:43   |   (2) comments


Ultra-broadband networks need to be built, with fiber-to-the-premises the ultimate goal, but they need to be monetized, too.
LRTV Huawei Video Resource Center
Sales Director of INIT on Plug & Play Switch Devices

9|19|14   |   3:21   |   (0) comments


INIT Italy uses both the Huawei S5700 and S7700 series switches for the campus LAN environment. Sales Director Andrea Curti says their company chose these Huawei devices over others because of their performance, flexible scalability and plug-and-play features.
LRTV Huawei Video Resource Center
Saudi Arabia Upgrades Vocational Training System

9|19|14   |   3:31   |   (0) comments


The Technical and Vocational Training Corporation (TVTC) has 100,000 students, 150 government-owned institutions and oversees 1000 private institutes. The CIO of TVTC explains that Huawei devices have allowed them to manage multiple datacenters using just one software program, scientifically tracking the progress of students and teachers, saving them millions.
Upcoming Live Events
October 29, 2014, New York City
November 6, 2014, Santa Clara
November 11, 2014, Atlanta, GA
December 2, 2014, New York City
December 3, 2014, New York City
December 9-10, 2014, Reykjavik, Iceland
June 9-10, 2015, Chicago, IL
Infographics
Half of the world's population will be connected to the Internet by 2017, but not just by smartphones and desktops.
Hot Topics
Facebook Pokes Around LTE Direct
Sarah Reedy, Senior Editor, 9/25/2014
Is Redbox Instant Shutting Down?
Mari Silbey, Independent Technology Editor, 9/30/2014
Sprint Wields Its Influence in the Valley
Sarah Reedy, Senior Editor, 9/25/2014
US Ignite Cultivates Gigabit Apps
Jason Meyers, Senior Editor, Utility Communications/IoT, 9/25/2014
SoftBank Eyes a DreamWorks Buy – Report
Sarah Reedy, Senior Editor, 9/29/2014
Like Us on Facebook
Twitter Feed