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I finally cancelled DirecTV this week after 10+ years and the Mohu arrives tomorrow. I am hoping I can stick it in the attic and drive 3 or 4 TVs off it. Plus Netflix, Amazon, MLBtv, etc. I have the Obihai for phone service, so that saves me a bunch too.
But now I am streaming so much stuff I need to increase my data speed...
It won't be long before cable companies set monthly data limits to make up for the lost revenue from former CATV subscribers and then it will be over for unlimited streaming. Just like cell service providers, TWC will get their money one way or another.
I'm all for folks saving money on their TV, phone and internet - I do it myself. But imagine where Internet speeds have gotten since dial-up days, but where the cost of that service is. If someone consumes 4x the data I do, or "needs" 3x the speed I do for my web-surfing - shouldn't they expect to pay more for that?
Even if we "pay per stream" then the consumer will finally be getting what they wanted all along - the ability to pay only for the content they want access to.
I'm all for folks saving money on their TV, phone and internet - I do it myself. But imagine where Internet speeds have gotten since dial-up days, but where the cost of that service is. If someone consumes 4x the data I do, or "needs" 3x the speed I do for my web-surfing - shouldn't they expect to pay more for that?
Except that the bandwidth costs are tiny -- usually a tenth or less of the cost of the product. Cable companies aren't motivated by bandwidth usage costs to add caps or raise rates; if they were, they would partner with companies like Netflix and the like to add on-premises servers (OpenConnect) so that the content didn't cost the broadband providers anything.
Instead, their fear is cannibalization -- that they will see cord-cutters drop television services and become, as the term goes, a "dumb pipe."
The non-compete a few years ago where cableco's agreed not to expand into wireless and Verizon agreed not to expand fiber wireline further carved up the market and made us vulnerable.
Paying for faster speeds is one thing I have no problem seeing charges for, but the rationales for caps are not driven by actual expense to operate, but as an anti-competitive move on the parts of broadband providers.
Except that the bandwidth costs are tiny -- usually a tenth or less of the cost of the product.
Perhaps, but ISPs historically bank on the fact that most users do not keep their bandwidth line saturated 24/7 (and when I say "bank" I'm really talking about infrastructure investment) . The consumer pays a fixed cost for a given bandwidth maximum, and the ISP projects profit based on typical usage scenarios. An increase in typical usage on same infrastructure changes the ISPs profit model. Then when you consider the primary reason that usage is spiking exponentially is because users are watching content on other streaming services, it's kind of a double whammy for an ISP that's also a cable provider like TWC.
Meanwhile bandwidth is becoming more of a need than a want, it makes you wonder if long term the government will start treating ISPs like a public utility company more than an optional provider of entertainment, or if we should even continue to allow a company to be both simultaneously.
Meanwhile bandwidth is becoming more of a need than a want, it makes you wonder if long term the government will start treating ISPs like a public utility company more than an optional provider of entertainment, or if we should even continue to allow a company to be both simultaneously.
To expand that train of thought even a bit further...most things can be or are done electronically online now and this will become even more important if/when USPS mail delivery is scaled back or eliminated all together so having Internet access will then become a "must have" just like basic utilities...not to mention whenever cash currency is no longer used and everything will become an electronic transaction. Sorry for going a bit off-topic.
It won't be long before cable companies set monthly data limits to make up for the lost revenue from former CATV subscribers and then it will be over for unlimited streaming. Just like cell service providers, TWC will get their money one way or another.
They've already done that in my area. Hopefully Google Fiber will run them all out of business. Cable and ISPs love taking our money, but don't ever want to upgrade their service. TWC even had the audacity to say that most customers "don't want" gigabit service.
. TWC even had the audacity to say that most customers "don't want" gigabit service.
It's probably an accurate statement though. Just doing a quick survey the friends/family I have, even the very Internet savvy ones, a very small percentage has the highest bandwidth service their provider offers. Sure the picture would change if there wasn't a cost involved in upgrading, but what I'm sure TWC was politely saying is that most folks are unwilling to pay for gigabit level service.
It's probably an accurate statement though. Just doing a quick survey the friends/family I have, even the very Internet savvy ones, a very small percentage has the highest bandwidth service their provider offers. Sure the picture would change if there wasn't a cost involved in upgrading, but what I'm sure TWC was politely saying is that most folks are unwilling to pay for gigabit level service.
Yeah, they probably mean that most people are unwilling to pay the astronomical prices that they would charge if gigabit were available.
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