By Chris Scott Barr
Last week I brought you the news of Time Warner’s outrageous price gouging with metered bandwidth. Well it seems that there has been a bit of an update to the situation. No, they haven’t backed down, but rather given us some details on precisely how they are planning to screw their customers out of money.
Apparently the COO over at Time Warner has been listening to the outcry from the vast internet community, and decided to respond to our concerns. First, they know that some users out there spend only a few measly minutes a day checking their email, so there is now a plan for such people. They’ve also decided that they will be kindly putting a cap on overage charges. If you’re really worried about that bill at the end of the month, rest easy that you won’t see more than $75 in overage fees. Hit the jump for the full breakdown from COO Landel Hobbs.
• To accommodate lighter Internet users and those who need a lower priced option, we are introducing a 1 GB per month tier offering speeds of 768 KB/128 KB for $15 per month. Overage charges will be $2 per GB per month. Our usage data show that about 30% of our customers use less than 1 GB per month.
• We are increasing the bandwidth tier sizes included in all existing packages in the trial markets to 10, 20, 40 and 60 GB for Road Runner Lite, Basic, Standard and Turbo packages, respectively. Package prices will remain the same. Overage charges will be $1 per GB per month.
• We will introduce a 100 GB Road Runner Turbo package for $75 per month (offering speeds of 10 MB/1 MB). Overage charges will be $1 per GB per month.
• Overage charges will be capped at $75 per month. That means that for $150 per month customers could have virtually unlimited usage at Turbo speeds.
• Once we implement this trial, we will not immediately start billing customers for overage. Rather, we will first provide two months of usage data. Then we will provide a one-month grace period in which overages will be noted on customers’ bills, but they will not be charged. So, customers will have an opportunity to assess their usage and right-size their service packages before usage charges are applied.
So for $15 (the same price as AT&T’s cheapest unlimited DSL plan) you can download up to 1GB of data at really crappy speeds. Awesome. You’ll also have a high-end 10MB down/1MB up plan for $75 and an overage cap of $75. Seems to me like that’s slower than my Comcast connection, and I get 250GB of bandwidth. Lets see, $35 a month with Comcast, or $150 with Time Warner? I think I speak for almost everyone when I say you can take your metered bandwidth and shove it.