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Time Warner to Charge Fees for Internet Based On 'Consumption'

No, folks -- this is no prank. Time Warner Cable really is throwing caution (and public opinion) to the wind and moving forward with its evil consumption-based internet billing. If you'll recall, we heard that the operator was trialing the method -- which imposes premium rates on big broadband users -- back in early 2008, but now it seems it's quietly hoping to roll it out into more major markets. Starting this month, TWC will start gathering information on its customers' internet use in Austin, TX, San Antonio, TX, Rochester, NY and Greensboro, NC; if all goes "well," consumption billing will hit those markets this summer or sooner. We'll point you to the read link if you're interested in just how outrageous these capped plans look (particularly for internet TV viewers), but we'd be remiss of our duties if we didn't share this gem of a quote from TWC CEO Glenn Britt: "We made a mistake early on by not defining our business based on the consumption dimension." Thanks for clarifying, Glenn-o.

[Thanks Kevin, image courtesy of Corbis]

Audio/Video, Computers, TV, Web

Cable Companies Considering Subscription Based Online Video

Cable Companies Considering Subscription Based Online Video

As of now, there are tons of ways to enjoy online TV for free, or at least incredibly cheaply. YouTube, Joost, TV.com and of course the perennial favorite Hulu all offer full-length TV shows and clips for free. The networks made the move to these sites in hopes of stemming the growing popularity of pirated videos. Cable channels, however, have been less eager to share their property online. Premium cable outlets, like HBO, rely on subscription fees -- instead of advertising -- for revenue, and limiting online access to those who subscribe to an HBO satellite or cable package has proven difficult, if not impossible.

Now, however, subscription TV providers like Comcast, Time Warner and Verizon are looking into offering online video to paying customers only. The cable and satellite providers have been holding talks with Viacom (owner of MTV and Comedy Central), Scripps Networks (HGTV and the Food Network), Discovery and the BBC in an effort to move online video to a subscribers-only model.

Time Warner and HBO have already begun preliminary tests of a system where Time Warner subscribers who pay for HBO are able to watch programming from the channel (such as 'Entourage' and 'Big Love') through a special program and a unique user ID.

Read more →

Computers

Los Angeles Sues Time Warner Cable Over Shoddy Service


Far from being the first time Time Warner Cable has upset its subscriber base, the Los Angeles city attorney's office is pulling a Dee Snider and refusing to take the carrier's lackluster service anymore. In a 25-page lawsuit, the city is alleging that the operator "caused major havoc and distress" two years ago when it "failed to live up to its part of the franchise cable agreement requiring that a company answer subscribers' calls within 30 seconds and begin repairs of service interruptions within 24 hours of notification in 90% of its calls for service."

The suit claims that no more than 60% of customer calls were answered in time, and cable / Internet service was said to be "so intermittent and inferior in quality that it was not much better than no service at all." Not surprisingly, TWC representatives chose not to comment on the whole ordeal, but the outfit could face civil penalties of tens of millions of crisp US dollars in the case.

Should've picked up the phone, TWC -- it would've been easier than picking up this tab. [Disclosure: Switched is part of the Time Warner family] [Source: L.A. Times]

[Image courtesy of Web 2 Concepts, thanks Scott]

Computers

Time Warner Cable Experimenting Metered Broadband Access

Time Warner Experimenting with Download LimitsBack in the old days of the Internet, when a 14.4 kilobyte-per-second dial-up connection was hot, providers charged by the hour -- a flat fee for a dozen or so hours' worth of time online and a couple bucks more for each additional. As Internet access became more popular, prices dropped and subscribers dumped such plans in favor of "all you can eat" packages, but it appears that Time Warner is feeling a bit retro, experimenting with these sorts of caps on unfortunate subscribers down in Texas.

About 90,000 customers of Time Warner's cable Internet access have been put on a new tiered and capped download service, ranging in price from a relatively anemic 768 kilobits-per-second for $30 per month up to a rather more speedy 15 megabits-per-second for $55 per month. Those prices are in-line with their current rates, but the catch is those caps: Just five gigabytes of downloads per month on the cheaper plan while the upper-tier plan is capped at forty gigabytes. There's a dollar-per-gig fee over that.

Forty gigabytes -- about a small iPod Nano's worth of tunes -- may sound like a lot, but this could be a huge roadblock to burgeoning video-on-demand services, as each film's size can easily exceed one to two gigabytes (with high-definition downloadable films often twice that or more). If you're also into music streaming, online gaming, or downloading the latest apps to your machine, this change could potentially be quite expensive. Will it succeed? That remains to be seen, but if initial reactions are any clue, Verizon's competing FiOS service might just be seeing a flood of new subscribers in the near future. [Disclosure: Switched is part of the Time Warner family] [Source: AOL Money & Finance]

Audio/Video

Woman Fined $2,000 For Losing Cable Boxes -- to a Tornado

$2,000 Fine For Losing Cable Boxes ... To a TornadoFor cable subscribers, it's often only a few bucks a month extra to get the company's standard DVR, giving access to a "digital" tier of channels and the ability to record them on a rented, Tivo-like device at a fraction of the cost. That the device is being rented is an important point to remember, a point that was driven home to Ann Beam, a Wheatland, Wisconsin woman who received a bill for $2,025.45 when she failed to return five cable boxes and their remotes.

The problem was she couldn't return the boxes because they, along with most of the rest of her house, were destroyed during a tornado strike on January 7. She called the cable company and was told she was still responsible and would have to get reimbursed by her insurance company. However, it seems Time Warner Cable is relenting, perhaps due to some negative PR, and is saying that the charge will be removed from Beam's account, along with the other customers who ran into the same problem.

So, it seems all is well in the end in this case, but if you have equipment from your cable provider in your home, keep in mind that you may be held responsible for it if your cable provider isn't quite so charitable next time disaster stries.

From FARK.com and Kenosha News Online

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