Paul Sweeting is the editor of ContentAgenda.com and a columnist for Video Business. He has covered the home entertainment industries since 1985 for Billboard, Variety, Publishers Weekly and other leading business publications. He is based in Washington, DC.
It's no secret we've been evaluating a specific monthly data usage or bandwidth threshold for our Comcast High-Speed Internet residential customers for some time. Rumors circulated online last year and they popped up again in May.
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Today, we're announcing that beginning on October 1, 2008, we will amend our Acceptable Use Policy (AUP) available at http://www.comcast.net/terms/use/ and establish a specific monthly data usage threshold of 250 GB/month per account for all residential customers.
250 GB/month is an extremely large amount of data, much more than a typical residential customer uses on a monthly basis. Currently, the median monthly data usage by our residential customers is approximately 2 - 3 GB. To put 250 GB of monthly usage in perspective, a customer would have to do any one of the following:
* Send 50 million emails (at 0.05 KB/email)
* Download 62,500 songs (at 4 MB/song)
* Download 125 standard-definition movies (at 2 GB/movie)
* Upload 25,000 hi-resolution digital photos (at 10 MB/photo)
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1) Hey Paul, just wanted to say that you've always got good stuff. Kudos to you. 2) With regards to this issue (and sorry I'm late to comment) it really comes down to one thing - lack of competition (or they like playing chicken with the competition they do have). While Comcast has a point, as well as an order from the FCC, no company is going to offer less and expect their competition not to hang them with it. Sure, it's A LOT of bandwidth but your average consumer doesn't know that. Imagine for example Verizon saying, "We're unlimited. The other guys aren't." Bingo! Game over! The other possibility is Comcast is trying to invite their competition to join the throttle strategy. IMHO that's a dangerous route to take. Look at the airlines. No differentiation what so ever. It was bad enough a couple years ago and it's since gotten worst. The compete on price because that's all they have. Luckily some have figured that out and actually offer service, etc that help them stand out. Position yourself as a commodity and eventually that'll bite you in the ass :) That said, one of the worst customer service interactions in my life was with Comcast. I'd rather book a trip on the Titanic and take my chances than be a customer of Comcast. Yeah, that bad. 3) Btw, is there a reason why CA.com/Sweeting doesn't come right to the blog? Call me lazy and/or over worked but it took me a while to figure out I need to click again. Thanks again, Mark Simchock Alchemy United www.AlchemyUnited.com