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story category AT&T Metered Billing Trial Hits Second Market
Beaumont, Texas users just have all the luck....
10:27AM Monday Dec 01 2008 by Karl Bode
tags: bandwidth · Op/Ed · caps · AT&T Southeast · AT&T Midwest · AT&T Southwest
The Beaumont Enterprise is the first to report that AT&T has extended their trials of metered broadband into the Beaumont, Texas market. AT&T began testing metered billing last month in Reno, where DSL customers now face caps ranging from 20GB to 150GB. Those customers are also being forced to pay $1 for every gigabyte over the cap they travel. Users are given an online usage tool to track their bandwidth consumption, and are sent alerts warning them when they've consumed between 60-80% of their allotted bandwidth.

Beaumont was chosen because it's already the site of a similar trial by Time Warner Cable, who we were the first to report is implementing trial caps between 5-40GB with overages between $1-$1.50 per gig. In both trials, the companies are not only testing the network and billing systems necessary to make such systems work -- but the marketing message. Convincing customers that already very profitable companies need to charge them more money for the same (or less) usage is, well, tricky.

Click for full size
Time Warner Cable handles it by trying to convince locals that the new billing approach delivers guaranteed savings (see forum thread) while improving their Internet "experience" (see Beaumont Time Warner Cable website). AT&T, meanwhile tells the local paper that limiting your consumption and charging you more for bandwidth is actually about making broadband better and more affordable through targeting "abnormally high usage patterns":
"We have previously stated that some type of usage-based model, for those customers who have abnormally high usage patters, seems inevitable," Feldstein said. "This trial will help us evaluate ways of dealing with surging usage trends while continuing to meet customer needs for high-quality broadband at an affordable price."
While AT&T has been using an industry policy group and cherry picked data to suggest there's an unmanageable bandwidth crisis looming that requires a billing shift, network data from backbone operators doesn't support that, and AT&T has provided no raw data showing congestion problems of any kind. If last mile issues spring up, they'll be caused by AT&T's decision to milk copper instead of investing in fiber to the home. These trials don't just target high-consumption users, they take aim at everyone -- and for a very clear reason.

Like many ISPs, AT&T and Time Warner Cable are preparing for a future where competition from Internet video threatens their TV revenues. Through caps and more specifically metered billing, carriers understand that down the road -- they'll be able to monetize and/or deter the use of video content that isn't theirs, giving them a huge leg up in the Internet video battles yet to come. Luckily for both AT&T and Time Warner Cable, limited competition in Beaumont means most customers won't be able to vote against this idea with their wallet.

Related:
  1. AT&T Considering SLAs For Residential DSL
  2. AT&T Considers Usage-Based Pricing as BitTorrent Solution
  3. AT&T: Usage-Based Pricing 'Inevitable'
  4. Is AT&T Hinting At Usage-Based Pricing This Fall?
  5. AT&T Starts Metered Billing Trial In Reno
  6. More Specifics On AT&T's Cap Plans
  7. ISPs Won't Admit Participation In New RIAA Plan
  8. AT&T Looking For Femtocell Testers
Forums » AT&T Metered Billing Trial Hits Second Market
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Jan Janowski

join:2000-06-18
Skokie, IL

Stupid idea

Absolutely Stupid idea!

veunad
What Does This Do?
Premium
join:1999-08-06
Kennesaw, GA

Re: Stupid idea

There is no stopping it, unless the consumer base(s) rise up and let these companies know they will not stand for it... good chance of that happening. Eh?
jc100

join:2002-04-10

Re: Stupid idea

Get a celebrity to pitch this, some nice editing, and a good song and you're gold. Most people are too stupid to think for themselves. If the company tells them it's good, it's good, right?
hihi

join:2007-05-06
Port Orange, FL

said by Jan Janowski See Profile :

Absolutely Stupid idea!
they thought user like us are stupid
they were wrong, very wrong

kcazzie
One Of Jerry's Kids
Premium
join:2000-08-13
Morton Grove, IL
·AT&T Midwest


edit:
December 4th, @06:32AM

said by Jan Janowski See Profile :

Absolutely Stupid idea!
Couldn't have said it better... I guess they want to lose all there customers that got them started...

They'll have no 6+meg users, what good is it...!?!...

The faster the speed, the faster to the cap... ...

The_Dude

@ferris.edu

thumbs down from:
TK Junk Mail See Profile

BS

I think this is total BS!!!!!!!!! I just won't have Internet if they want to keep pushing shit like this!

Peace

TK Junk Mail
Go ahead, make my day
Premium
join:2002-03-03
Margate City, NJ
clubs:

Re: BS

said by The_Dude :

I think this is total BS!!!!!!!!! I just won't have Internet if they want to keep pushing shit like this!

Peace
Right. Cut off your nose to spite your face.

hayabusa3303
Over 200 mph
Premium
join:2005-06-29
clubs:
·AT&T Southeast
·RoadRunner Cable
·QuantumVoice

Re: BS

said by TK Junk Mail See Profile :

said by The_Dude :

I think this is total BS!!!!!!!!! I just won't have Internet if they want to keep pushing shit like this!

Peace
Right. Cut off your nose to spite your face.
hey i was without internet for a month didnt bother me all that much. Alot of people are just plain hooked on the internet like a drug.

envoid

join:2002-12-21
Duluth, GA

Re: BS

said by hayabusa3303 See Profile :

said by TK Junk Mail See Profile :

said by The_Dude :

I think this is total BS!!!!!!!!! I just won't have Internet if they want to keep pushing shit like this!

Peace
Right. Cut off your nose to spite your face.
hey i was without internet for a month didnt bother me all that much. Alot of people are just plain hooked on the internet like a drug.
i can't be without it... i work from home. have to actually, and my company won't pay for internet. and i have GOBS of traffic managing servers all over the area. this would kill me and make it totally unaffordable to have or even be able to work. f'n money-grubbing is all it is.

side note... if they do this they really need to remove "unlimited internet" from any and all of their advertising then. that would just be a blatant lie if they kept that. sorta is now with comcast but the big companies fear not the DoJ or FCC or FTC. especially at&t.
openbox9

join:2004-01-26
Navarre, FL
·AT&T Southeast
·Mediacom

Re: BS

said by envoid See Profile :

i have GOBS of traffic managing servers all over the area. this would kill me and make it totally unaffordable to have or even be able to work.
Sounds like you're a primary candidate for a business class circuit.
said by envoid See Profile :

they really need to remove "unlimited internet" from any and all of their advertising then.
That was done quite some time ago.
wentlanc
You Can't Fix Dumb..

join:2003-07-30
Maineville, OH

Re: BS

I have looked on several ISP websites, and I cannot find any mention of traffic volume as being a perk in the business class tier. Actually, they mention performance and reliability, but not traffic volume... I'm wondering how envoid sounds like a prime candidate for this service to you?

said by Comcast :

With speeds up to 5 times as fast as DSL, our extensive fiber-optic network delivers the performance and reliability your business needs to succeed.
Please, help me understand this...

cw
openbox9

join:2004-01-26
Navarre, FL
·AT&T Southeast
·Mediacom

Re: BS

said by wentlanc See Profile :

I'm wondering how envoid sounds like a prime candidate for this service to you?
envoid See Profile appears to be using his connection to the Internet for business purposes. If envoid See Profile is truly reliant on a connection that doesn't inhibit his/her work, I'd recommend a business class circuit. I know that if funding my livelihood depended on my ability to access the Internet, I would have a much better setup than a residential connection from AT&T. In fact, I would most likely have a couple of connections to the Internet from different providers.

Noah Vail
Premium
join:2004-12-10
Lorton, VA
·RoadRunner Cable
·Verizon BroadbandA..
·VoicePulse

Re: BS

said by openbox9 See Profile :

If envoid See Profile is truly reliant on a connection that doesn't inhibit his/her work, I'd recommend a business class circuit.
Why?

said by openbox9 See Profile :

I know that if funding my livelihood depended on my ability to access the Internet, I would have a much better setup than a residential connection from AT&T.
I do have a better setup than a residential connection from AT&T. I have a residential connection from Brighthouse. I use it to manage my business clients.

Point to point, it is the same connection that my business clients have, sans the static IP. There is no difference in performance or reliability. Paying 800% extra for the business line would gain me nothing.

The work I do is a lighter network load than a residential user who streams a radio station or watches a movie. My ISP isn't taxed a bit by it.

said by openbox9 See Profile :

In fact, I would most likely have a couple of connections to the Internet from different providers.
I keep an aircard in my van attached to an EVDO router. It's always on if not always in use. I suppose that might serve as a backup. Or my phone can morph into a HSUPA hotspot, if I get desperate.

NV
--
I support Little League RollerBall.

Class Warfare and Perpetual Victimhood: Slavery for the New Millenium
wentlanc
You Can't Fix Dumb..

join:2003-07-30
Maineville, OH

said by openbox9 See Profile :

said by wentlanc See Profile :

I'm wondering how envoid sounds like a prime candidate for this service to you?
envoid See Profile appears to be using his connection to the Internet for business purposes. If envoid See Profile is truly reliant on a connection that doesn't inhibit his/her work, I'd recommend a business class circuit. I know that if funding my livelihood depended on my ability to access the Internet, I would have a much better setup than a residential connection from AT&T. In fact, I would most likely have a couple of connections to the Internet from different providers.


Please describe in some logical detail, and in a fashion that can be compared against the business class service offering of any ISP, WHY this person's internet connection should be a business class connection.

None of you supporters have been able to do this as of yet. There is in fact NOTHING about a business class account that is different than a residential account with the exception of service level, and advanced features. There is no usage related benefits to a business class account. I've asked this question many times, and nobody can produce an answer with any type of substantial support for the decision.

Again, I asked to understand it, and you just are not getting me there. Please try again.

cw
openbox9

join:2004-01-26
Navarre, FL
·AT&T Southeast
·Mediacom

Re: BS

said by wentlanc See Profile :

Please describe in some logical detail, and in a fashion that can be compared against the business class service offering of any ISP, WHY this person's internet connection should be a business class connection.
To avoid the caps? If envoid See Profile really transfers "gobs" of data, then s/he might enjoy a business account and the ability to transfer as much as the connection allows.
said by wentlanc See Profile :

There is in fact NOTHING about a business class account that is different than a residential account with the exception of service level, and advanced features.
I beg to differ. A DS1 or DS3 circuit brings additional advantages compared to a DSL or cable connection.
wentlanc
You Can't Fix Dumb..

join:2003-07-30
Maineville, OH

Re: BS

said by openbox9 See Profile :

said by wentlanc See Profile :

Please describe in some logical detail, and in a fashion that can be compared against the business class service offering of any ISP, WHY this person's internet connection should be a business class connection.
To avoid the caps? If envoid See Profile really transfers "gobs" of data, then s/he might enjoy a business account and the ability to transfer as much as the connection allows.
said by wentlanc See Profile :

There is in fact NOTHING about a business class account that is different than a residential account with the exception of service level, and advanced features.
I beg to differ. A DS1 or DS3 circuit brings additional advantages compared to a DSL or cable connection.
The business account does not differentiate how much data can be transferred. Please provide some proof that shows otherwise.

A T1 or DS3 circuit is not a DSL or cable connection, so I fail to see how you could differ. That is not a business grade account, that's private line service. You are comparing apples to antelopes.

cw
openbox9

join:2004-01-26
Navarre, FL
·AT&T Southeast
·Mediacom

Re: BS

said by wentlanc See Profile :

A T1 or DS3 circuit is not a DSL or cable connection
Of course they aren't, that's why my original post referenced a business class circuit.
wentlanc
You Can't Fix Dumb..

join:2003-07-30
Maineville, OH

Re: BS

DSL and Cable connections are be definition a circuit. What you may have meant, but failed to mention, is a dedicated service, or private line service. A tremendous waste of his money. And BTW, some T1 services are merely throttled DSL connections because they are cheaper for the carrier to provide.

cw
openbox9

join:2004-01-26
Navarre, FL
·AT&T Southeast
·Mediacom

Re: BS

said by wentlanc See Profile :

A tremendous waste of his money.
How can you make that determination?
wentlanc
You Can't Fix Dumb..

join:2003-07-30
Maineville, OH

Re: BS

Because he does not need dedicated bandwidth. That is the advantage of dedicated service over a shared service like DSL or Cable.

cw
openbox9

join:2004-01-26
Navarre, FL
·AT&T Southeast
·Mediacom

Re: BS

said by wentlanc See Profile :

Because he does not need dedicated bandwidth.
Really?
said by envoid See Profile :

i have GOBS of traffic managing servers all over the area
wentlanc
You Can't Fix Dumb..

join:2003-07-30
Maineville, OH

Re: BS

Are those metric gobs??

openbox9

join:2004-01-26
Navarre, FL
·AT&T Southeast
·Mediacom

Re: BS

Since I like the metric system, yes they are. So if envoid See Profile transfers 500 Megagobs per month, does s/he require a dedicated connection?
wentlanc
You Can't Fix Dumb..

join:2003-07-30
Maineville, OH

Re: BS

1 megagibbles per second = 321.013651 gigagobs per month (assuming that we are talking in a single direction)

Sound like too much to expect from your 20/2 connection, which is capable of transferring up to 6.5 teragobs in a month?

So what you are saying is that ~6% of the capacity that you are purchasing is too much usage??

REALLY?!

What percentage of the bandwidth that we purchase would you LIKE for us to be able to get?

cw
hihi

join:2007-05-06
Port Orange, FL

said by hayabusa3303 See Profile :

said by TK Junk Mail See Profile :

said by The_Dude :

I think this is total BS!!!!!!!!! I just won't have Internet if they want to keep pushing shit like this!

Peace
Right. Cut off your nose to spite your face.
hey i was without internet for a month didnt bother me all that much. Alot of people are just plain hooked on the internet like a drug.
alot ppl need internet for many uses
can u live without it?
you had no choice but why do without it???

NetAdmin

join:2008-05-22

said by TK Junk Mail See Profile :

said by The_Dude :

I think this is total BS!!!!!!!!! I just won't have Internet if they want to keep pushing shit like this!

Peace
Right. Cut off your nose to spite your face.
What happened to voting with your wallet?
--
There is no such thing as too much vacation, but I would wager that there is such a thing as too little.

hayabusa3303
Over 200 mph
Premium
join:2005-06-29
clubs:

Re: BS

that would take ALOT of people before something would happen tho.
wentlanc
You Can't Fix Dumb..

join:2003-07-30
Maineville, OH

Voting with your wallet is not good for some people's stock portfolios. Oh, they talk about it in a feeble attempt to make a point, but complain about it when it is put into practice.


hayabusa3303
Over 200 mph
Premium
join:2005-06-29
clubs:
·AT&T Southeast
·RoadRunner Cable
·QuantumVoice

Re: BS

said by wentlanc See Profile :

Voting with your wallet is not good for some people's stock portfolios.
You must have stock in T then i guess by your remark?
wentlanc
You Can't Fix Dumb..

join:2003-07-30
Maineville, OH

Re: BS

Actually, no. I was being quite sarcastic because others here seem to be the ones who have such a stake in these telcos. I would happily go to my local coffee shop to pay bills. Or do it from work. Whichever.

cw
switchman

join:1999-11-06
Grand Prairie, TX
It is kind of hard to vote with your wallet when you only have two choices and they both are saying you want service, it is metered. If you want to be totally without, then yes you can vote with your wallet.

UnKown
The Underground Network

join:2002-09-08
Orlando, FL

Re: BS

i know in my area you can go with a third party dsl line. something like covad, or dsl extreme. Also we have WISP's who arent to overly priced. though the initial equipment costs are high

cyberdude

@rr.com
I'll just go back to dial up and simplify my habits online!
I don't do the gaming or major downloads anyway!
clecssuck

join:2002-01-23
Birmingham, AL

Re: BS

Dialup costs more than DSL nowadays. Crazy!

TK Junk Mail
Go ahead, make my day
Premium
join:2002-03-03
Margate City, NJ
clubs:
·Comcast


edit:
December 1st, @11:34AM

said by NetAdmin See Profile :

said by TK Junk Mail See Profile :

said by The_Dude :

I think this is total BS!!!!!!!!! I just won't have Internet if they want to keep pushing shit like this!

Peace
Right. Cut off your nose to spite your face.
What happened to voting with your wallet?
A specific internet vendor and NO internet at all are 2 different things. Very, very few would go without any internet access no matter what they say here. I am sure that point was obvious. To most anyway.
--
My BLOG .. .. Internet News .. .. My Web Page
Ask yourself one question: 'Do I feel lucky?' Well, do ya punk?

NetAdmin

join:2008-05-22

Re: BS

said by TK Junk Mail See Profile :

A specific internet vendor and NO internet at all are 2 different things. Very, very few would go without any internet access no matter what they say here. I am sure that point was obvious. To most anyway.
From what I can gather in previous discussions like this, you are a "let the market decide" and "vote with your wallet" disciple. Now you are actively discouraging someone from that course of action?

That disconnect is quite obvious, except for some.
--
There is no such thing as too much vacation, but I would wager that there is such a thing as too little.
hihi

join:2007-05-06
Port Orange, FL
Just paid them a flat monthly fee
if they cut off connection...
Their loss.

djrobx

join:2000-05-31
Valencia, CA
·AT&T U-Verse
·AT&T CallVantage
·Time Warner VOIP
·RoadRunner Cable
·DSL EXTREME

No, no, no.

quote:
AT&T, meanwhile tells the local paper that limiting your consumption and charging you more for bandwidth is actually about making broadband better and more affordable through targeting "abnormally high usage patterns":
This is clearly NOT about targeting abnormally high usage patterns. If it was, the limit would be more like Comcast's. Just a high limit placed on the overall service to discourage abuse. This pricing structure is clearly set up with low allowances and high overage fees to encourage people to buy higher speed plans.

What's really unacceptable about AT&T's implementation is that not all customers qualify for all speed tiers. What if I only qualify for 3mbps Pro service due to CO distance, but I use 120GB per month? I'm going to get hit with a monthly bill of over $100 per month. The only way to get a cap high enough is to buy U-Verse Max - tough luck if it's not available.
--
AT&T U-Hearse
Your funeral. Delivered.

en102
Canadian, eh?

join:2001-01-26
Valencia, CA
·RoadRunner Cable
·DSL EXTREME
·DSL EXTREME

Re: No, no, no.

This is about pulling in more revenue.
This is borderline collusion.

Unlike competition - where both parties are competing through lower prices and incentives for your business, in Beaumont, its the opposite. Both (are there only 2 carriers in Beaumont?) are effectively decreasing service and increasing the cost/service by capping.

I agree that this is primarily targeted towards uses on low / economy tiers, and also hits those on the high end as well.

While I have been able to perform remote work from home over a 3Mbps connection for the past 5 years with ease, pricing structures such as this would effectively kill off those on the lower end. Its a cash grab - pure and simple.

bigpimpatl

@bellsouth.net

Re: No, no, no.

Its definitely about pulling in more revenue, but I believe thats secondary. The way the internet is headed, with streaming videos and movies and HD etc, there is a clear interest for providers to limit that access as much possible, and instead force users to use their video service or their portals. By providing caps on the connection, the provider accomplishes two things: force the consumer to use their product only (since it doesn't count against the cap) and pretty much have a stranglehold on the market because in essence the provider has erected another economic barrier to entry. Smaller providers or content producers simply can't compete when the telco/cableco are the backbone AND content of the network, and on top of that limit how much access is allowed outside the network.

en102
Canadian, eh?

join:2001-01-26
Valencia, CA
·RoadRunner Cable
·DSL EXTREME
·DSL EXTREME

Re: No, no, no.

I tend to agree.
This is similar to wireless companies (AT&T Mobility/VZW/Sprint) offering mobile Internet, then stating no streaming... unless you use 'OUR' (read paid for) service. Apps like Skype Mobile should work fine
--
Canada = Hollywood North

mjimih

@comcast.net

Re: No, no, no. yes it's a monopoly

oh brother, ahem I mean, BIG BROTHER is in control! Nobody to stop the viral monopoly from spreading and constricting it's victoms, er um customers. No way to stop them from "controling" what you get to see or hear either.
Better download lots more now right away, before the price goes up. Get it out of your system and then go for a walk.

THXULTRA

@il.us

This is enough to make me jump

Most consumers will probably not even notice the cap but this will make me jump to another service with out caps. I can see these caps being a big issue once streaming video becomes more popular from netflix and direc tv. I have both services so may need to think about dropping AT&T for Comcast.

See 6 replies to this post

fireflier
Coffee. . .Need Coffee
Premium
join:2001-05-25
Limbo
·Skype
·RoadRunner Cable

Lucky Beaumont

Seems to me, AT&T chose Beaumont as an experiment to see how metered billing goes over in a market that already has metered billing on competing ISPs so they can compare the results to a market that doesn't have a metered alternative.

Assuming Beaumont's market is more favorable to AT&T, all they've got to do is arrange with their competitors to meter bandwidth as well, they move in, customers have no unmetered choice and everyone winds up on metered plans. All ISPs make more money, and everyone is happy except the customers.

Great. . .
--
Tradition: Just because you've always done it that way doesn't mean it's not incredibly stupid. --despair.com

See 6 replies to this post

callattandcancl

@ameritech.net

Call your Reno, NV or Beaumont,TX AT&T rep and cancel

If you let them continue, they will spread this to other cities, and you will have a "class" based system of internet access. Those who can afford more data per and those who can't. Only higher income will eb able to afford the "best" part of the web (HD VOD/etc).

Since the Bell's could not force net neutrality, they did the next best thing, metered usage. And like metered usage, it should become a "utility" and thus be regulated.

I called my AT&T rep and told them to stop this idea in Reno and Beaumont, and if it continues, I will cancel my phone line, my long distance, and my DSL thru AT&T. I will get a dryloop Covad line then let AT&T continue to do this nonsense to people. They say that 5% of users are causing havoc, then AT&T, hey deal with them and do not let the rest of us have to suffer.

Reno/Beaumont users, when you are canceling your DSL service, let them know why and that the metered usage is a joke.

You can find alternate ISP's here:

»www.theispguide.com/

There may in fact be AT&T reseller ISP's who resell AT&T DSL, without the metered billing, but be sure to ask and get it in writing.

metered

@sbcglobal.net

Re: Call your Reno, NV or Beaumont,TX AT&T rep and cancel

said by callattandcancl :

Since the Bell's could not force net neutrality, they did the next best thing, metered usage. And like metered usage, it should become a "utility" and thus be regulated.
Make it an "utility" then of course it will be metered just like my electric, gas, and water. And since I don't pay for unlimited wireless you might as well throw that in there too.
iansltx

join:2007-02-19
Fredericksburg, TX

28Mbps?

Anyone know what the cap on 18Mbps service is (U-Verse)?

djrobx

join:2000-05-31
Valencia, CA
·AT&T U-Verse
·AT&T CallVantage
·Time Warner VOIP
·RoadRunner Cable
·DSL EXTREME

Re: 28Mbps?

said by iansltx See Profile :

Anyone know what the cap on 18Mbps service is (U-Verse)?
150GB.

AT&T offers no cap increase when you go from 10 to 18mbps.
--
AT&T U-Hearse
Your funeral. Delivered.