Metering the last mile
Time Warner Cable is testing metered internet usage in Texas.
Arrington has a smart take:
"The entire model lies in stark contrast to the competitive markets set up in South Korea and elsewhere, and it's going to hurt innovation in the U.S. Many new startups, particularly those focused on video and online gaming, rely on their customers having access to high bandwidth, all you can eat connections."
Which is not to say bandwidth hogs aren't a problem at the last mile -- that's something even death-of-the-net skeptics like me can see.
This just doesn't seem like a clever plan.
Silicon Alley Insider says:
"Those caps are tiny, and this is not going to work...These caps will look even sillier once hi-def Web video, which eats up even more bandwidth, becomes more commonplace...These caps are impractical, and any serious Internet user -- or someone who might be become one, someday -- should run away screaming to the nearest competitor. (Meanwhile, Comcast's proposed 250-gig limit makes much more sense.)"
Starbucks is going in the opposite direction.