Time Warner's Unlimited Plan: $150, Still Terrible
Due to the massive amount of backlash from the press as well as customers, Time Warner Cable at the end of last week introduced essentially what is the company's unlimited download plan, for $150 per month.
In actuality, what the plan is of course is TWC's 100 GB $75 per month plan, which the company increased from a lower cap not too long after it realized people were becoming irate with its cap proposals. If you pick the $75 package, the overage charge is limited at $1 per gigabyte up to $75. This essentially gives you unlimited downloading for $150.
However, even with the limit on the overage charges, TWC's price structure is still very much out of line with the rest of the industry, including those of its direct competitors in the cable space. Outside of the cable space, TWC's price is even more ludicrous.
Consider Verizon's FIOS service, which is a direct fiber line to your home. At it's cheapest package, Verizon offers a 10 mbit/2 mbit down/up connection for $49.99 without any download cap. This package is already just as fast as TWC's "turbo" package. Customers can choose to go all the way up to Verizon's $144.99 package which gives the customer a whopping 50 mbit/20 mbit connection--far superior to anything TWC has to offer.
TWC does have a cable service based on Docsis 3.0, delivering speeds of 50 mbit/sec. download and 5 mbit/sec. uploads. The service is $99 per month but TWC did not specify whether the service comes with a download cap. If the Docsis 3.0 plan comes with a cap equivalent to its Turbo service, the price would be $174/month--still pricier than Verizon's faster FIOS service and more costly than an equivalent $139/month service from Comcast.
TWC says that its restructured, and more expensive pricing schemes are due to increasing network support costs as users download more. Despite this claim made by TWC's COO Landel Hobbs, TWC's financial reports for 2008 revealed that its costs declined even though its customer based increased by 10-percent.
If TWC executives can't agree with their company's own reports, what makes them think that customers will agree? This is why TWC has decided to roll out its new plans first in areas where it is the majority or only provider of broadband service.
Image: courtesy of Wired.com/Dennis Crothers --source, TWC.

What I think would work is if a large number of Time Warner's switch providers.
At this point FIOS is a better and less exprensive option.
I hope this virus will not spread... Time to let go TWC.
Instead of increasing capacity, it is cutting the usage, and we are moving to digital on everything. Stupid
Increase cost and lie saying your expenses went up while your financial records say the opposite nice job idiots.
f u time warner
We split up the Tel-Co monopolies years ago, but that just created a bunch of regional monopolies. Sure, there are 10 different cable companies, but only one in any given area. Cable companies put caps on internet downloads (but I can watch as much high-def on-demand TV as I can pay for). Even cell-phone providers fix prices (20-cents for an SMS message?). Add in the failed banks and insurance companies and endless poisoned food recalls, all of this overlooked by the government agencies created to supposedly look-out for the consumer.
I see a bunch of devils advocates roaming these comments about infrastructure this and operating cost that.
There is ZERO reason why the consumer deserves to be gouged to hell like this.
I can't wait until my "1 year, all three services for 29.95 each, no contract" plan is done with.
FiOS just arrived a few months ago.
Time Warner, I'll let you eat handfuls of my feces for 29.95 a month, but if you go over the usage of 20 handfuls per month, It's going to be an extra 2 dollars per handful.
That's why stupid sheeple need to quit looking for the government to fix everything for them. The last time I checked we don't have to have internet service like we do clean water? It's simple if you don't like what someone charges DON"T BUY IT!!! Without customers they will lower the price.
On average, a customer costs them $17.30 a year. A staggering $1.44 a month.
On average, a customer generates $495.12 a year. A mere $41.26 a month.
A rate hike is totally necessary! They'll go out of business!
I guess TW didn't feel like paying the local station (that actually aired the game), because people could still watch the game for free anyways over the antenna, big difference was in the signal quality!
TW ended up paying for the station again after a few weeks of bleeding customers. Seems like they haven't learned their lesson.
Even though I canceled their TV service, I still have them as an ISP. Now I am ready to do switch off of them completely as soon as FiOS is available.
This is nothing more than more money to line the CEO's Pocket along with other corporate heads at TWC.
I'd like to see a Cap on their salaries of say no more than $500K for the CEO with other corporate heads earning less than that.
This is simply ridiculous that they even try to justify such blatant extortion. I guess they are taking a page out of the oil company's books.
Thank you, state of NY. Now go spam your own represenatives and get this thing moving.
go F*#$ yourself TWC