Cable Caps Under Investigation

Finally, the Justice Department  is conducting a wide-ranging antitrust investigation into data usage caps by cable companies. Many people signed, multi-year high-speed internet contracts only to be told a few months later that they had a data cap and would either, be charged for excess usage, have severely reduced bandwidth or no data for the remainder of the month.

It’s a common belief that these caps are used by the cable companies to encourage their customers to buy their content, as streaming this does not count towards the usage. For streaming providers such as Netflix and Hulu, it’s a threat to their businesses.

Let’s hope cellphone providers are next, with their “unlimited” data plans that all turned out not to be so unlimited after all.

 

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