Internet Providers Surprise Customers With New Fees

A recent decision by the CRTC permits per-Kb usage billing, but at least one internet provider neglected to inform their customers about the new rules before implementing the new charges. Some have pointed out that Shaw Cable, the internet provider in question, simultaneously reduced bandwidth caps to increase revenues.
MaxWildersays...

It sounds like they *did* clearly notify customers.

Look, I hate to be on the side of the corporations here, but you are buying a service and they are telling you how that service works.

Eventually we will all be charged per gig like with electricity (per megawatt hour). That's really the most fair way to do it.

And this is coming from a guy who is pretty much a torrent addict.

Skeevesays...

As I mentioned on a related vid, I'm sooo happy I switched from Shaw to Telus on 30 Dec. I would definitely be on the receiving end of a massive bill.

@MaxWilder I only switched my service at the tail end of December - days away from this new policy - and I did not receive any notification (and I know I would have been over my "limit"). It is an obvious cash grab be the company.

As for charging for bandwidth like electricity, that is hardly the same. Generation of electricity has a cost associated with it, per megawatt hour, bandwidth doesn't cost the company anything (especially not the $2 per gig) after the initial investment of the lines/stations/etc. This is especially true throughout Canada where the lack of real competition means the ISP owns the lines, as opposed to renting them. For all intents and purposes Shaw owns all of the Cable in western Canada, Telus owns all of the phone lines in western Canada. We pay for internet service and that money goes to the upkeep of the service; as Telus has said, there is no need to charge per gig.

A further problem, and one of the reasons Shaw is doing this IMO, is that Shaw has not updated any of its cable or hardware since 2002. As the Telus rep said in the video, they have all new hardware (including one of the most advanced Fiber Optic networks in North America), so they don't have any major future expenses when it comes to internet service. Shaw needs an upgrade and this is how they are paying for it.

I encourage people to read the (slightly outdated) article here for more info on Canada's backwards internet system.

mxxconsays...

>> ^JiggaJonson:
One 1080p movie could easily be a few gigs plus all the other internet enabled devices you might own.
netflix, nor any other online movie site stream in 1080p. it's way too resource intensive to be feasible. for now 720p or 1080i is as good as it gets.

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