Source: Bloomberg.
Comcast wants to metere its subscribers into submission, or rather, subscription of its own video services isntead of competing ones like Netflix. And yes, Comcast's Sith Lord wannbe, CEO Brian Roberts, does not think it is illogical for Comcast to do this. Comcast is evil. It is doing something evil. What's the problem?
Essentially, Comcast will be charging folks who go over their 300 GB a month limit an extra $10 for each 50 GB.
However, this is about Comcast trying to avoid becoming a dumb pipeline and pretending it is much more. Comcast and other cable operators are faced with a growing number of cord-cutters - homes who use them as a gateway to the Internet and video services. And these cable Internet companies are not getting a penny of that. instead of innovating or providing incentives for subscribers of TV packages to stay, they are trying to prolong an evolving video consumption behavior and the notion that people no longer wants to subscribe to channels they don't want or watch and be forced to pay for them.
Instead of facing reality and doing away with a dying and archiac business model, cable companies are trying to prolong its agonizing death. Their focus is on the short-term bottom line and making shareholders happy. No one ever said the executive suites is where boldness comes from.
Otherwise, why would this artificial cap and extra charge for Internet access not count against Comcast's own video services? What Comcast also ant is to make sure that subscribers pay them for video services they purchase elsewhere. One way or another, Comcast wants you to pay them for video services no matter who you subscribe it from.
Again, it is about the bottom line. Consider that T-Mobile's Binge-On program where subscribers can steam services lik Netflix and Sling TV for free without using allotted monthly data plans. It is the opposite of what Comcast is doing here.
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