Comcast Not Going to Change to Tiered Plans

Written by John Ponio    Wednesday, 07 December 2011 18:28

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If you've been reading around various tech sites lately, you should have noticed an increase in the amount of people talking about Internet Service Providers (ISPs) switching to tiered data services for home broadband. The idea behind this is that the ISPs will be able to curb the rate that people are unsubscribing from cable TV and are using services such as Amazon Prime or Netflix to replace it. Well, At the UBS Global Media and Communications Conference a few days ago, both Comcast Cable President Neil Smit and CFO Michael Angelakis said that Comcast will be sticking to the way their plans are now, and they will not be venturing into tiered services. Michael Angelakis said, "Our goal is to grow share and grow ARPU [average revenue per user]. We don’t want to disrupt the consumer experience." Instead of tiered services, Comcast hopes to make money off of offering higher speeds. Recently Comcast released a 100Mbps service for close to $199 per month without a phone and/or TV package. I haven't liked Comcast for a while now (based on personal service) but this makes me at least a little happier with the company. They are pretty much the largest ISP in the United States, so hopefully this decision will set a precedent for all other providers.