Skip to main content

Cable companies mulling a ‘Netflix tax’ for high data usage

netflix-factory
Image used with permission by copyright holder

According to a report from Bloomberg earlier today, Time Warner Cable, Cox Communications and Charter Communications was looking into usage-based fees based on the amount of bandwidth consumed rather than simply a flat rate for a specific transmission speed. This modification in pricing would impose extra monthly fees on consumers that consume larger amounts of bandwidth, likely due to watching high definition video on services like Netflix, Vudu and Hulu Plus. Charlie Ergen, chairman of Dish Network, estimates that a typical fee structure could cost consumers an additional $20 a month. If a consumer was only subscribed to Netflix, it would cost a total of $335 a year to access the video streaming service with that additional $20 surcharge figured into the total yearly price.

hulu-plus-tv-screen-image-hand-remoteIf any cable company decides to implement a usage-based fee structure in 2012, this would likely slow the number of people attempting to “cut the cord” and cancel cable subscriptions. This option has previously been attractive for consumers as a combined monthly subscription to Netflix and Hulu Plus costs approximately $16 a month. According to Sanford C. Bernstein & Co. analyst Craig Moffett, he expects that at least one cable company will shift to usage-based pricing within the next twelve months. Time Warner Cable spokesman Alex Dudley was quick to point out that customers that use a low amount of data like email and simple Web surfing could benefit from the usage-based structure and perhaps get a discount on broadband service.  

Since Netflix now consumes approximately a third of all Internet bandwidth in North America, cable companies are concerned about further growth of the streaming company as well as the rise of competitors like Amazon Prime. If Internet-based video consumption continues, analysts estimate that 12.5 million U.S. households will receive television programming and movies through Internet video rather than traditional services by 2015.  

Mike Flacy
By day, I'm the content and social media manager for High-Def Digest, Steve's Digicams and The CheckOut on Ben's Bargains…
Samsung S95D OLED first look: a reflection on excellence
Samsung S95D OLED

I recently traveled to New Jersey to visit Samsung for an up-close and personal look at the flagship TVs in its 2024 lineup, which includes Samsung’s 8K Neo-QLED and 4K Neo-QLEDs, and the reason we’re here today: the S95D.

The S95D is Samsung’s flagship OLED TV for 2024, and it has been the subject of some consternation for some TV enthusiasts because it has a new anti-glare or anti-reflective screen coating. Is there any merit to that concern? Has it overshadowed how good this TV could actually be thanks to a new 3rd generation QD-OLED panel? Is it any brighter? Should we be excited about this TV?

Read more
Buy one of Samsung’s new TVs and get a free 65-inch 4K TV
Two majestic elk lock horns in a snowy scene shown on a Samsung QN90D.

We’ve seen many great TV deals in our time but one where you buy one TV and you get one free? That’s new on us! That’s exactly what will happen when you buy one of the new Samsung 2024 TVs at Best Buy. Add it to your basket and you can also get a Samsung 65-inch TU690T 4K TV entirely for free. There’s even free delivery and display setup and mounting for each TV. This is a fairly unbeatable offer but if you still want to know a little more about it, keep reading while we take you through what to expect.

Why you should buy a new Samsung 2024 TV
Encompassing a range of Neo QLED 4K and 8K TVs, Samsung’s latest announcement regarding new TVs in 2024 is pretty exciting. It includes the Samsung QN900D 8K TV which we recently got early access to as well as more affordable models like the QN90D Neo QLED 4K TV and QN85D Neo QLED 4K TV.

Read more
Sennheiser’s fantastic Ambeo all-in-one soundbar is $800 off today
The Sennheiser Ambeo Max 5.1.4-channel soundbar in the living room.

There are soundbar deals for basic and budget-friendly models, but if you want the best possible audio for your home theater setup, you're going to have to make a significant investment. If you're willing to spend some serious cash, check out Best Buy's offer for the Sennheiser Ambeo Soundbar Max. An $800 discount brings its price down from $2,500 to $1,700, which still isn't cheap, but it's actually a steal for the cinematic experience that this soundbar will enable. You need to hurry with your purchase if you're interested though, as its price may return to normal as soon as tomorrow.

Why you should buy the Sennheiser Ambeo Soundbar Max
The Sennheiser Ambeo Soundbar Max is the more powerful model of the Sennheiser Ambeo Soundbar Plus that's featured in our roundup of the best soundbars. It's a 5.1.4-channel soundbar, which means it offers five channels -- the standard left and right channel, a center channel for improved dialogue clarity, and a pair of surround sound speakers -- a subwoofer, and four dedicated drivers that fire upwards to enable Dolby Atmos surround sound, as explained by our guide on how to buy a soundbar. The all-in-one soundbar will also allow you to customize your listening experience with its built-in equalizer.

Read more