As it turns out, Time Warner’s proposed download caps for test markets around the country won’t prevent users from unlimited downloads after all. They’ll just have to pay several times more for the privilege than they used to.
Time Warner COO Landel Hobbs clarified the company’s trials in a post explaining both the necessity behind the move to metered Internet access, and what the new tiered structure would look like. According to Hobbs, the company is already scrambling to meet demand for data that increases 40 percent every year, and if a new structure isn’t implemented, customers could face “Internet brownouts” when the network finally reaches capacity.
The new billing structure will present consumers with download caps from 1GB to 100GB, and prices that vary accordingly. The 1GB plan, for instance, will run for $15 a month, while the 100GB “Road Runner Turbo” service will be $75. Though Time Warner won’t actually offer an unlimited plan, the company will cap overage charges at $75, meaning Turbo customers can essentially purchase unlimited downloads for $150.
Time Warner will begin its trials in Rochester, N.Y., and Greensboro, N.C. in August. Customers will be given a two month grace period without overage charges to adjust their plans accordingly.