I Feel the Need for Speed

Posted by: Cliff Edwards on July 12, 2005

Looks like the cable and DSL boys just can’t place nice. Comcast just announced it has begun automatically upgrading its broadband speeds to 6 megabytes per second downstream and 384 kilobytes per second upstream, with all its customers expected to get the upgrade by the end of the summer. Comcast had been promising about 3 Mbps. For another $10 a month, you can up the ante to 8Mbps. According to their website, their current pricing for new customers is $20 for the first six months, jumping to a (steep) $43 a month thereafter.
The cable giant’s moves comes after SBC in June began offering new customers introductory rates of $14.95 for speeds up to 1.5 Mbps, jumping to $26 after. After Verizon last month also began upgraded its speeds, while keeping the price at $30 a month, it seems clear that cable is betting people want speed over cheap service.
I say keep the competition going. We may actually catch up to parts of Europe and Asia and actually get great prices at truly decent speeds.

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Bloomberg Businessweek writers Peter Burrows, Cliff Edwards, Olga Kharif, Aaron Ricadela, and Douglas MacMillan, dig behind the headlines to analyze what’s really happening throughout the world of technology. Tech Beat covers everything from tech bellwethers like Apple, Google, and Intel and emerging new leaders such as Facebook to new technologies, trends, and controversies.

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