Report: Cord Cutters Come Close to Hitting Data Caps Every Month

May 14, 2014 - GamePolitics Staff

A new report from Sandvine (by way of Ars Technica reveals that that the average cord cutter is almost always near going over ISP imposed data caps. According to the firm's latest Global Internet Phenomena report released today (based on measurements in March), Internet users in the U.S. who are considered cord cutters "consume on average 212GB a month, more than seven times the usage of a typical subscriber." The report goes on to say that 'cord cutters' consume an average of 100 hours of video a month and account for about 54 percent of total traffic consumed each month.

Comcast, the nation's largest broadband provider, is rolling out a 300GB monthly limit in parts of the country it controls, with $10 charges for each additional 50GB consumed.

About 6 percent of broadband users use more than 200GB a month, with the top 5 percent of online video users hitting an average of 328GB a month, according to the report. That number represents total data usage, including both upload and download on fixed networks; the data does not include cellular Internet.

For the top 15 percent, 153GB out of the 212GB total is made up of audio and video. The top 5 percent uses an average of 328GB a month, with 250GB of that coming from streaming audio and video. The top 10 percent uses an average of 247GB a month, with 182GB coming from streaming audio and video, according to data provided to Ars Technica.

Sandvine estimated that the top 15 percent of subscribers watch an average of 100 hours of video.

Sandvine's report also notes that Netflix now accounts for 34.21 percent of North American traffic at peak viewing periods, up from 31.62 percent in the second half of 2013. YouTube is second at 13.19 percent. Netflix's rise in share is due to its increased use of "Super HD" videos, which Sandvine said can be "up to 50 percent larger than the previous 1080p content."

Twitch.TV is one of the top-15 applications on networks across the globe and now generates more traffic than HBO Go on US networks, according to the report.

On a related note, this other Ars Technica report reveals that Comcast plans to have a data cap of 500 GB in five years across the board.

Speaking with investors today, Comcast Executive VP David Cohen said, "I would predict that in five years Comcast at least would have a usage-based billing model rolled out across its footprint."

This news is important in what it means to customers of both Time Warner Cable and Comcast going forward. Data caps are an issue that should be addressed before the FCC and the Justice Department approve the proposed merger between Time Warner Cable and Comcast.

Source: Ars Technica


Comments

Re: Report: Cord Cutters Come Close to Hitting Data Caps ...

"They cut the tv cord for internet streaming.... But then we own the ISP or will own them in 5 years!"

 

I truly believe we are 10 years away from at&t and Comcast buying everyone, merging, and reforming MaBell.

Re: Report: Cord Cutters Come Close to Hitting Data Caps ...

Ahh the Exaflood argument.... errr myth. What we have right now are a few large gatekeepers in ISP's letting links saturate in certain areas to forward their private agenda. Nothing to see here... business as usual, underhanded... move along.

Re: Report: Cord Cutters Come Close to Hitting Data Caps ...

The issue is it is not.  People blame the free market for this, but in trueth this is what you get when we have government granted monopolies. When you do not have to compete against anyone, you have every incentive to provide crappy service.

Re: Report: Cord Cutters Come Close to Hitting Data Caps ...

I am not sure how many people realize that bandwidth is a finite resource, one that can not be expanded by too much more (it can be raised a little bit more, but the ceiling is quickly coming).

More and more people, are using more and more bandwidth. Eventually, one of two things will happen. Data Caps or speeds comparable to Dial-up. I like neither idea, but I will take Data Caps first.

EC did an episode that explains it better then I could. http://www.youtube.com/watch?v=GuqmKg6QQTw

I may be crazy, but I am not insane.

Re: Report: Cord Cutters Come Close to Hitting Data Caps ...

Wireless bandwidth is finite, but this piece is talking about wired usage.  Wired bandwidth does not have the same issues of shared medium as wireless.  For all practical purposes it can be expanded indefinitely.

Re: Report: Cord Cutters Come Close to Hitting Data Caps ...

Yep. Exactly. If Google can lay down fiber lines that can give last mile consumers up to 1Gbps internet speeds, so can Cable companies. The difference is that Cable companies don't want to spend the money necessary in the short term to get that long term investment. They would rather keep the infrastructure they currently have and squeeze blood from a turnip.

Re: Report: Cord Cutters Come Close to Hitting Data Caps ...

Ahh, data caps, the only kind of 'innovation' that the major ISPs want to see these days.

Re: Report: Cord Cutters Come Close to Hitting Data Caps ...

If I knew what a cord cutter was this could be very interesting indeed. :p I rarely check back on comments I post so any answer will have to be for the benefit of others. In the meantime it's off to Google I go... ;)

Re: Report: Cord Cutters Come Close to Hitting Data Caps ...

For the curious but Google impaired, or Longjocks if you return, a cord cutter is someone who subscribed to cable or satellite but canceled it. There are also cord-nevers who never had a pay tv subscription.

Re: Report: Cord Cutters Come Close to Hitting Data Caps ...

Which from Comcast's perspective is 'people who dare to get their media from another company'

 
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