Philippine telcos to impose Broadband cap

BusinessMirror published, “Broadband providers to offer new packages,”

“Data provided by the Philippine Chamber of Telecommunications Operators (PCTO) has it that about 5 percent to 7 percent hog the 80 percent of the available bandwidth, leaving only 20 percent of the capacity to be shared by 93 percent to 95 percent of the users.

Smart Communications Inc., for instance, has started campaigning on how to choose the best Internet package available nowadays. Besides this, executives said last week it will introduce a whole new set of packages to suit varying needs of users.

“We will change the way how people use the Internet now, and the key to that is to customize the right package or plan that’s best for them, because people have different needs,” said Smart head for broadband services Gio Bacareza.

In its campaign, Smart said that higher Internet speeds won’t always mean a better Web experience. The upper limit supported by any service provider, Smart said, could be anywhere upward of 56 kbps, with a range reaching up to more than 15 Mbps in some cases, depending on the type of connection used. In practice, however, the claimed speed or bandwidth is not always reliably available to the customer.

Ars Technica wrote on Canada’s experience with Data Caps:

“Wired ISPs have large fixed costs of building and maintaining their last mile network of residential cable and fiber. The ISPs’ costs, however, to deliver a marginal gigabyte, which is about an hour of viewing, from one of our regional interchange points over their last mile wired network to the consumer is less than a penny, and falling, so there is no reason that pay-per-gigabyte is economically necessary. Moreover, at $1 per gigabyte over wired networks, it would be grossly overpriced.”

The big question now is how these kind of billing changes will impact ‘Net consumption patterns. Many subscribers use minimal data, but that’s changing as Internet video becomes the norm. If these new plans simply discourage data hogs from backing up their 120GB pirated movie collection over the ‘Net every night, there’s no sleep to be lost. But if they scare consumers away from legitimate non-ISP affiliated movie and content sharing sites, that should be a firebell concern to consumers, entrepreneurs, and regulators.

And not only in Canada.

Exactly. When will these people learn, the Problem with Content is Content Licensing, not the the Network.

Cocoy Dayao

Cocoy is the Chief Technology Officer of Lab Rats Technica, a Digital Consulting company that specialises in DevOps, iOS, and Web Apps, E-Commerce sites, Cybersecurity and Social Media consulting. He is a technology enthusiast, political junkie and social observer who enjoys a good cup of coffee, comic books, and tweets as @cocoy on twitter.

Cocoy is also the Managing Director and Editor-in-Chief of the ProPinoy Project.

Cocoy considers himself to be Liberal.

  • Genkuro

    56 kbps???????????????
    Ano ito? 1980’s
    These Telcos are crazy thinkinkig they could get away with UBB

    I say nip this NOW at the ROOT!!!