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Time Warner says there is no demand for residential gigabit Internet

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On February 27, 2013, 4:30 PM

Google made headlines last summer when they powered up their first self-built gigabit Internet service available exclusively to lucky Kansas City residents. While enthusiasts around the country remain envious of the 1,000 Mbps download and upload speeds that locals have enjoyed for more than six months, not everyone believes there is a market for such a connection.

During a speech at the Morgan Stanley Technology Conference earlier today, Time Warner Cable chief financial officer Irene Esteves downplayed the impact that Google Fiber is having on consumers. The executive said Time Warner was in the business of delivering what consumers want as well as staying a little ahead of what they think they will want.

As of now, she said the company simply doesn’t see the need of delivering similar speeds to the average consumer. Residential customers reportedly have shown little interest in their top tier Internet package. She pointed out, however, that they are already delivering speeds of 1 gigabit to business customers – demonstrating at least that they have the capability to do so.

That’s not to say that Time Warner is totally ruling out the idea of delivering similar speeds to residential customers in the future. Esteves said that if Google finds applications that require such speeds and there’s a need for it, they would build their product base to deliver it as well.

Until then, it looks as though Time Warner customers and virtually everyone else will have to be content with existing speed grades until a real need arises – or Google decides to expand to other cities.

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User Comments: 65

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  1. I would kill for 2mbps

  2. That's a sweet deal! Hold onto it!

    This is what really bothers me...

    Rogers High Speed Internet:

    Extreme Plus $75/mo, 45mbps, 150GB/mo

    Express $51/mo, 23mbps, 80GB/mo

    The 150GB/mo is too low for my liking at that price ($75), and 80GB/mo is just an insult.

    Agreed.

    It think they should bump ultimate to a 500GB cap, Move extreme plus to 250GB cap and extreme 150GB cap and so forth.

    Now that rogers has finally increased the network speeds the data caps need to be looked at asap.

  3. Monthly traffic on my connection is averaging 2.5 TB per month, according to data from the router. 150 GB I would had exhausted in less than two days! In the case of backup data from data server once a week ~500 gigabytes of data - I'm a professional photographer and watching HD movies on the net flow data relatively quickly...

    What ISP do you use that allows 2.5 TB per month of traffic ?

  4. Hmm; I fear that most people ASSUME that gigabit is better and therefore I have to have one.

    Personally, my Lan has

    • a Windows/7 64bit Pro laptop (the primary system)
    • a Linux server (actually dual boot)
    • an iMac for the wife
    • a Eop device which enables Netfix on my HTDV
    and the ONLY time I've ever come close to saturating my 100mb LAN is when using Drag-N-Drop to a guest laptop as a temporary backup ( Taskmgr showed ~82% utilization which is above the norm for a contention TCP network (theory says ~72%) )

    Unless one is operating a public service with a high hit-count per second, gigabit networks just don't matter.

    Even commercial enterprise sites have avoided gigabit by careful factoring of the subnets in the Intranet design.

    It's easy to harp about feature xyz when one does not have to pay the bill to provide the required resources to implement it.

    eg: I NEED a Ferrari 458 (but I can't afford it :sigh )

  5. Let's see.....

    1 Gbps = 125 MBps

    That's pretty close the the average write speed of 7200rpm hard drives.

    But that shouldn't stop us from promoting higher bandwidth. When has more bandwidth been a bad thing? It promotes growth in technology!

  6. WOW!! 2.5TB 250GB caps. Amazing! In Nevada the most I have ever seen offered was 40gb.

  7. Could this be because there is no demand for Time Warner Cable?

  8. Agreed.

    It think they should bump ultimate to a 500GB cap, Move extreme plus to 250GB cap and extreme 150GB cap and so forth.

    Now that rogers has finally increased the network speeds the data caps need to be looked at asap.

    I couldn't agree more. I'd really like to know the actual ratio of [Rogers] Internet customers with 250GB/mo plans or higher compared to everyone else. While I'm at it, I'd also like to know how close the 250GB/mo+ customers get to their limits on average.

  9. Gigabit internet will be required to stream 4K video, to download PS4 games, and would seriously help with today's 20GB+ games on Steam. Let's not forget how important the upload speed its. Currently it's impossible for me to upload my data to the cloud. I have over 4TB of backup data, and have to store it locally because it'd take a month and 1/2 to upload all of it to online data storage. Same think will go for 4K video uploads to Youtube.

    So there are plenty of reasons for gigabit internet, but they don't want to spend the money to upgrade is the real truth.

  10. The reason that nobody subscribes to Time Warner's top tier service is because they are unreliable, bottleneck, and higher than heck. Had their 30 meg service and it barely got 10. My wireless as bad as it is, is showing faster speeds. It advertises 10Mps and that is what I get. Time Warner blows.

  11. Time-Warner also revealed that;

    the earth was flat,

    the sun actually revolves around the earth and..

    that no one needs more then 512k of RAM.

  12. I have Charter and had my residential service shut off by them for exceeding their ridiculous bandwidth cap. Since the only other service available where I live is AT&T U-Verse at slower speed & higher price with the same bandwidth cap I had little choice but to get a Charter "Business" account that costs me $80 a month for their lowest-tier 20/3 connection with no cap. I use about 1TB a month. If any company came here and offered gigabit speeds w/o cap for less than $100 a month I'd jump on it!

  13. Paid for 50d and 10u. I get 67d and 12u if it's wired right which it is now. I use my own ubee modem is 1Gigabit modem So now my ISP going to double my 50d to 100d. Higher speeds does cost more that's how they get you. Remember it's per month and what counts is the total cost per year!

  14. Hell yes I want gigabit internet! I just don't want to pay these rediculous prices that I get charged now. Google made it possible for KC people to get awesome internet speeds for less than $30 bucks a month. These ass clowns that I use for internet now charge me excess of $120 for the 50 down 35 up I have now. Time Warner just doesn't want to rush data plan race and squeeze every penny they can while they can. This is really the only issue here, profits.

  15. Time Warner should offer the gigabit service and the people that want it will pay for it. Simple as that.

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