Survey Says: Data Cap Broadband Plans Are Cheaper

Broadband plans with data caps are cheaper by up
to 25% than unlimited plans, according to a just-released study from the
Technology Policy Institute.

The institute's supporters include the National
Cable & Telecommunications Association, Comcast, Time Warner Cable,
AT&T and Verizon.

The study
also found that broadband plans with contracts are cheaper than those without
them.

Residential standalone plans with caps average
$164 less per year than comparable unlimited plans, the study concluded, while
bundled "triple play" plans with caps are about $152 less per year.

The study was of residential and business
broadband prices in the U.S. and abroad.

The bottom line of the study: "Policymakers should not immediately
conclude that data caps and other pricing schemes that differ from traditional
unlimited plans are necessarily bad."

Contributing editor John Eggerton has been an editor and/or writer on media regulation, legislation and policy for over four decades, including covering the FCC, FTC, Congress, the major media trade associations, and the federal courts. In addition to Multichannel News and Broadcasting + Cable, his work has appeared in Radio World, TV Technology, TV Fax, This Week in Consumer Electronics, Variety and the Encyclopedia Britannica.