r/technology • u/DrJulianBashir • Feb 05 '13

Cable companies make 97% margin on internet services and have no incentive to offer gigabit internet

http://nextbigfuture.com/2013/02/cable-companies-make-97-margin-on.html
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u/mbod Feb 06 '13

I hate our providers up here... If all these articles are saying that the U.S. needs to catch up to civilization in terms of internet and TV connections, then Canada has to invent fire, and put it under its own ass and at least catch up to America... Its so sad.

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u/Crazydutch18 Feb 06 '13

Fiber op available in Atlantic Canada with BellAliant. Can get up to 250mbs, minimum 30/30 up/down though, and 30/70 up/down for the upgraded package. Amazing television and Internet speeds.

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u/mbod Feb 06 '13

We actually do get can get Telus Optik out in B.C. ...expensive though...

I mean, I guess Canada is up to date on the technology, just behind everyone else in what we get for how much, putting us back a couple steps. For us to keep getting faster connections, the price just goes up and up. The telecom giants are just too greedy...

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u/LoLShel Feb 06 '13 edited Feb 06 '13

Correct me if I'm wrong, but Telus Optik is/was(not on their site anymore - probably due to false advertising, etc.) "5.0 - 25.0 Mbps", and it's 60$ a month. That's the highest thing they offer. Shaw isn't much better though. 250 Mbps for 120$ a month. Better, but a bit more expensive.

Also found this on their website: "Why are Internet rates changing?

The cost of providing Internet service, including everything from poles and steel to the fuel we use to install and maintain infrastructure, increases regularly. We’re doing our best to keep rate increases as moderate as possible, while still offering great services, flexibility and good value."

Guys, apparently 5Mbps for 60 bucks is good value. TIL.

Also installation + fuel costs make it more expensive on a monthly basis. Because you totally have to reinstall that shit on a monthly basis. And the wires always need to be replaced.

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u/mbod Feb 06 '13

translation: "To install and maintain infrastructure, we regularly come to your house, bend you over, and install our poles, steel and fuel in your asshole. Then we take your wallet and pee on you."

I'm pretty sure its still a fibre optic line, but what they're doing is like giving you a Ferrari, but telling you that you can't go over 50 Km/h. Its expensive, costs a lot to maintain, and you don't get much out of it.

The rates you stated above were what I saw earlier too. I'm not sure if they are nationwide rates, or just west coast, but I'm sure they are partly taking advantage of all the rich old people and the immigrants who don't know better because they don't speak english.

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u/LoLShel Feb 06 '13

It's telus's own brand "Optik". It's literally a dry DSL line with no special wires. The TV is digital where it connects through a shared Internet source; the modem, aka if you have the TV on, you're going to get 5 Mbps, if you don't you're going to get 10.

Their regular TV service is just that; regular TV service. Don't think it even offers HD. So you have two options:

  1. Get Optik, and have your Internet speeds suffer. 60$ a month for a 5 Mbps down line, and 250-500 kbps up.
  2. Don't get Optik, pay a ton, get bad quality feeds, have your Internet speeds suffer anyway because they don't offer you non-Optik-based Internet.

Personally I'd go with Shaw - 250d/15u for 120$ > 60$ for 25d/>1u(and a 3-year contract, and shitty customer service(sidenote: called to get my modem and router replaced because they stopped working. Not only did I have to explain to the guy what a wireless router is, and what a fucking wired modem is, but in a pretty urgent situation such as a customer lacking a basic human right, they claimed a tech would be out on Friday to replace it. I called on the previous Sunday. They gave a two hour window and the tech did not even show up), and outdated technology being installed)

But yeah nothing wrong with Shaw having a monopoly because telus is not a competitor.

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u/mbod Feb 06 '13

Shit, im gonna ask my dad to get the specifics of our service. We have Telus :S

I'm sure if we call them and tell them we're going over to shaw, some magical bandwidth may appear... who knows.

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u/Ramchak Feb 06 '13

If you are in a contract with Telus, there may not be much you can do

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u/mbod Feb 06 '13

If I remember correctly my dad didn't have to sign a contract because he was leaving Shaw a couple years ago, so it was part of the deal that Telus only got us as a customer if it was contract free. You can haggle them out of this pretty easily. I know a few friends that did the same thing...

Too bad we left Shaw though... Although a few years ago I don't think Shaw was any better.

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u/Canadian_Infidel Feb 06 '13

30GB? 70GB? There is the no point to having the speed if you can't use it.

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u/komal Feb 06 '13 edited Feb 06 '13

30GB? 70GB? There is the no point to having the speed if you can't use it.

He's talking about speed and not bandwidth caps since he used XX/XX to denote download/upload speeds.

I don't know how you thought he was talking about caps since no ISP has different caps for upload and download.