Time Warner Tests Internet Allowances

Time Warner is trying to rein in those heavy internet users by charging customers if they go over set limits. Today a test begins in Beaumont, Texas for Time Warner customers where monthly data allowances are in place and it’s a dollar a gig if you exceed the limit.

In the program several tiers exist, similar to a cell phone plan. Time Warner’s 90,000 customers in the test won’t have to pay the extra charge for the first two months, but they will be able to monitor their usage. This may give customers nightmares of the dial-up days. The old AOL metered plans were gladly abandoned as soon as flat rates were introduced.

Other internet providers such as Comcast have also been wrestling with what to do with customers who have the highest data traffic. It will be interesting to see if companies like Apple or Netflix weigh-in on these limits. Any plan to limit the flow of data could greatly affect their video download business.

More Info:

Read the Washington Post article here

Can Netflix Kick the Postman to the Curb?

Tired of retrieving your DVD’s from the neighbor’s mailbox? Still have the feeling that you get your DVD’s after the mailman takes his turn watching it? Well Netflix has introduced a set-top box to cure what ails you.

Starting today Netflix members can purchase the “Netflix Player by Roku™.” Priced at $99.99 the five inch by five inch box will allow users to stream movies and TV shows from the Netflix library to their home TV sets. Best of all, there’s no additional charge for subscribers to stream the movies.

This product could eliminate the stigma many people have of watching a movie on a computer when they’re at home. The Netflix player connects to a TV and the internet (by hard wire or Wi-Fi). Users can then see their “queue” or list of movies they have shown interest in and then will see which of those movies can be streamed. The number of movies available for streaming has been a bit light… only 10% of the total titles offered, but Netflix claims those numbers are growing everyday.

The set-top box is manufactured by Roku; a small portion of which is owned by Netflix. This will put Netflix in direct competition with Apple and their Apple TV product. Apple TV prices start at $229, but that was before this Netflix announcement.

Read the New York Times article here.

Read the Wired review here.

Read the Netflix press release here.