http://news.yahoo.com/s/nm/20080117/media_...ner_internet_dc - article.

Time Warner to test Internet billing based on usage

By Yinka Adegoke Thu Jan 17, 10:07 AM ET
NEW YORK (Reuters) - Time Warner Cable Inc said on Wednesday it is planning a trial to bill high-speed Internet subscribers based on their amount of usage rather than a flat fee, the standard industry practice.

The second largest U.S. cable operator said it will test consumption-based billing with subscribers in Beaumont, Texas later this year as a part of a strategy to help reduce congestion of its network by a minority of consumers who pay the same monthly fee as light users.
The company believes the billing system will impact only heavy users, who account for around 5 percent of all customers but typically use more than half of the total network bandwidth, according to a company spokesman.

Slowing network congestion due to downloading of large media files such as video is a growing problem for Time Warner Cable. The company said the problem will worsen as video downloading becomes more popular.
But the move could prove controversial. Unlike with utility bills such as the phone or electricity, which have traditionally been based on usage, U.S. high-speed Internet subscribers have come to expect a fixed monthly charge. An Internet bill typically only varies based on the speed of the consumer's Internet access.
Time Warner Cable, which has 7.4 million residential Internet subscribers, is hoping the move will not confuse consumers if introduced nationwide and is planning a trial period.
"Largely, people won't notice the difference," said the Time Warner Cable spokesman. "We don't want customers to feel they're getting less for more." News of Time Warner Cable's plans was originally leaked on an online industry forum BroadbandReports.com.
Other cable operators may follow Time Warner Cable's lead and phone companies such as Verizon Communications Inc and AT&T Inc are likely to be watching the New York-based cable operator's plans.

As U.S. consumers have become more used to streaming and downloading digital media over the Web, their Internet service providers have started to come under pressure to be able to keep up with growing demand in a cost-effective manner.
Comcast Corp, the largest cable operator with around 13 million Internet subscribers, has been accused by consumer groups of blocking Web traffic moving across its networks, prompting a notice of inquiry by the Federal Communications Commission earlier this week.
Comcast denies it blocks any Internet traffic saying it uses bandwidth management technology to help improve the customer experience but which may slow down some file transfers.
(Editing by Lincoln Feast)

I have been one of their customers.. interesting what they propose in the future.. in our area they have options..not just one price. But it has been my experience that they charge what ever the market will bear in most cities in the US.

THE PLANS
Supercharge your connection with blazing fast speeds you can’t get on dial-up, when you access the Internet directly over a broadband Time Warner Cable connection. Or get the whole house connected at the velocity of broadband with Wireless Home Networking.

Road Runner High Speed Online
5 Mbps download speed/384 Kbps upload speed
Get 12 months of Road Runner for only $34.95/month PLUS Home Networking FREE for 12 months!*


Road Runner Turbo
8 Mbps download speed/512 Kbps upload speed
Still want more? Try Turbo Charging Road Runner up to 8 Mbps for only $9.95 more per month!


Road Runner Lite
1.5 Mbps download speed/256 Kbps upload speed
Enjoy all the benefits of Road Runner High Speed Online but at a lower speed and price! Only $29.95 per month.


Road Runner Lite 768
768 Kbps download speed/128 Kbps upload speed
Road Runner Lite 768 costs about the same as dial-up but faster! Only $24.95 per month!


http://www.timewarnercable.com/nc/products...er/default.html

* Offer available to new residential Road Runner customers in Time Warner Cable Raleigh Division serviceable areas only. Installation offer valid for standard installation on primary computer only and does not include custom wiring. Regular Road Runner rate of $46.95 per month ($39.95 per month for DIGIPiC cable subscribers) applies at end of discount period. The regular monthly rate for Home Networking is $9.95 per month. Home Networking installation is $19.95 on up to 3 additional computers. Other restrictions may apply. Limited time offer.

BTW here is that long thread of users at BroadbandReport.com discussing [TWC] Pricing model changing soon on the test in Beaumont, TX in Quarter 1 who broke the story.

http://www.dslreports.com/forum/r19804118-...l-changing-soon


see also

"Largely, people won't notice the difference," said the Time Warner Cable spokesman. "We don't want customers to feel they're getting less for more." News of Time Warner Cable's plans was originally leaked on an online industry forum BroadbandReports.com.


http://www.msnbc.msn.com/id/22707271/

Thanks for the news Peaches & Hunter. We'll move this out of Browsers software and into Internet Related Discussions forum or the News forum at top of board (?)....okie-dokie