They’re putting a cap on Data?
For the last two years, unlimited data plans have given app-hungry smartphone users an all-you-can-eat buffet. But will customers react to AT&T’s new, limited menu by simply eating less?
Some software developers fear they will, and if that happens, the caps on data use that AT&T has imposed could also make consumers lose their appetite for the latest innovations. Some developers worry that customers will be reluctant to download and use the most bandwidth-intensive apps and that developers will cut back on innovative new features that would push customers over the new limits.
“What created this lively app world we are in was the iPhone on one hand, and unlimited data plans on the other,” said Noam Bardin, chief executive of Waze, which offers turn-by-turn driving directions. “If people start thinking about how big a file is, or how fast an application is refreshing, that will be a huge inhibitor.”
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AT&T and some developers say that the new data plans could have the opposite effect and increase data usage by making it more affordable for most people.
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Applications that stream high-bandwidth video and route phone calls and face-to-face video chats over the Internet could be seriously affected. Applications that constantly send a phone owner’s location — continually uploading and downloading data from the network — could also face challenges.
MikeN:
I just went there and it worked fine for me.
Interesting to read a comment on Ars Technica, to the effect that it was background audio-streaming [Pandora?] which caused a user’s download rate to go up.
He looked-back at his usage, once he learned AT&T was placing the 2GB cap, and saw his usage take a jump from ~700k/month to ~2.3GB/month when he started using an audio-steaming app.
So beware that it is not just streaming video that will push you towards the cap, it is also audio streaming which will do it – if you listen during your commute each workday.
On my Iphone I use 3-7GB per month.
Mostly from streaming podcasts during the weekends and on long drives.
Media companies and Telco’s making money hand over fist, via the networks that OUR freaking tax money paid for in the first place, and that we’re still paying out the nose for, you pay for the media, then you pay by the bit to stream it to your playback device, and they want to control who (Who has the most bucks, that is) gets first place at the tubes. And they want to do deep packet inspection of all your personal traffic, just to make sure that they’re not missing out on money you should be sending them. And they don’t want Fair Use, they think that hey, just because you bought that DVD, that doesn’t mean you can transcode the damn thing so that you can watch it on your portable player, no, you’re supposed to buy it again! Don’t like data caps on your home net connection? Too bad, you aren’t supposed to watching stuff on HULU, you’re supposed to rent that DVR and pay for premium service from Comcast, you serf-like money spigot. Give us that credit card number and belly-up to the trough maggots.
This move by ATT is fueled by their perceived bandwidth shortage. In other words, they bit off more than they could serve.
New FCC Rule: Any data carrier must acquiesce to renting bandwidth to competitors during instants of high data traffic.
The public, after all, is best served by the graceful flow of data.
In the end, after all the back-and-forth renting is tallied, more profit ensues for all. Unless they failed to buy enough bandwidth to begin with.
“But will customers react to AT&T’s new, limited menu by simply eating less?
Some software developers fear they will”
Software developers are really lazy bloat-ware developers. They expect newer and newer hardware will enable their bloat-ware to run fast.
Maybe, this will promote good practices in code and run speed efficiency; but unlikely. In comparison to hardware designers, programmers are some of the most lazy and intellectually dull people I know.
What AT&T is doing will make life harder for developers of new services, but this will not limit innovation. In fact, true innovation thrives in the face of constraints. Whatever the ground rules are, smart people will figure out how to deal with them.
# 26 noname – Maybe, this will promote good practices in code and run speed efficiency
Code runs on the machine. It has very little to do with downloading something and we’re talking about data being transferred to a device. It matters not at all to your bandwidth usage how long it take your fart app to make a noise.
# 1 RTaylor:
“… How many people out there are browsing and streaming video on a daily bases on a smart phone? …”
Let’s see — how many iPhones have been sold? About that many. Maybe a few more with all the Android phones and Blackberries.
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# 3 Improbus:
“… Is there an app that logs data usage?”
Now that is the question! As far as I know, Apple doesn’t offer one for the iPhone. When Leo Laporte went to China last year, he complained about that exact thing — he found an app from somewhere that supposedly kept track, he bought extra service, and according to the app he was under the limit. But according to AT&T he was 2 gigs over. Cost him HUNDREDS of dollars! He’s still sore about it and has to stop himself from ranting over it whenever the topic comes up.
Why should the phone companies (or Apple) promote or even allow such an app? After all, they make many MILLIONS of dollars from the overages!
When the question is “why do the telcos do things in some strange way?” the answer is almost always – follow the money. Take text messages: I’ve traveled in several countries and almost none charge for texts. Why should they? it costs them almost nothing to do texts. Yet, in the States it costs a quarter to send one and a quarter to receive one!
All I have to say is ATT is a freaking joke and the only reason I am on this network is due to the iPhone but limiting the data plan shows their infrastructure is just plain sad.
Well I’m sure glad there are no “caps” on the usage of “real” highways. Imagine you just paid your toll charge to gain access to a major interstate highway. And after driving only 11 miles, a cop pulls you over for exceeding your 10 mile cap. What to do? Pay a fine to go on a bit further? Or abandon your vehicle where it is, and walk home? Of course that’s a ridiculous situation to be put into. And the general population would never accept it. Plus, the major Auto makers would have lobbied like hell against it. Because it would have severely effect their sales of cars and trucks.
But strange how we’ve accepted nearly an identical situation to occur with the Information Superhighway. And only now are some of the “vehicle” manufactures of that data highway, starting to realize and complain that caps could screw things up for them too. We (as their customers) won’t be buying as many SUVs, Minivans, and RVs of internet use. If there’s a caps on how far and how long we can actually “drive” them anywhere.
But whose Internet is it really? The public’s, the world’s, or the ISPs bottle-necking it at either end? Seems to me, I remember it was once largely part of a taxpayer paid for network, between colleges, contractors and US defense departments, before being turned over to the general public for fun and profitable use. No one said anything about CAPS, at the time!
#32, Glenn,
But whose Internet is it really? The public’s, the world’s, or the ISPs bottle-necking it at either end? Seems to me, I remember it was once largely part of a taxpayer paid for network, between colleges, contractors and US defense departments, before being turned over to the general public for fun and profitable use. No one said anything about CAPS, at the time!
The “internet” is both a public and private affair using both public and private infrastructure. For the most part though, access to the “internet” is done through private access points (ISPs). You aren’t paying to be on the “internet”, you are paying for the access.
The same if I own a hotel with waterfront access. If you want to use my beach you have to pay me, but hey, the water is free.