CenturyLink to impose usage caps on high-speed Internet subscribers
CenturyLink (NYSE: CTL) plans to impose usage caps on its high-speed Internet subscribers in February, and warns that it may drop subscribers who repeatedly exceed its usage allowances.
Similar to a strategy from Cox Communications, CenturyLink plans to warn customers that exceed usage allowances, and attempt to upsell them to tiers offering faster speeds and higher usage caps. DSL subscribers who buy tiers offering download speeds of 1.5 Mbps will be able to download 150 Gigabytes of data each month, while customers who order faster tiers will get a limit of 250 GB each month.
"Customers who repetitively exceed their usage limits after being notified may have their service discontinued," CenturyLink notes in a document about the usage caps on its website. The company says it won't plan charge fees to subscribers that exceed the usage allowances.
CenturyLink competes with Cox Communications, Time Warner Cable (NYSE: TWC) and several other broadband providers. The company's new usage caps policy was first reported by DSL Reports.