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Verizon Throttles Data To "Provide Incentive To Limit Usage"

An anonymous reader writes About a week ago, the Federal Communications Commission (FCC) asked for Verizon's justification on its policy of throttling users who pay for unlimited data usage. "I know of no past Commission statement that would treat 'as reasonable network management' a decision to slow traffic to a user who has paid, after all, for 'unlimited' service," the FCC wrote. In its response, Verizon has indicated that its throttling policy is meant to provide users with an incentive to limit their data usage. The company explained that "a small percentage of the customers on these [unlimited] plans use disproportionately large amounts of data, and, unlike subscribers on usage-based plans, they have no incentive not to do so during times of unusually high demand....our practice is a measured and fair step to ensure that this small group of customers do not disadvantage all others."

47 of 316 comments (clear)

  1. There is no incentive because they PAY for it! by TheRealQuestor · · Score: 5, Insightful

    We kick you in the head because we care!

    1. Re:There is no incentive because they PAY for it! by Anonymous Coward · · Score: 5, Insightful

      We give you tiny plate at all-you-can-eat buffet because we care.

    2. Re:There is no incentive because they PAY for it! by mikeiver1 · · Score: 5, Interesting

      I have a Verizon account with 2 cells and one data card on the unlimited plan. I pay $216 a month for the whole thing. In the past they were to only internet I could get in the third world city of Santa Ana, CA that we lived in. We used to stream netflix and game on the connection, sometimes running well into the high teens of GB. I did get a notice from them to the effect that they were going to cap or throttle me should this continue. I responded that a lawsuit for breach of contract sounded fun and that I would be happy to take them there after contacting the press. I informed them that I had logs from my DEDICATED firewall showing the average transfer rates and volumes etc over past months and I would be happy to see them in court in front of a jury of "my" peers. It was not to long after that that the tower that they leased was dropped and the signal went to crap in our area. So fuck them I says, I built a very high gain Yagi/Uda and put it on the roof facing the tower that I now had to hit. I went from -103dBm to -52dBm and got the bit rate back up. I then started downloading ISOs for fun and pulled down near 23GB that month. All the while logging. They then called me again and I promptly told them that unlimited was what I signed on for and I was paying for. I was using 3G and they had 4G rolled in the area. I suggested that they move me to the 4g or stop calling and wasting both our time. They chose option 2. The phone, electric, banks, and gas companies are out of control but they pay big sums to the assholes on the hill so they can be. The load is transferred to the assholes of the middle class. Half the time I feel like I am going to burp up corporate cum from getting fucked so hard from so many different companies and the governments.

    3. Re:There is no incentive because they PAY for it! by davester666 · · Score: 5, Funny

      and when we are especially busy with people who order a la carte, we get the waiters to trip you on your way to the buffet...

      --
      Sleep your way to a whiter smile...date a dentist!
    4. Re: There is no incentive because they PAY for it! by Anonymous Coward · · Score: 5, Insightful

      I wouldn't call that abuse, it's what you PAID for. If these swindling thieves at Verizon cannot provide 100% capacity to 100% of their customers at all times, then they are overselling their service and pocketing the money instead of using that money to build out their infrastructure. They are committing fraud.

      I'm glad my ISP doesn't do any of this shit and I can use my full capacity 24/7.

    5. Re:There is no incentive because they PAY for it! by Anonymous Coward · · Score: 5, Insightful

      It seems very clear. If Verizon thinks it's okay to throttle bandwidth to "provide incentive to limit usage", then when it comes time to pay the bill, pay only 70-80% to "provide incentive to lower your monthly bill".

    6. Re:There is no incentive because they PAY for it! by Sqr(twg) · · Score: 4, Insightful

      It seems to me that Verison's problem is on the marketing side. Their technical implementation is correct.

      This is basic QoS. For a simplified example, let's assume there are only two users (but the network is still congested). One is trying to download a fix amount of data, i.e. watch a certain number of YouTube videos. Let's call her the "limited" user. The other is trying to download as many linux-distribution isos as she possibly can. Let's call her the "unlimited" user. (We assume that the carrier can guess which user is which, based in historical bandwidth use.)

      If the carrier throttles both users equally - what some would consider the "fair" solution - then the limited user will have to wait while her videos buffer (but we will assume that she still watches the number of videos that she had decided on). The amount of data that the unlimited user can download equals total network capacity minus the size of the YouTube videos.

      If the carrier only throttles the unlimited user, then the limited user gets a better experience, but still watches the same number of videos, i.e. downloads the same amount of data during the period of the congestion. The amount of data that the unlimited user can download still equals total network capacity minus the size of the videos, so she doesn't actually get any negative effect from the "unfair" throttling.

      (The above reasoning holds even if the unlimited user is also watching video, if we assume that she has a large enough buffer. But if both users are doing video conferencing, then it would be better to throttle both equally.)

      Of course, the best solution would be to upgrade the network to 4G, and this is what the FCC should force the providers to do.

    7. Re:There is no incentive because they PAY for it! by N1AK · · Score: 2

      It seems to me that Verison's problem is on the marketing side. Their technical implementation is correct.

      Pretty much, although it is a little more than 'marketting' when a company sells you 'unlimited internet' but doesn't provide that. The issue pretty much boils down to the fact that for 99%+ of users 100GB a month would be plenty, but those users want the security of knowing that their policy is 'unlimited' so they won't a surprise charge if they use more than normal. 'Unllimited' is the wrong word to use for a clearly limited service even if for most users it's the same as unlimited, but the problem is that there's no clearly understood term for 'effectively unlimited for the vast majority of customers'.

      Personally, I think the best option would be to accept that the word unlimited is misused, and create a level of service that is required to be allowed to call it 'unlimited'. That limit could be, for example, 10x the average usage calculated each year based on the previous year, with the consequence for breaching the limit being restricted to removing service to people who repeatedly exceed it. That way when the vast majority of users buy an 'unlimited' package they are getting what they want and expect (all they need with no risk of fines) and the very small group of high bandwidth users can pay for a premium package.

    8. Re:There is no incentive because they PAY for it! by mrchaotica · · Score: 2

      First of all, you don't understand what "basic QoS" is. Second, you're conflating the amount of data usage with the type of data usage. Let's try switching the types of data for the two users, and then see if your example is still reasonable:

      This is basic QoS. For a simplified example, let's assume there are only two users (but the network is still congested). One is trying to download a fix amount of data, i.e. [download a certain number of linux-distribution isos] . Let's call her the "limited" user. The other is trying to watch as many YouTube videos as she possibly can. Let's call her the "unlimited" user. (We assume that the carrier can guess which user is which, based in historical bandwidth use.)

      If the carrier throttles both users equally - what some would consider the "fair" solution - then the limited user will have to wait [a little longer for her ISOs] (but we will assume that she still [downloads the number of ISOs] that she had decided on). The... unlimited user [will have to wait while her videos buffer (which will cause her to watch fewer Youtube videos in total)].

      If the carrier only throttles the unlimited user, then the limited user gets [the same] experience, [and] still [downloads the same number of ISOs], i.e. downloads the same amount of data during the period of the congestion [even though she didn't necessarily care that much when she got the data]. The [number of videos] that the unlimited user can [watch is reduced (along with their quality, due to buffering)], so she [suffers] from the "unfair" throttling.

      "Basic QoS" means throttling the ISO download because it's not time-sensitive while not throttling the Youtube stream because it is time-sensitive. The aggregate data usage of the parties in question is completely irrelevant!

      Oh, and by the way: QoS happens only when there's congestion, which is different from what Verizon wants to do, which is to punitively throttle customers after they hit their "cap" even if the network has excess unused capacity at the time the throttling occurs!

      --

      "[Regarding the 'cloud,'] ownership was what made America different than Russia." -- Woz

  2. Is this really the biggest problem? by timrod · · Score: 3, Insightful

    I've seen much bigger problems with cell phone internet than this. For instance, there's the tactic of selling "4G" service with the caveat that you get 4G speeds on "preferred websites" for the first 200MB, and then get throttled down. Give us net neutrality on phones first, then start working on regulating how they can sell it.

    1. Re:Is this really the biggest problem? by gl4ss · · Score: 3, Insightful

      200mb is a joke at 20mbit/s.

      anyways, the problem with penalizing the top 10% is that next month top 10% will have smaller use and the next month 10% is smaller and the next 10% is smaller... ending up with 100mbytes getting you into the top 10% users before long. what kind of "unlimited" is that?

      --
      world was created 5 seconds before this post as it is.
    2. Re:Is this really the biggest problem? by mrvan · · Score: 2

      I'm not sure you understand what 'digital' means...

  3. Except,,, by mark-t · · Score: 4, Insightful

    If they don't actually have the resources to offer plans to subscribers without the disincentive of additional fees, then they shouldn't be offering such plans to customers in the first place.

    Of course, both fees and throttling can equally be considered as disincentives, and the entire notion behind "unlimited" plans is that you wouldn't have to deal with any unexpected disincentives to continue use.

    1. Re:Except,,, by Darinbob · · Score: 2

      Verizon is still providing unlimited data, as much as the user can download. It is only the speed of the download that is changing. Did the original service agreement provide for maximum available bandwidth, or a guaranteed minimum bandwidth? If not then the problem is only with the perception of the user.

      I'm not a customer and not a heavy user so I don't know what the level of "throttling" really is and if the throttled rate is still useful. Say I got 50Mbps and it was throttled to 25Mbps, but still unlimited, I'd say that was good service. However if it was 50Mbps and dropped to 50kbps then I'd say it sucked.

      But for PR reasons I'd rather let the current service agreement run out and then implement throttling when the sign up for a new service agreement (unless Verizon was so stupid as to provide a lifetime contract).

    2. Re:Except,,, by Bryan+Ischo · · Score: 3, Interesting

      Too true. And when I go to an all-you-can-eat restaurant, I expect to be able to take the entirety of all of the food in the buffet, throw it in garbage bags, and carry them to my table, denying everyone else in the restaurant anything to eat.

      Yeah, that works.

      You know what really works? People using common sense and realizing that there is no such thing as "unlimited" bandwidth, food, or anything else. When such services are advertised I think we all realize, or at least the reasonable among us realize, that "unlimted" means "much more than the average consumer would utilize, and thus from the perspective of the average consumer, unlimited", not "as much as you can possibly use".

      Who doesn't realize that limiting the highest users is sometimes necessary to ensure quality of service for everyone? Hey I paid my Verizon bill too, how come my service is slower because some dork has to torrent down 100 movies per month to add to his never-watched "collection"? Shouldn't I be complaining also about not getting the quality of service *I* paid for?

    3. Re:Except,,, by jeIIomizer · · Score: 3, Insightful

      You know what really works? People using common sense and realizing that there is no such thing as "unlimited" bandwidth, food, or anything else.

      Then stop advertising it as such. "common sense" is nonsense, and I'm tired of people using a phrase that could literally mean anything. Popularity is irrelevant, and since what is believed to be "common sense" is often nonsensical, it's just not a very good term.

      --
      If something is so important that you feel the need to post it on the internet... It probably isn't that important.
    4. Re:Except,,, by drinkypoo · · Score: 3, Insightful

      Too true. And when I go to an all-you-can-eat restaurant, I expect to be able to take the entirety of all of the food in the buffet, throw it in garbage bags, and carry them to my table, denying everyone else in the restaurant anything to eat.

      That's a dumb metaphor, because the customers are using provided plates. It's like they're providing you a plate the size of your table, then insisting you put no more than one cup of food on it at a time.

      --
      "You're right," Fisheye says. "I should have set it on 'whip' or 'chop.'"
  4. Re:Kinda like - by Anonymous Coward · · Score: 5, Insightful

    No, it would be like buying a bus pass but then being told you're using it too much so they won't let you on the bus as an "incentive" to ride less.

  5. This would all be resolved... by Anonymous Coward · · Score: 5, Insightful

    ...if the government would just cut the crap, close the loophole, and apply the common carrier designation to these greedy service providers.

    Unfortunately, America is the greatest country in the world that money can buy.

  6. More Like -- by dcollins · · Score: 3, Insightful

    Getting in the car and finding that Chris Christie shut down most of the lanes to gain political leverage.

    --
    We know where leadership by an anti-intellectual "strongman" who scapegoats minorities and likes boisterous rallies goes
  7. cretinous because by Anonymous Coward · · Score: 5, Insightful

    All they need to do is state a limit (200G 500G, 2T?, ...) at which throttling will kick in, and stop lying about 'unlimited'. American corporations are so addicted to getting away with telling lies that they don't seem to even know when they're doingit.

    1. Re:cretinous because by s4m7 · · Score: 2

      Well, that's exactly what they're doing. The problem is they're doing it to those of us users who already have unlimited plans which they don't sell anymore, but are paying month to month and buying phones elsewhere to keep our contracts from being re-written. They won't be throttling the new "unlimited" customers because there aren't any.

      --
      This comment is fully compliant with RFC 527.
    2. Re: cretinous because by tysonedwards · · Score: 2

      "I have altered the deal. Pray that I do not alter it further."

      --
      Thirty four characters live here.
    3. Re: cretinous because by Stolpskott · · Score: 2

      I cannot decide on the best response to that:

      "You will never find a more wretched hive of scum and villainy. We must be cautious.”

      “Who’s the more foolish; the fool, or the fool who follows him?”

      or maybe...

      "If they follow standard Imperial procedure, they’ll dump their garbage before they go to light-speed. Then we just float away.” “With the rest of the garbage.”

      However, whatever the response is, Verizon will come back with one of these:

      “So what I told you was true from a certain point of view.”
      “Only at the end do you realize the power of the Dark Side.”

  8. Funny by TheDarkMaster · · Score: 3, Insightful

    So... In short, the company wants me to pay full price for the service and expect me to not use it? I pay for a car, but I can not use it? Ok, I give up trying to understand the humans...

    --
    Religion: The greatest weapon of mass destruction of all time
    1. Re:Funny by fnj · · Score: 2

      Reality check. There are no elections being sold. There is only advertising/PR being sold on behalf of candidates. If the voting public is so goddam fucking stupid as to be swayed like sheep by political advertisements, they are getting PRECISELY the government they deserve. As a block, not as individuals, unfortunately. The voters who have functioning intellect are being sold down the river by the voters who are ignorant, stupid, and selfish bastards. Just assign the blame where it belongs.

  9. Equal Share of Bandwidth by bondsbw · · Score: 3, Interesting

    Do the top users somehow get 100 Mbps during a time when I can only get 2 Mbps? If so, why is this allowed? If not, why is it a problem?

    I don't recall any wireless service claiming that unlimited data would guarantee unlimited bandwidth (which is physically impossible). They usually use terms like "up to X Mbps", based on various factors such as signal strength and usage... so during peak times, everyone's bandwidth goes down equally.

    --
    All my liberal friends think I'm a conservative, all my conservative friends think I'm a liberal.
    1. Re:Equal Share of Bandwidth by dunkindave · · Score: 5, Informative

      Except what Verizon is doing is throttling only people with "unlimited" plans during peak times. People on paid usage plans are not subject to the same throttling. This isn't apparent throttling because of congestion, this is Verizon actively saying that because you have an unlimited plan, they will not allow you to use the available bandwidth, while if you drop the unlimited plan and subscribe to a metered plan then you CAN use the available bandwidth. Unfortunately the quote by the Commissioner is being dropped in these later articles where he said that he can see no legitimate claim for reasonable network management to be based on which plan a user subscribes to.

  10. Re:Kinda like - by mysidia · · Score: 2

    so they won't let you on the bus as an "incentive" to ride less.

    They'll let you on the bus. But they will always force you to get off at the next stop and drive away, so you have to wait for the next bus, in order to get to your destination.

  11. Re:And the FCC will do... by tarball · · Score: 2

    So no comments?

    This is a bipartisan problem. Both sides are lobbied.

    tarball

    --
    I hate sigs, and refuse to have one.
  12. Re:I don't buy it by Austerity+Empowers · · Score: 2

    If you lie about lying that's like telling the truth.

  13. Loony as a tune by jtownatpunk.net · · Score: 5, Informative

    Verizon is just plain psychotic. When they were advertising the upcoming 4G LTE service years ago, their advertising copy said users would be able to stream video and download HD movies. All kinds of wonderful things that weren't possible with the new caps they'd put on 3G. Then they rolled out LTE with the same caps as 3G. So, sure you could download Air Bud in HD but that'd be your data for the month.

    Now they're all excited about XLTE doubling (or more) the speed available thru Verizon's network. I've seen those speeds and they're amazing. Absolutely freaking amazing. And totally useless to anyone without an unlimited account. WTF is a new customer supposed to do with 80 Mb/s down and 40 Mb/s up? That's the kind of speed I saw near Atlanta. Holy Hell, that's fast. Faster than any wired service I've had. And totally useless if you can only move 2 gigs a month. Why are they spending all this money speeding up their network when it's wasted on their customers. It's crazy.

    And the numbers Verizon is throwing around don't make a lick of sense. (Of course, I can't find the exact numbers now so I'll guestimate.) They say around 20% of their customer base still has unlimited data. They say 95% of those people use less than 5 gigs of data per billing cycle. If those two statements are true, why is Verizon upset? They should be ecstatic. They cut off unlimited data in 2010 so they're claiming an amazing retention rate. And the vast, vast, vast majority of those people are overpaying for what they use. And they're paying full MSRP for unsubsidized equipment. Why on earth would Verizon want to rock that boat?

    1. Re:Loony as a tune by Opportunist · · Score: 2

      Just to force a car analogy, what good is a Ferrari if all you get is a gallon of gas?

      --
      We used to have a Bill of Rights. Now, with the rights gone, all we have left is the bill.
  14. Well there is an issue with cellphones by Sycraft-fu · · Score: 2

    You may remember the Shannonâ"Hartley theorem from engineering class as it relates to the bandwidth of a given channel. Well with radio transmission, this becomes something you really have to think about. SNR is set by environmental noise and FCC transmission limits. Spectrum is something you only have a license to a small amount of. As such, the total bandwidth you can put out has a hard limit on it. Everyone on a tower shares that bandwidth and there's just nothing you can do to increase it. You can't "lay more fiber" or "use another laser" or anything like that which you can do on wired connections. On a given segment, there is just only so much bandwidth nature and regulations will let you have.

    So the more grabby people get with that bandwidth, the less there is to go around. If someone is using as much as they can because they have their phone hooked to their computer doing torrents, that slows everyone else down, even if you are are just using it in small spurts to check your e-mail.

    That's the thing with RF communications. There is only so much spectrum that is useful (different frequencies have different transmission characteristics), everyone wants a piece, so there is only so much you can get, and everyone on a given system shares the same stuff. You have to share and play nice, you can't just build out more capacity to easily solve the problem.

    It is realistic to tell a cable company with an overloaded segment "just allocate more channels to DOCSIS" because they can do that. They have the bandwidth on the wire. You can't tell the phone company "just use more spectrum" because they only have so much they are licensed to use.

    1. Re:Well there is an issue with cellphones by currently_awake · · Score: 2

      Available user bandwidth = total tower bandwidth / number of users. Given that total tower bandwidth is limited by spectrum allocation the easiest way to increase user bandwidth is to reduce the service radius of the towers (by having more towers, each cell smaller) so that the number of users per tower is smaller. The cheapest way is to throttle users. If the cell companies don't feel like spending to upgrade their network to be sufficient to handle what they are selling then they should find a way to get rid of those pesky unlimited contracts and meter everyone.

  15. Keep voting, sheep by ourlovecanlastforeve · · Score: 5, Insightful

    What I don't understand is how we're still allowing carriers to call their service "unlimited."

    When I pay my water bill and I am told I get unlimited water, I don't expect the water company to decrease the flow of water to a trickle if I take too many showers.

    If they did that, there would be an uprising.

    When I pay the electric company for electricity I don't expect them to decrease the voltage on my line if I leave the TV on while I'm sleeping.

    So... how is it that Verizon gets to tell me I am paying for unlimited data, but not provide unlimited data?

    Where is the uprising for this lie?

  16. Re:just call it what it is by Damarkus13 · · Score: 2

    They haven't offered unlimited plans for years now. This is about customers who are still on unlimited plans and haven't yet "upgraded" to a paid usage plan. These people are not in any sort of long term contract. Verizon could simply tell them, "Your unlimited plan is gone, pick a currently offered plan," but they don't want to deal with the PR nightmare that would spawn.

  17. Re:And the FCC will do... by amiga3D · · Score: 2

    It's congress that's the problem, not so much the executive branch in this case. Congress needs to gut these bastards but then they'd lose all the free trips and whores they've been provided.

  18. Re:Kill auto-play videos by Mr+Z · · Score: 2

    Oh, and give me a way to say "Never play a video under any circumstances, unless I explicitly say 'play this video.'" KTHXBYE.

  19. Sell BandWIDTH not data by sirlark · · Score: 3

    What I don't understand is why they don't just make everyone's life easier and sell the unlimited plans by bandwidth, not 'data limit', i.e. unlimited 1Gb/s costs X, unlimited 2Gb/s costs more etc. Pay for your speed, and never sell more than some fraction of a towers total bandwidth, so that two or three big down loaders at once don't clobber everyone else.

    1. Re:Sell BandWIDTH not data by TheRaven64 · · Score: 2, Interesting

      Because guaranteed bandwidth is expensive. Let's say you have a 1GB/s pipe from an exchange. That exchange services 100 users. You can offer them each 10Mb/s connections that you can guarantee that they'll be able to saturate. Most of the users won't be using it all of the time though, so you could offer them 20Mb/s and still be pretty confident that they'd all be able to saturate it when they wanted to. Even at 50Mb/s you'd probably be able to, but now there's the potential for 20 of the 100 users to consume all of the bandwidth, so you're a bit closer to a sensible limit.

      Now, the sensible thing to do would be advertise two speeds, the guaranteed speed and the maximum speed. Unfortunately, this is really easy to game. An ISP would say 'well, we have a 1GB/s link, so we'll guarantee 10Mb/s and set the maximum to 1GB/s'. Then, however, no one would ever see the maximum. ISPs used to advertise contention ratios on ADSL, but they stopped for this reason: your 1:50 contention ratio looks really bad next to your competitor's 1:10 contention ratio, but they don't advertise that the contended link for them is a tenth the speed of yours.

      --
      I am TheRaven on Soylent News
    2. Re:Sell BandWIDTH not data by droptone · · Score: 2

      ISPs used to advertise contention ratios on ADSL, but they stopped for this reason: your 1:50 contention ratio looks really bad next to your competitor's 1:10 contention ratio, but they don't advertise that the contended link for them is a tenth the speed of yours.

      This only matters when there's competition tho...

      --
      Every post I make begins with the assumption P=~P.
    3. Re:Sell BandWIDTH not data by gstoddart · · Score: 2

      What I don't understand is why they don't just make everyone's life easier and sell the unlimited plans by bandwidth, not 'data limit'

      Because, selling more than what you have is profitable, and selling what you have is less so, and requires honesty in advertising.

      What they're saying is that "unlimited" is a marketing term which really means "a bunch, but probably not as much as you think it means, and definitely not actually unlimited".

      This is giving shittier service and claiming it's for your own good.

      --
      Lost at C:>. Found at C.
  20. Re:Kinda like - by N1AK · · Score: 2

    Since we're in bad analogies, how about buying a bus pass and then having to wait for the next bus because the first one is full.

    I know you said bad analogies, but there's bad and false. In this case the bus isn't 'full' they're stopping you getting on the bus, which has spaces, so that they can ensure there is space for other bus pass holders that have used their pass less in the last few days.

  21. Re:Kill auto-play videos by Teun · · Score: 2

    I see you need APK's hosts file :)

    --
    "The likes of Facebook and WhatsApp are free to those whose privacy is of zero value."
  22. Throttling users it the least of all evils by scamper_22 · · Score: 2

    Network management is a real thing. Like any network (internet, roads, trains...) you need to manage it for load/safety...

    Unlimited usage simply means that you can use it as much as you want.

    I can use the public roads as much as I want. It doesn't mean there are no traffic lights, accidents, speed limits, speed bumps...

    Throttling is going to happen. The only thing that matters is what kind.

    Throttling specific content is probably bad policy as you can run into anti-competitive practice. Things like throttling netflix traffic as a cable company.

    Throttling heavy users as network capacity becomes an issue (maybe > 70%) is probably quite sane.

    This allows a simple billing policy as well. You don't need to worry about overage charges or anything like that.

  23. Re:Kill auto-play videos by ruir · · Score: 2

    I was forgetting the HTML 5 part...you maybe onto something. Dummy me have not remembered it sooner. Probably it is enough to block the video tag...