They don’t get it
The cable and telco companies of course. Which is nothing new really. Who does business with comcast or verizon because they want to? The reality is many of us use these providers for broadband, or tv, or voice, because we don’t have a choice, not because of the outstanding service they provide or the quality of their offerings.
So now Time Warner is making a move that can only be intended to a) stifle innovation and growth, b) prove they have perfected time travel by taking us back 12 years, c) ensure new competition will arise and drive them out of business eventually, or d) just plain mock the consumer by flexing their almost monopoly over certain markets. TW has decided that us pesky consumers may actually be getting a fair value out of their service. So they have decided to limit bandwidth and charge for excessive use. Sure.
How about a better idea. Instead of trying to capitalize from the business model of iTunes by getting your cut for movies consumers are going to download - offer a viable service yourself? Then you could get all the profit. Think about it. Why can’t a company like TW, or maybe Verizon give us a great service, with a useable interface and a forward thinking product roadmap for all of our digital needs? $99 gets you voice, internet, TV, 3 movie rentals, and 5 songs per month. Additional movies/songs/programming/voice lines etc are available at an incremental charge. And trust me, if the charge is fair, and the application viable, we will us it all day long…
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