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Netflix believes that several major cable providers are discriminating against it and other streamers by employing data caps to limit usage. The streaming giant is not taking this perceived threat lying down.

According to “a person close to the situation” Netflix is “shopping questions related to data caps to the Senate Commerce Committee members in anticipation of tomorrow’s oversight hearing with all five FCC commissioners,” Comcast, AT&T and TWC apply usage caps to Netflix and other streaming services when usage gets too high, but exempt their own services, a practice Netflix feels is unfair.

Last week, Netflix argued the following in a lobbying call made to the FCC:

“Broadband caps should be applied fairly to all online video sources or eliminated entirely,”

Amazon took the same position last month in front of the Commerce Committee:

“Although internet subscribers should pay for the bandwidth they use, immutable or unrealistically priced data caps could hinder or prevent competitive products and services made possible by online video . . . Consumer choice, without impairment, must be preserved.”

Do you think Netflix and other streamers have a legitimate complaint here? How do you think the Senate is going to respond?

[via The Wrap]

7 Responses to “Netflix Upset Over Cable Provider Data Caps”

  1. Member [Join Now]
    eaglefeather

    ABSOLUTELY!! Count Clearwire in with that group too. I and others have experienced being “throttled” back when our usage of Netflix is deemed too high in spite of the fact that we pay for an UNLIMITED download package! These guys are complete cheats and rip-offs.

  2. Visitor [Join Now]
    JOHN [visitor]

    I agree with eaglefeather completely! Comcast, AT&T, etc are crooks!

  3. Member [Join Now]
    FREE-MOVIE-BIZ.com [free-flixsnow]

    Interesting,

    They are all capping bandwidth, it just so happens that most data hogs are movie download users, so it is obvious these users will be hit first. The same is happening in wireless internet, data bandwidth is shrinking as users are increasing, so we will see more of this in future as I see it unless new data bandwidth is made available by regulators, or new technology is introduced to deal with this fast growing issue. My data speeds have slowed tremendously over the past year. Complain all you want, there is no answer yet.

  4. Member [Join Now]
    ChadCronin [chadcronin]

    I think it’s ironic how all this cable internet companies are advertising faster and faster internet, while wireless is pushing 4G LTE, while at the same time severely capping what you can do. I’m sorry I can reach 4 GB in 1 or 2 days without trying. I’m down for fast speed, but making a faster airplane with a shorter runway makes no sense. I’m not gonna pay $100 a month for 10GB either. Safeties need to be put into place now because what happens once companies no longer want to put out DVD and they want you to stream, it means high costs to rent and buy and even higher for the bandwith, it will make you cry remembering the $5 bin for purchase. I have known for a while this was gonna be an issue and I hope more companies do things like this because without change, alot of internet businesses are gonna be in trouble.

  5. Member [Join Now]
    FREE-MOVIE-BIZ.com [free-flixsnow]

    Agreed,

    Verizon who is my wireless just announced no more unlimited data plans, just as AT&T has done, so this is the sign of the times, and it will only get more expensive as I see it. One by one we see data plans being capped or the charges are going through the roof, so what good is streaming video going to be even if it was set at a lower price, seems useless to talk about it anymore.

  6. Visitor [Join Now]
    DanoFive0 [visitor]

    Yup! I have droped my Cable TV.. All 160 Cha of crap that I did not want. And Now pay up the Butt for my High Speed Net.. About $60.00 + a month..
    I have Netflix Onliine.. No big Probs yet.. But in time I see it on the way..
    Kick down in speed, slow and more.. And then they will charge more for less.
    Sad but true!

  7. Visitor [Join Now]
    Shanae Verstraete [visitor]

    Its a Nice offer but yes you all got a valid point.