Netflix Admits To Throttling Its Own Streams On AT&T, Verizon Wireless Because Data Caps

[dixiegrrrrl]

for the the last five years, Netflix has been capping their own mobile data streams at 600 Kbps on most wireless networks around the world.

The reasoning? If you hit your data cap and get socked with overage fees you won’t be watching any more Netflix this month — and you might cut back in future months, too. Therefore, in the interest of keeping customers watching and subscribing, they throttled the streams.

But wait: Netflix admitted to doing it for Verizon and AT&T customers, but not for T-Mobile or Sprint. Why not? Because “historically those two companies have had more consumer-friendly policies,” Netflix told the WSJ. Specifically, they mean the practice of throttling down data instead of charging overage fees. Watching too much Netflix in one week might mean you can’t for the next three weeks, but it won’t make you broke. And consumers are very sensitive to hits in the wallet region.

https://consumerist.com/2016/03/25/netflix-admits-to-throttling-its-own-streams-on-att-verizon-wireless-because-data-caps/

[Downwinder]

1. Dropped Netflix for this reason.

[underpants]

2. I was discussing this with a co-worker today

I told him I didn't fully understand it. Now I have a much greater understanding. Thanks.

[ananda]

3. If we had a decent FCC and regulation of the providers ...

... streaming data would not be a problem.

[Orrex]

4. No big deal.

Netflix has eliminated most of its streaming movies that were worth watching, so this is actually kind of a favor to AT&T customers.

"But licensing fees!" the apologists will reply.

Sure. They should have taken whatever money they dumped into their Adam Sandler relationship and secured the streaming rights to worthwhile popular films from the past decade.