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In Long Island, For $99 a Month, 100 Mbps Broadband Arrives

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Cablevision (s CVC), the Bethpage, N.Y.-based cable and Internet service provider, has continued its tradition of being a cable industry innovator by introducing 100-megabits-per-second service in Long Island. The service, dubbed Optimum Online Ultra, utilizes DOCSIS 3.0 technology to deliver the ultra-broadband experience over cable’s wires and comes with ability to send data upstream at 15 Mbps. It starts at $99 a month, will be available starting May 11 and will be the fastest service from a cable provider anywhere in the U.S.

Cablevision is facing intense competition right in its own backyard from Verizon (s vz), which has ramped up the availability of its FiOS fiber broadband in the areas where it’s allowed to sell broadband. The cable company has responded by constantly upgrading its network and offering higher speeds and recently started offering free Wi-Fi to its customers. Cablevision also announced that it was doubling the downstream speed of its Optimum Wi-Fi wireless Internet service, to up to 3.0 Mbps. From the company’s press release:

Optimum Online has achieved a broadband market share in Cablevision’s service area of more than 75 percent, and is the most highly-penetrated high-speed Internet service in the country, used by more than 52 percent of the homes passed by Cablevision’s network.

Cablevision’s attitude to broadband is in sharp contrast to those of its peers in the cable business. The company has not announced any plans for metered broadband and has been consistently offering more speeds for lower prices. Time Warner Cable (s TWC) continues to come up with excuses while Comcast (s CMSCA) has implemented a 250 GB bandwidth cap. Comcast recently launched a 50 Mbps broadband offering in parts of the San Francisco Bay Area and other cities around the country. Many carriers are looking at boosting speeds as a way to overcome the broadband slowdown that has come with a moribund economy.

30 Responses to “In Long Island, For $99 a Month, 100 Mbps Broadband Arrives”

  1. The 100 mbit/s doesn’t matter. It’s a cable connection and there isn’t a single cable provider which doesn’t use traffic shaping. I already made the choice between 120 mbit/s DOCSIS3 and 20 mbit DSL here and no way I’m getting a heavily traffic shaped cable connection, no matter what the speed is. But I’m sure some people will like it, if only for being able to get 100 mbit at speedtests to show off. Because for some reason the providers never shape those connections ;).

    • DG Lewis

      NJ has a statewide cable franchise law, but I believe NY still works on a municipal level.

      However, even in NJ where franchise law allows it, I don’t think Cablevision is likely to overbuild Comcast or TWC.

  2. Andreas

    Wow I really feel sorry for internet users in the US.
    I have had 100 mbit up and 100mbit down to my apartment for the last 5 years and I pay $29 a month for that.
    And in Sweden that isn’t something extaordinary. In fact I can get 1 Gbit (up and down) to my apartment for $99 if I like.

  3. See when companies are in competition speed get higher and prices lower.

    When there is no competition over charge and then start talking about traffic caps and bandwidth metering I’m looking at you Time Warner and Comcast.

  4. Amazing what real competition will do.

    How do we instill competition where comfortable duopolies exist today? Copper AND coaxial last mile re/unbundling? Ideas?

    I don’t think regulation is the answer…

  5. This is awesome. This how the broadband companies should compete for us users which in the end everybody’s the winners. Seriously, TWC and Comcast should be out of business for all that “cap” and “metered” craps.

  6. I’ll have to see if this (or at least something usable) is available when I am back on the Jersey Shore this summer. Where my families house sits we have been pathetically served by the Telcos. Last summer we had a bit of competition to see whose connection would fail fastest as we walked around the house with phones on T-Mobile, AT&T and Verizon. It was bad.

    Sadly, the Verizon DSL connection is abysmal too (hello 15,000 feet!)