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Time Warner tests 'lite' broadband as retention tool

Thu, 07/15/2004 - 8:00pm
Jeff Baumgartner

Time Warner Cable confirmed an earlier report that the MSO is testing out a "lite" cable modem product as part of a strategy to retain customers who do not want to buck up for the flagship Road Runner service.

MSO spokesman Mark Harrad confirmed the operator is testing the product in Rochester, N.Y., as well as in the MSO's Columbus, Cincinnati, and San Antonio divisions.

In Rochester, Time Warner's lite offering runs $22.95 per month for a service that caps speeds at 256 kbps down/128 kbps up. The MSO is trying out other price points and speed packages in the other test markets, Harrad said. DSL Reports noted that 384 kbps and 1 Mbps downstream caps have also entered the discussion.

Time Warner Cable is not openly marketing the lower priced service, but is offering it to customers who can't afford or don't need the speeds of the traditional Road Runner service, which offers 3 Mbps down/384 kbps up for $44.95 per month.

"It's not being offered widely. It's being used as a save tactic," Harrad said.

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