Comcast Doubles Internet Price Overnight in Nashville
With competition on the way, the cable giant looks to boost its revenue streams
Julian Kurland | November 7, 2016
If you have (or are trying to get) internet service with Comcast in Nashville, you may be in for a surprise on your next bill. Last week Comcast more than doubled the price for “Performance” internet, their most popular internet tier.
Previously, 25Mbps internet from Comcast was offered at $29.99/mo.
Today, that same 25Mbps internet would cost you $66.95/mo.
That’s a 123% price increase for tens of thousands, if not hundreds of thousands of Nashville subscribers.
Generally Comcast hides their price increases behind increased TV surcharges and fees. They’ve even been sued over the practice. However, Internet-only bills don’t have these same fees, which leaves Comcast unable to hide the price hikes on the plan.
This seems like a blatant money-grab from Comcast. Most people don’t have the time to keep up to date with all the new internet plans and prices. They’ll keep whatever service they have, thinking they’re getting the correct price. So for these people, Comcast gets to increase their revenue 123%.
For people that keep a close watch on their bill, Comcast has a separate plan. Comcast has priced some of their higher speed tiers lower than the 25Mbps tier.
You might think that this is evidence that Comcast isn’t trying to charge people more. After all, why would they offer faster internet for less money if they were trying to take advantage?
Though it seems strange, this is actually part of their response to prevent people from switching to Google Fiber. I’ll explain why.
Let’s look at the 300Mbps internet.
The 300Mbps tier is $6.95 less than the 25Mbps. If you’ve got 25Mbps service right now, this seems like a no brainer. You’d get internet that was 12x faster for 10% less.
However, there are several important things that come along with this.
First and foremost, this requires a 36 month contract. 36 months is a long time. If you’re a renter, it’s very likely you won’t be living in the same apartment/home in 36 months, so you won’t be eligible for this contract.
Even if you are eligible for the 36 month contract rate, it means that when a competitor comes to your area sometime in the next 3 years, you won’t be able to switch without paying a hefty early termination fee.
And don’t forget, that $60/mo rate will not last forever. At the end of 36 months you’ll automatically be switched to the ‘everyday rate’ of $99.95.
If you don’t want a 36 month contract (or aren’t eligible for one)? You’ll have to pay that $99.95/mo from Day 1.
On the surface, it looks as though Comcast is offering faster speeds for less money. But, when you dig a bit deeper, it’s a clever ploy to get you paying more for your internet service, no matter what speed you have. For unlucky subscribers that were on the 25Mbps internet tier, your price will soon being going from $29.99/mo to $60, $66.95, or $99.95. Not such a great deal.