Spectrum Charges a Higher Internet Fee on Streets With No Competition
Have you ever talked to your friends and discovered that their internet bill is lower than yours? When there’s competition for services, some internet companies tend to charge lower rates. Spectrum is one of those companies, especially if the competition offers a fiber network that can connect to the home. Sometimes, internet prices can be drastically lower from one street to the next instead of varying in price from one city to another.
How it Works
If there is little competition on a street, Spectrum will usually charge a higher rate to customers who have even the slowest internet speed. If there are customers in a neighborhood who have internet speeds that are the same, then the person who gets internet services from a company that doesn’t have a lot of competition usually pays a higher internet bill than the person who receives services from a company that has more competition. This customer could also see promotions expire sooner than the customer who is with the company that has more competition from others.
Charging by Address
When Spectrum has a new customer who needs internet services, the company looks at the address of the customer. If there are no other companies that offer internet in that area, then the rate will usually be a bit higher. It all depends on the street as some companies might run cable lines throughout a certain area or a certain distance from the broadband source instead of delivering internet services to the entire neighborhood or city. Spectrum typically knows about the other companies that it has to compete with and where they are located in a city. When the company pulls up the exact address of a new customer, then the rates are often adjusted based on whether or not the customer could use another company to get service that’s less expensive. If this is the case, Spectrum will sometimes offer a lower rate for a certain length of time before ending the promotion. This means that the customer could see a significant increase in the price paid for services if there is no other company in the area after a year or two. If there are more companies that offer services after the promotional period, then Spectrum might keep the rates lower.
In an area where Spectrum is the only company that provides internet service, customers will usually see rates that begin at $50 for basic internet. Customers could see this basic amount set at $70 if the nearest internet company is miles away or if competing companies offer slower internet connections. Internet speeds in this situation usually begin at 400 Mbps and increase as customers add onto their plan. Customers a street or two over might see basic internet prices begin at $30 if there is another company available. If there are companies that offer a fiber-optic connection, then Spectrum typically doesn’t offer a promotion because the fiber connection is much faster for customers and usually at a much cheaper price. Spectrum services have been seen close to $100 a month in areas where there isn’t as much competition simply because the company knows that customers don’t have other options available. If customers need internet, then they will likely settle for what they can get, even if they have to pay a higher monthly fee.