Providers should pay no mind to the cap

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One of the great anomalies of the Australian broadband industry is the existence of usage caps, which around the world are virtually non-existent.

In the US, some internet providers have talked of a 250 gigabytes-a-month limit. That has led to consumer outrage that forced those providers to desist lest they lose customers. This is despite the fact only 0.003 per cent of US broadband users exceed that level - just 0.21 percent exceed 100GB.

To an outsider, the Australian system seems very strange. Telstra boasts a basic package on its BigPond Cable Extreme network that, for $39.95 a month, gives 200 megabytes in usage. At Telstra's boasted 30MB a second speeds, that amounts to a minute of high quality video downloads.…   [Read Full Text]