The price-gouging premiums of Time Warner Cable’s data caps

The price-gouging premiums of Time Warner Cable’s data caps:

Time Warner Cable, stung by online criticism of its paltry traffic caps (in tests, these have ranged form 5GB/month to 40GB/month) and ludicrous pricing schemes, has taken to the ‘Net to defend its sullied honor. But it’s hard to defend a scheme with fees so high they might well meet the legal definition of ‘obscene.’

First, the response: Time Warner Cable COO Landel Hobbs wrote earlier this week of the need for people to pay for the bandwidth they consume. ‘When you go to lunch with a friend, do you split the bill in half if he gets the steak and you have a salad?’ he asked.

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(Via Ars Technica.)