Moore’s Law in reverse.

In general, over time the performance of technology increases, while the costs of that technology decrease. Except when it comes to telecom/cable providers.

Rogers, a Canadian cable company, is raising their rates across the board:

Rogers, for example, will be raising prices for three of seven high-speed packages – claiming the new rates are being introduced “so we can continue to bring you improvements through innovation, now and in the future”. (Rogers is also raising the price for many of its cable packages, while increasing the “system access fee” for its telephone service by more than 30% to $5.95/month from $4.50.)

The costs never seem to decrease, even though the cable plant probably hasn’t seen much change. I’m not sure what they consider innovation either, because the only new things they’ve introduced are traffic shaping and bandwidth caps, which save them money and do nothing positive for me.

I wonder too why the mobile phone rates never drop either. Is it possible that these companies are just greedy?

I can remember when we paid ridiculously steep prices for long distance service. Then we saw some competition and magically the prices dropped. Perhaps a little competition in this area might help.


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