Broadband power users explode, making data caps more profitable for ISPs

An illustration of $100 bills being sucked into an Internet connection.

Data cap cash. (credit: Aurich Lawson | Getty Images)

The number of broadband "power users"—people who use 1TB or more per month—has doubled over the past year, ensuring that ISPs will be able to make more money from data caps.

In Q3 2020, 8.8 percent of broadband subscribers used at least 1TB per month, up from 4.2 percent in Q3 2019, according to a study released yesterday by OpenVault. OpenVault is a vendor that sells a data-usage tracking platform to cable, fiber, and wireless ISPs and has 150 operators as customers worldwide. The 8.8- and 4.2-percent figures refer to US customers only, an OpenVault spokesperson told Ars.

More customers exceeding their data caps will result in more overage charges paid to ISPs that impose monthly data caps. Higher usage can also boost ISP revenue because people using more data tend to subscribe to higher-speed packages.

Read 11 remaining paragraphs | Comments