New York Attorney General Eric Schneiderman has filed a lawsuit against internet provider Charter Communications that alleges that the behemoth company leased old equipment (routers) to customers which could not meet the expectations of customers. “The allegations in today’s lawsuits confirm what many of you have long suspected. Spectrum-Time Warner has been ripping you off,” the NYS Attorney General stated today at a press conference.
The parent company, Spectrum-TWC, is alleged to have lied about internet speeds to customers along with reliability that it knew it could not uphold.
“Spectrum-TWC’s scheme consisted of promising consumers, including its subscribers, that they would obtain throughout their homes the Internet speeds advertised in various subscription plans. Spectrum-TWC failed to deliver on this promise by leasing to a large number of its subscribers older-generation modems and wireless (or ‘Wi-Fi’) routers that it knew were incapable of achieving the promised Internet speeds,” the lawsuit mentions.
The details of the suit show that over 900,000 modems or routers were leased to the customers of the cable company at $10 per modem per month. The issue revolves around the modems being outdated and not being able to get even basic broadband speeds let alone the expected speeds advertised to customers. The company had agreed to replace the modems in a deal with the FCC in July, 2013 but the changes were never implemented which spawned the recent New York state lawsuit.
Schneiderman was reported to detail the low results of the service. Customers who were part of the plan paying $110 per month for 300Mbps service had results of just 85Mbps speed, and $70 plan participants who were due to receive speeds of 100Mbps barely got half of that at 55Mbps.