Subject:    Announcement – Usage charges for certain High Speed customers

This notice is being sent to all Vianet Internet subscribers whose service is provisioned over the Cogeco cable network.

On July 1, 2009 Cogeco will implement Usage Based Billing (UBB) for all its retail Internet customers.  This means that additional fees will be charged for usage that exceeds the monthly usage cap (Gigs of data transfer) allowed under any Internet service plan.  This will affect both subscribers who get their Internet service directly from Cogeco and those like you who receive their Internet service through an independent Internet Service Provider like Vianet.

Cogeco’s main reason for introducing UBB appears to be to control excessive usage.  Cogeco has applied UBB to wholesale ISPs through its filing of Tariff Notice 25.  Vianet has objected to TN25 and to the introduction of UBB at this time for a number of reasons:

-    Cogeco has not demonstrated that there is a congestion problem on their network
-    Cogeco already has means to control excessive usage through warnings and suspension of service.
-    Cogeco’s excess usage rates are  unreasonably exorbitant
-    A cable operator adjacent to Cogeco service areas has eliminated usage caps on all service plans without network degradation.
-    TN25 appears to be attempting to usurp other hearings in effect (ie: TPN 2008-19) in which the CRTC is reviewing the traffic management practices of Internet service providers.

A more complete description of Vianet’s and Cogeco’s positions as well as one other intervener can be viewed at http://www.crtc.gc.ca/8740/eng/2009/c6_25.htm

Since the Commission has already granted interim approval to TN25 (largely due to “an internal administrative mistake” by Cogeco), Vianet must prepare for Cogeco’s implementation of UBB effective July 1, 2009.

The following table lists the service plans and excess usage rates that will be in effect starting July 1, 2009.

CABLE LITE
$29.99/month – up to 640 Kbps download/150 Kbps upload
Monthly combined upload/download usage: 10 GB
Additional Usage Charge: $2.50/GB

CABLE REGULAR
$44.95/month – up to 10 Mbps download/640 Kbps upload
Monthly combined upload/download usage: 60 GB
Additional Usage: $1.50/GB

CABLE PRO
$69.95/month – up to 16 Mbps download/640 Kbps upload
Monthly combined upload/download usage: 100 GB
Additional Usage: $1.00/GB

*prices do not include applicable taxes.

Many customers have no concept of their monthly usage and may be worried that their monthly Internet cost  will increase. The data transfer limits are quite high and most customers will never be charged for additional usage. We are working on creating an online tool to allow subscribers to track their usage through our My Account feature on www.vianet.ca. We hope to have this service available to customers in July, 2009.  If you wish to begin monitoring your usage immediately, we suggest you download ShaPlus Bandwidth Meter. This is a small program which will allow you to track your usage on your desktop in real time. You can obtain this program from the Vianet Support section of our website, http://www.vianet.ca/software.php#utils and click on ShaPlus Bandwidth Meter under the Utilities heading.

As an independent Internet service provider, Vianet is able to provide many high speed options including vStream, DSL and wireless.  Many customers will have multiple high speed options available to them at their location. If the introduction of Usage Based Billing prompts you to look at other high speed options, we urge you to contact your local Vianet office and we will be happy to determine if another service is available for you.

Regards,

Vianet Staff