The National Cable and Telecommunications Association said on Monday that its subscribers will no long have to pay more than $50 a month to access their cable, broadband and phone services, and that the agency will no more pay $250 per month for those services, which are included in the monthly fee.
That is about $2,500 per subscriber, according to NCTA.
The agency will now ask that customers pay a monthly fee of $25 to $40 per month, and they will receive $1.25 to 1.75 cents per megabyte of data per month.
That is a drop in the bucket compared to other services.
NCTI said it will be making other changes to its services as well, including reducing the monthly fees to $10 per month and eliminating the monthly data cap for Internet plans.
“As consumers continue to use more devices and more apps, our service revenue has fallen behind inflation,” NCTAs chief financial officer Chris Farr said in a statement.
“Our customers will no doubt be upset about the drop in revenue.
Our goal is to provide our customers with the same high-quality, affordable services they deserve.”
“NCTA is committed to delivering a customer experience that meets their needs, while continuing to drive up our industry’s growth,” Farr added.
The agency’s announcement comes a week after Verizon announced that it was ending a five-year contract with the group, ending a $600 million contract that was due to expire at the end of March.
The companies announced that Verizon would no longer offer Internet and phone plans.
Verizon said it would now be offering plans that include voice and video services.
The move was expected to cost Verizon $1 billion a year in revenue for the next five years.
The NCTL, which represents the nation’s largest telephone and broadband providers, has been in talks with the Federal Communications Commission to negotiate a new contract with NCTs.
NCPAs chief operating officer Michael Hulbert said last week that a deal would be reached in the coming weeks.