Feb

AT&T-How Not to do Business

So what does a major telcom do when it finds it’s DSL business flagging? Why raise the price for those particular services by $5.00 dollars that’s what they do. AT&T is in the news again by making it’s already flagging, poor quality broadband services even worse by increasing the price of those services. Makes sense to me…

AT&T has increased the price of its DSL service by $5 a month as the company faces slowing broadband growth, the company confirmed Tuesday.

The pricing change will apply to existing and new customers in AT&T’s original 13-state territory who subscribe to one of AT&T’s three lower-speed tiers of service.

Source: Cnet News: AT&T jacks up DSL price $5 per month

Now if I remember correctly, the proper way to do business when you find your value slipping and your customers thinning out is to lower prices or at least keep them the same? Maybe offer a few new sign up perks in hope of attracting more business? No, of course not…you raise prices instead, that makes sense?!? AT&T hardly has what you might call a sterling reputation that they can fall back on and raising it’s DSL prices to me is like stabbing yourself in the heart and slicing your wrists at the same time just in case you miss the first target. Is there anyone actually thinking in that company? Apparently not.

Hey Cable companies! Now’s the time to start offering lower prices for your Internet hookups. You could really put the hurts on those obviously highly educated, business savvy execs at AT&T.