- Comcast rolled out new broadband prices as it keeps dealing with subscriber losses
- Analysts are skeptical that consumers are actually getting the best deal
- Cable continues to feel the heat from increased fiber competition
It’s hard to argue Comcast is down bad when it comes to keeping broadband subscribers. The operator is doubling down on pricing to try and address that, but analysts said it still has its work cut out.
After shedding a whopping 199,000 broadband customers in Q1 2025, Comcast has launched new internet plans across the country touting “simple, predictable pricing” for four speed tiers: 300 Mbps, 500-meg, 1 Gbps and 2 Gbps.
Despite the various bells and whistles, like unlimited data and the option to get a five-year price lock, Comcast’s changes still leave something to be desired for the customer, according to Roger Entner, principal at Recon Analytics.
“Comcast continues to play shell games with its customers by giving them three rate cards,” he told Fierce. “Prudent customers who keep an eye on their calendar get the 1-year guarantee price, call in every year and fight with customer service to renew at an attractive rate.”
If customers don’t want to renew their plans annually, they can get the five-year price guarantee, which Entner noted is still a “very good rate.” Comcast in April introduced a plan with a five-year price lock, starting at $55/month with no annual contract required.
The operator followed Charter’s footsteps in terms of updating its pricing strategy. Charter last year rolled out new broadband bundles with higher starting speeds and guaranteed pricing for up to three years.
However, Entner pointed out Comcast’s “everyday” (i.e., non-promotional) pricing “is essentially a tax on the lazy.” The everyday price for the 300-meg tier is $70, which costs $15 more than the same plan with the five-year price lock.
“After the introduction of the 5-year guarantee I had high hopes that this would become the new everyday price, but once again these hopes were dashed,” he said.
Comcast may be stepping up on price transparency, but it’s “sticking with a construct consumers hate – even when they know the increase is coming,” said New Street Research analyst Jonathan Chaplin in a note for investors.
For example, customers who take the 1-year guarantee get “a steep discount” on broadband for the first year, as the offer includes a free Wi-Fi gateway and complimentary mobile line for one year.
The problem is how much they’ll have to pay afterwards. Customers taking the 1-gig tier will see their broadband price “double from $50 to $100" after the first year.
Nevertheless, Chaplin thinks Comcast is steadily inching in the right direction to improve broadband net adds.
“The way they lay their plans out on the website is the best we have seen for them or the rest of the industry,” he added.
We’ll have to see if these price plays impact Comcast’s Q2 results later this month.
Meanwhile, the cable industry will continue to feel the burn from fiber competitors, now that AT&T is buying Lumen’s Mass Markets biz and T-Mobile expanded its nationwide fiber footprint.
“Broadband competition should remain near peak levels for years with sustained fiber builds of +6-7M annual passings,” said Wolfe Research analysts in a recent note on the telecom market outlook.