Netflix has admitted to throttling video speeds for AT&T and Verizon users. Apparently, the streaming service has done this for five years.
CNET reported that the company has owned up to slowing down the speed and lowering the quality of its videos for AT&T and Verizon users. This came after the wireless carriers were accused of controlling the video speeds on their networks.
Netflix has been slowing its transmission on wireless carriers around the world for five years. It was said that the company did this to "protect consumers from exceeding mobile data caps."
The streaming service will soon allow its subscribers to manage the settings themselves. This May, the Netflix mobile app will soon have a "data saver" feature which would let them choose the quality of the videos they will stream based on their data plan.
"We believe restrictive data caps are bad for consumers and the Internet in general, creating a dilemma for those who increasingly rely on their mobile devices for entertainment, work and more," Netflix said in a blog post. "So in an effort to protect our members from overage charges when they exceed mobile data caps, our default bitrate for viewing over mobile networks has been capped globally at 600 kilobits per second."
Content companies like Netflix reportedly are not bound by the Net Neutrality rules approved by the Federal Communications Commission. According to USA Today, T-Mobile CEO John Legere claimed that AT&T and Verizon were throttling video speeds for their users. The wireless carriers denied the allegations.
"We're outraged to learn that Netflix is apparently throttling video for their AT&T customers without their knowledge or consent," AT&T's head of legislative affairs Jim Cicconi said. Verizon has not issued a statement on the matter.
"It's about striking a balance that ensures a good streaming experience while avoiding unplanned fines from mobile providers," Netflix added. "As we develop new technologies, we want to give all our members the choice to adjust their data consumption settings based on their video preferences and sensitivity to their ISPs data overage charges."