Optimum vs. HughesNet Internet Providers Compared

Optimum features good speeds but poor customer satisfaction scores

Optimum is a major national cable internet provider. Most of Optimum’s 4.3 million subscribers receive cable internet service. But the ISP is also adding some all-fiber connections in select markets. Optimum is the internet brand name of Altice USA, which rolled the company formerly called Suddenlink into the Optimum brand in 2022 [1]. Altice/Optimum is the 6th-largest ISP in the nation [2]. Optimum seems to check off all the right boxes for many of its offerings. You will have no data caps and no required contracts with Optimum internet plans. You will also get free equipment rental included with your monthly plan price. And Optimum’s prices are good (at least while the promotions last). So why are Optimum’s national customer satisfaction scores so low? We’ll check into that as we give you an overview of what to expect from an Optimum internet connection.

Good initial prices followed by price hikes

Cable internet is the chief type of connection that Optimum provides its customers. Because of improvements to cable internet technology, you can get gigabit download speeds from many cable internet companies like Optimum. You just won’t get the same upload speeds from cable as you will from an all-fiber connection [3]. Whether you get the usual cable service or all-fiber, you will get good prices from Optimum, and those prices will be locked for 2 years. Here’s an example. You’ll pay $40/month for Optimum’s first tier plan, which is up to 300. That is a good price for these speeds. The catch is that after those two years, standard prices will take effect, which will spike your bill higher. That may be why Optimum is seeing year-over-year declines in its cable customers [4]. The price hikes may be pushing people to other options at the end of their two-year promotion.

Hughesnet offers prices similar to Viasat, but often for slower speeds

Hughesnet offers its plans at rates that at first seem comparable to cable or fiber prices. The Hughesnet first-tier satellite internet plan starts at $49.99/month. But there are two catches. First, your initial rate is a promotional rate, and after the first six months, your prices will increase significantly for all plans. Second, you may only get an internet speed up to 50 Mbps download/5 Mbps upload, depending on your service area. This is not high-speed internet by the FCC’s definition [2]. And it is clearly not as fast as the 200-300 Mbps download speed you often get for $50-60/month from a cable or fiber internet plan.

Hughesnet uses soft data caps that may affect your internet speed

A drawback to Hughesnet plans is the use of soft data caps. When you order Hughesnet service, you don’t choose a speed level as you do with other internet types. Instead, you choose your data limit for the month, ranging from 100 GB to 200 GB. If you only surf the internet lightly and use email, you can stay within a 100 GB data limit pretty easily. But if you plan large file uploads, video streaming, or online gaming, the data usage can add up fast. Hughesnet does offer some solutions to help you work with their soft data caps. Their data tokens allow you to purchase extra data at the end of each month if you need more. Nonetheless, having soft data caps will affect how you use the internet. If you consistently need more data tokens, those extra charges may affect your monthly budget. Consider carefully whether you are likely to need more or less data than Hughesnet will allow you under each of their plans. Finally, Hughesnet requires a two-year contract. If you cancel your subscription early, you will pay an early termination fee prorated by the time still left in your contract.

Cable and fiber both provide fast download speeds, but cable's upload speeds are slower

With hybrid fiber-coaxial (HFC) technology, Optimum gives its cable customers gigabit download speeds but much slower upload speeds. That’s typical for cable internet service. Optimum is comparable to other major cable internet providers such as Spectrum and Xfinity, offering upload speeds at a maximum of around 35-50 Mbps. Optimum differs from the cable internet competition because it is also launching into the all-fiber internet market. Optimum’s current fiber internet customer base is small but has doubled in the last couple of years from around 100,000 to over 200,000 subscribers [4]. By 2025, Optimum plans to create over 6.5 million fiber passings [5]. Fiber internet’s most striking advantage over cable internet is that fiber offers symmetrical upload and download speeds. This is a game-changer for online gaming, videoconferencing, and large homes with multiple devices. When Altice merged Suddenlink under the Optimum brand, the company had two distinct “footprints” left from where the old Optimum and Suddenlink coverage had existed. Suddenlink’s coverage area had been primarily in the South and West. Optimum was strong in the Northeast, and particularly in the tri-state area of New York, New Jersey, and Connecticut. Now, the fiber buildout is fastest in that tristate area [1]. Your chances of getting fiber internet from Optimum in the next year or two will be better if you live in the tri-state area.

A Hughesnet internet connection is slower than most other ISPs

The nature of satellite internet technology means that satellite internet has always been different from wired internet in three ways. 1) Slower speeds: Hughesnet’s maximum download speed right now (100 Mbps) is much slower than speeds for fiber and cable internet that can often reach Gigabit speeds (1000 Mbps and up). 2) Weather interference: Bad weather can sometimes cause temporary slowing or outage in a satellite signal. 3) Latency: The distance of a satellite from Earth causes latency, which is a slight delay in data transmission. Despite these drawbacks, satellite service can still give you a solid connection if you live in a rural or underserved area. In today’s digital world, high-speed internet may be your ticket to education, a job, and even medical care. Satellite internet can support high enough speeds to provide you with access to these opportunities. Hughesnet has attempted to address latency with their new Hughesnet Fusion plans, which launched in 2022. This hybrid technology uses a satellite connection but can also route signals through wireless towers when necessary. Hughesnet has not released data to prove lower latency yet. They claim that the latency is 100 ms on their FCC Broadband label. Customers online report higher latency for their Fusion service [3].

No equipment rental fees, free installation with Optimum plans

Optimum will provide your modem/router as part of your monthly plan fee, with no extra rental charge. If you have a compatible cable plan, you may even get a Wi-Fi 6 router, which will give you higher speeds for multiple devices than Wi-Fi 5. Fiber internet plans from Optimum will often include the Wi-Fi 6 gateway as well. If you would rather use your own modem and router, Optimum will allow it. Just be sure to check for compatibility with their specs. Standard installation is free with Optimum plans.

Hughesnet equipment requires initial investment or monthly rental fee

Buying satellite equipment can be expensive. The dish and gateway for Hughesnet Gen 5 plans costs around $350, while Hughesnet Fusion equipment is $450. If you don’t want to invest and would rather try out service first, you can rent the equipment for $15-20 a month. Buying the equipment outright will save you money if you end up using your service for more than 2 years. Hughesnet’s installation is often free, depending on your plan and current promotions. This is a nice bonus and ensures that a technician can get the best angle for your satellite dish. The technician will connect two of your devices in addition to setting up the antenna and modem/router.

Optimum customer satisfaction: the big question mark

With so many seemingly good points to its service and pricing, why has Optimum’s customer satisfaction scored significantly below average according to J.D. Power? [6] A random sampling of online user reviews seems to indicate two major complaints. The first is outages and failure of technical response. The second is a more general dissatisfaction with the phone system, being transferred around to different departments, and getting contradictory responses from different phone reps when trying to solve billing issues. Because this is a fairly even distribution of complaints, it’s likely that Optimum is just not quick enough in responding to customer concerns, whether they be technical or billing-related. We can’t know the reason for this dysfunction. Often, these kinds of responsiveness issues happen when companies are understaffed or have high staff turnover in their customer service. But until Optimum gets better ratings, we have to give them only 3 stars for customer satisfaction.  

Hughesnet customer satisfaction below average

Hughesnet has sometimes received low customer satisfaction ratings both in national surveys and in online reviews. It’s hard to know how much of that response is related to unrealistic customer expectations about satellite internet performance. Certainly, when Hughesnet gets online comments from unsatisfied customers, they tend to focus on internet performance. Meanwhile, remember that while satellite internet service has limitations, it can still provide high-speed internet access when your only alternative is slower DSL or no internet at all.