It is a gateway rather than just a normal modem. I understand the charge. Their default router is a Cisco DPC3939 with the voice option which already retails at

It is a gateway rather than just a normal modem. I understand the charge. Their default router is a Cisco DPC3939 with the voice option which already retails at a high price. They buy it in bulk, but it's still likely in the upper double-digit range on a year-long contract. They probably don't make an actual profit until you're 75% through your initial contract then it's just cash. Overall, I think a lot of people go far as to look at the prices then balk and back out or just don't even want to deal with it. Comcast also have a strict list of modems and gateways they will approve to use their network.