Cox Rolls Out a Low-Cost Package
Posted by Steve Fravel on Sunday, January 29, 2012 · 
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As American consumers find themselves with less discretionary income and more video choices, large cable operators are seeking new ways to attract and retain subscribers. Last year, Time Warner Cable rolled out a $29.99 TV Essentials plan and Comcast soon followed with a $24.95 offering. It is worth noting that neither line-up includes ESPN, often the most expensive of the program networks.
This past week, Cox Cable followed suit and un-wrapped a new collection called TV Economy priced at $34.99. It also does not include ESPN. When comparing the low-cost packages with the typical expanded basic packages that might run in the $60 to $80 per month range, the multi-system operators may have created a small “bridge” to get them past the continued drain due to high consumer retail rates.
Looking ahead, one must wonder if consumers will be willing to forgo access to certain expensive programming in exchange for lower video bills. Time and continued package modification will tell.
Industry Demands Scrutiny of Verizon-Cable Agreements
Posted by Jesse Ward on Monday, January 23, 2012 · ·
Last week Comcast and Verizon Wireless announced that they will launch a new marketing program in Seattle and Portland, Ore., selling their respective services to the other’s customers.
This is the first marketing promotion under the new landmark partnership which was announced last month, whereby Verizon Wireless agreed to pay $3.6 billion to a consortium of cable providers for 122 advanced wireless services (AWS) spectrum licenses covering approximately 259 million people, or more than 85% of the U.S. population. Additionally, the cable companies and Verizon Wireless entered into a joint re-sale, marketing and technology development agreement. Separately, just a few days later, Verizon Wireless entered into an similar agreement with Cox Communications to purchase 20 MHz of AWS spectrum licenses covering 28 million POPs for $315 million. Read more
Fall Out from the SpectrumCo./Verizon Wireless Deal
Posted by Jesse Ward on Monday, December 12, 2011 · ·
The industry continues to experience fall-out from Verizon’s recently announced spectrum purchase and joint sales, technology and marketing partnership with the cable industry.
Comcast is moving quickly. While the spectrum sale will likely take up to 12 months to receive regulatory approval, Comcast Cable President Neil Smit announced last week that the cable company will begin bundling Verizon Wireless services in four markets in early 2012. ”The teams are already engaged; they are great commercial arrangements and we think we’ve put together great packages that combine the best of the various bundles,” Smit said, while speaking at a UBS investor conference. Read more
Verizon to Acquire Large Chunk of AWS Spectrum via Cable Companies
Posted by Jesse Ward on Monday, December 5, 2011 · ·
Verizon Wireless announced last Friday that it has agreed to pay $3.6 billion to a consortium of cable providers for 122 advanced wireless services (AWS) spectrum licenses covering approximately 259 million people, or more than 85% of the U.S. population.
As part of the purchase agreement with SpectrumCo LLC — a joint venture controlled by Comcast Corp. which includes Time Warner Cable, Inc. and Bright House Networks -– the cable companies will be able to re-sell Verizon Wireless services on a wholesale basis, adding wireless to their service bundles. For its part, Verizon Wireless also will be able to sell the cable companies’ services. It’s unclear at this time if Verizon will choose to market the cable companies’ wired services in areas where is also is the incumbent telco.
Additionally, the cable companies and Verizon Wireless said that they “have formed an innovation technology joint venture for the development of technology to better integrate wireline and wireless products and services.” Read more
XBox 360 to Offer FiOS, Xfinity On-Demand Content
Posted by Jesse Ward on Friday, October 7, 2011 · ·
As had been rumored for some time, Microsoft announced yesterday that it will expand the video content available over its Xbox Live system to pay-TV subscribers in most major markets. Microsoft has deals in place with nearly 40 entertainment providers including AT&T, Comcast and Verizon FiOS, as well as Bravo, ESPN, HBO GO and Syfy. This is in addition to the inherent gaming services and previously announced content from Hulu Plus, Netflix and Google’s YouTube which are available on the Xbox.
Pay-TV subscribers will need to authenticate in order to access the content through the Xbox system. In general, users also will need to subscribe to video and broadband services from their traditional service provider (in other words, cord cutting is not an option), and subscribe to a $60 per year Xbox Live Gold membership. (Microsoft confirmed today that only a small amount of content will be available on the Xbox without authentication and Xbox Gold status.) Read more
AT&T Gets Out of the ESPN 3D Game
Posted by Josh Seidemann on Friday, August 5, 2011 · ·
UVERSE sports fans searching for a football to fly through their living rooms will be bereft of that thrill now that AT&T has terminated its contract for ESPN 3D. AT&T cited a confluence of high prices and low demand.
ESPN 3D was introduced in 2010 and has covered the FIFA World Cup, NBA Finals, NCAA football and basketball and Major League Baseball. But despite the assumed thrill of being at the center of the action, too few AT&T customers were interested in paying $10 per month to experience it. Read more
Apple Considers Hulu
Posted by Steve Fravel on Friday, July 22, 2011 · ·
Although the company declined to publicly comment, Apple is said to be in discussions concerning a possible bid for online video site Hulu. Last week, the owners of Hulu — Walt Disney Co., News Corp., Comcast and NBC Universal — confirmed that the ownership of Hulu was definitely in play.
A possible Hulu acquisition would provide Apple with a new subscription service featuring more video. Currently Apple provides video for it’s popular iTunes customers on an on-demand rental basis rather than a subscription. Comcast, Disney and News Corp. have built a program rights extension of five years into the sale, creating a strong potential alternative to Netflix.
Estimates are that Hulu will command more than $2 billion.
For more, see this Bloomberg News article.