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2013/08/02

| 08.02.13 | Cox, Charter merger reportedly pushed by Liberty; Cablevision loses 20K video subs

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August 2, 2013
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This week's sponsor is Alcatel-Lucent.
UnboundID Webinar: Getting started with carrier WiFi - what's it take for a great user experience?
Wednesday, August 27th, 11am ET/ 8am PT

Meeting customer expectations has never been more challenging than it is today. Learn how Alcatel-Lucent OmniAccess™ Wireless LAN switch family and Access Point product line can help you deliver the Wi-Fi solution your customers want and create new revenue streams. Register Today!

Today's Top Stories

  1. Report: Liberty wants to merge Cox with Charter
  2. Cablevision sheds 20K video subs and gains 1K broadband subs in Q2 2013
  3. Cox prepares to launch Contour multiscreen service
  4. Reduced labor costs at Cable One help drive increased operating income
  5. Liberty Global sees increased demand for TiVo and Horizon TV set-tops

Also Noted: Ineoquest
Spotlight On... Netflix using individual profiles to suggest content
Media networks post revenue gain for Viacom; Comcast expands X1 rollout and much more...

Follow @FierceCable on Twitter!

News From the Fierce Network:
1. TDS Telecom revenues rise to $223.4M on strong triple play, managedIP adds
2. Verizon offers cheaper 500 MB Share Everything plan


This week's sponsors are ATEME, Harris Broadcast, Kontron, RAMP and Vubiquity.

eBook | Making Money from Multiscreen

Cable operators and networks are slowly building a platform that could make multiscreen programming and advertising a much bigger business. Learn more today.



Sponsor: Qualcomm

FierceLive! Webinars

> Assuring Customers' Multiscreen and OTT Video Viewing Experience- August 19, 2013, 2 pm ET / 11 am PT
> Getting started with carrier WiFi - what's it take for a great user experience? - August 27th, 11am ET/ 8am PT
> LTE Advanced is here! - Wednesday, August 28th, 1pm ET /10am PT

Events

> TIA 2013 - October 8-10 - Washington D.C.
> TelcoVision 2013 - October 23-25 - Las Vegas, NV

Marketplace

> Whitepaper: Cisco ONE: Framework for the Internet of Everything
> Whitepaper: The Financial Benefit of Cisco's Elastic Core
> Whitepaper: Touch Technology Extends Mobile Gaming
> Whitepaper: New Wi-Fi Business Models Create Real Value for SPs
> Whitepaper: Gain Business Advantages with Service Provider Wi-Fi
> Whitepaper: SP Wi-Fi: Authorization Options for Mobile Network Operators
> eBook: Making Money from Multiscreen
> Whitepaper: Five Steps to Building Visibility and Security Into Your Network

Jobs

> Wireless Store Manager – Florham Park, NJ – Cricket Communications
> Sr. Account Executive – San Diego, CA – Cox Communications
> Inventory Specialist /Revenue Analyst – Oklahoma City, OK – Cox Communications
> Field Auditor I – Rancho Santa Margarita, CA – Cox Communications
> SAS Administrator – Atlanta, CA – Cox Communications
> Senior Director, Technology Delivery Assurance – Atlanta, CA – Cox Communications
> SMB Account Exec (Cox Business) – San Diego, CA – Cox Communications
> Commercial Development Executive – Anywhere – WhistleOut
> Director of Operations Engineering – Tyler, Texas – Suddenlink Communications
> Need a job? Need to hire? Visit FierceWirelessJobs

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Today's Top News

1. Report: Liberty wants to merge Cox with Charter


Liberty Media (Nasdaq: LMCA) executives have held talks with Cox Communications regarding a potential merger with Charter Communications (Nasdaq: CHTR), Bloomberg reported Friday, citing two anonymous sources.

Cox is the third-largest U.S. cable MSO, and counts 6 million subscribers and 22,000 employees. The MSO, which went private in 2004, is controlled by TV station group owner and newspaper publisher Cox Enterprises.

Acquiring Cox could give Charter, which is backed by Liberty and cable pioneer John Malone, another option if it is unable to architect a merger with Time Warner Cable (NYSE: TWC), the Bloomberg report said. And it's worth noting that if the industry evolves to two super MSOs, as Charter CEO Tom Rutledge has predicted, Charter could combine with both Time Warner Cable and Cox.

Malone picked up four seats on Charter's board earlier this year, when Liberty agreed to buy a 27 percent stake in the MSO for $2.62 billion.

Time Warner Cable CEO Glenn Britt addressed the rumors of a potential Charter – Time Warner Cable merger Thursday on the MSO's second-quarter earnings call. "The fact that Time Warner Cable has been at the center of that speculation is really an endorsement of the value of our assets and the company we built. I'm not going to comment further, except to say that, as always, the watchword for us is discipline. Looking for ways to build value for the cable industry, as a whole, consolidation is a worthwhile endeavor, but our objective is, and will continue to be, to build value for our shareholders," Britt said.

Time Warner Cable stock jumped about 3 percent Thursday as investors interpreted the remarks from Britt as a sign that the MSO could be receptive to a merger. But the stock dipped on Friday and was trading at $114.94 at 12:30 ET, down $2.74, or 2.33 percent.

Shares in Cablevision were trading higher Friday after CEO Jim Dolan didn't rule out the possibility that Cablevision could also be a player in the next wave of MSO consolidation. "I know all the noise about that, and you never say never. But other than that we really don't have much to say about it," Dolan said Friday morning.

For more:
- Bloomberg has this story

Related articles:
Comcast CFO says M&A possible, but not at debt levels John Malone is comfortable with
Malone: Cable must consolidate to compete with Google, Apple
Charter CEO Rutledge sees consolidation leaving industry with 2 major MSOs
Malone floats scenarios for Time Warner Cable – Charter merger
Cox prepares to launch Contour multiscreen service

Read more about: Cablevision, Charter Communications
back to top


This week's sponsor is Qualcomm.

Webinar: LTE Advanced is here!
Wednesday, August 28th, 1pm ET /10am PT

Tune into this webinar to understand the success factors behind the proliferation of LTE and an impressive line-up of enhancements that LTE Advanced encompasses, including Carrier Aggregation. Register Today!



2. Cablevision sheds 20K video subs and gains 1K broadband subs in Q2 2013


Cablevision (NYSE: CVC) said Friday that it lost 20,000 video subscribers in the second quarter while gaining 1,000 Optimum Online and 3,000 voice customers.

Growth slowed compared to Q2 2012, when the company gained 25,000 cable modem customers and its video subscriber count was flat. Its Q2 numbers are comparable to those of Time Warner Cable (NYSE: TWC), which reported fewer net subscriber additions for its broadband product and an increase in video subscriber losses.

Decreased spending on infrastructure and customer premise equipment helped Cablevision drive $135.7 million (52 cents per share) in net income, up from $63.8 million (24 cents per share) this time last year. Spending on scalable infrastructure dropped by nearly $28 million to $76.8 million, and spending on set-tops and other CPE decreased by $4.5 million to $78.4 million.

Rate hikes helped Cablevision grow its average monthly revenue per basic video subscriber to $162.42, up $5.49 (3.5 percent) compared to Q2 2012. Video revenue decreased by $17 million to $793 million, while revenue from high-speed Internet jumped by $29 million and voice revenue increased by $3 million.

Cablevision said commercial revenue from its Lightpath subsidiary increased by 1.6 percent in Q2 to $82.5 million, and it reported $37 million in advertising revenue, a decrease of $3 million compared the same period last year.

For more:
- see the release

Special Report: Cable in the second quarter of 2013

Related articles: 
Cablevision follows Verizon with Optimum Online rate hike
Cablevision shutting down OMGFAST wireless broadband service
Cablevision doesn't lose any video subscribers during Q2 2012
Cablevision names former FreshDirect exec Frank Mansour EVP of customer service

Read more about: Cablevision
back to top



3. Cox prepares to launch Contour multiscreen service


Cox Communications is preparing to launch a new a new multiscreen video product this month called Contour.

Source: ContourComingSoon.com

The MSO is beginning to notify subscribers about the launch of Contour and is pointing them to a ContourComingSoon.com website that shows an image of a TV and an Apple (Nasdaq: AAPL) iPad, according to a post from a Cox subscriber on a DSL Reports message board Thursday. The site also displays the Cox corporate logo.

When Cox announced a deal with Cisco (Nasdaq: CSCO) in January to use its Videoscape multiscreen software, the MSO said it would launch an unnamed iPad app later this year which would deliver 90 live channels and allow subscribers to use the tablet as a remote control.

Cox has filed three trademark applications involving the brand Contour. An application Cox filed in May reserved the right to use Contour as a brand for "providing an online and cable network service for personalized and interactive television recording; providing a personalized and interactive guide for searching, selecting, and managing television, movies, videos, music, games, and multimedia content; providing online and on-screen recommendations for television programming." It also filed a trademark application for the brand "Contour from Cox," which it said could be used for "providing television programming and information in the field of entertainment rendered through the media of television, cable, telephone and broadband, and via the Internet and wired and wireless communication devices."

The filings and ContourComingSoon website indicate that Contour may be the brand for Cox's new iPad app. The website was registered anonymously on July 23, according to Network Solutions.

Cox may also be able to use Contour as a brand for other advanced products, similar to the Xfinity brand Comcast (Nasdaq: CMCSA) uses for its triple play and the Optimum brand Cablevision (NYSE: CVC) uses to sell video, voice and Internet service. A trademark application Cox filed in May said Contour could be used for "cable television broadcasting services; television broadcasting services; video on demand transmission services; high speed Internet access services; telephony communication services; and leasing or rental of telecommunications equipment."

A Cox spokesman told FierceCable Thursday that the MSO plans to make an announcement soon which will offer details about Contour.

For more:
- see the ContourComingSoon site
- see the DSL Reports post

Related articles:
Cox trademarks Contour, Intu, Joya for digital cable service
Cox to deploy Cisco video gateways and Videoscape Unity platform
Cox may license Comcast RDK middleware platform
Cox rolls myflare photo and video storage service
Cox trademarks 'Simplify, Sync & Socialize'

Read more about: Cox Communications
back to top



4. Reduced labor costs at Cable One help drive increased operating income


Cable One saw its operating income jump 16 percent to $44.7 million in the second quarter, according to results released Friday by The Washington Post Co., its parent company.

The company didn't say whether there were layoffs at the Phoenix, Ariz.-based MSO, which has lost 40,000 video subscribers in the last year. Cable One officials didn't respond to requests for comment Friday morning.

Increased revenue and reductions in bad debt expense also contributed to the improved operating income, according to The Washington Post.

Cable One counted 575,762 video subscribers at the end of Q2, down from 612,729 in Q2 2012. High-speed Internet subscribers have increased by about 2,000 in the last year to 464,292, and it now counts 185,380 phone customers, down about 2,000 from last year.

Rate increases helped Cable One generate $204.6 million in revenue, up 5 percent from last year.

Cable One announced earlier this year that it would spend $60 million on network upgrades. It has also stepped up marketing efforts and implemented a 30-day money-back guarantee for new subscribers.

For more:
- see the release

Special Report: Cable in the second quarter of 2013

Related articles:
Cable One kills broadband cap, eliminating overage fees
Cable One sheds 5,435 video subs in Q1 2013
Cable One to shell out $60M on network upgrades
Cable One attempts to lure subscribers with 30-day money back guarantee
Cable One to deploy TiVo DVR software

Read more about: Cable One
back to top



5. Liberty Global sees increased demand for TiVo and Horizon TV set-tops


John Malone's Liberty Global (Nasdaq: LBTYA) said Friday that it is seeing increased demand for advanced set-tops in Western Europe, including TiVo (Nasdaq: TIVO) Premiere DVRs in the United Kingdom and Horizon TV video gateways in the Netherlands and Switzerland.

New subsidiary Virgin Media said 1.7 million subscribers now have TiVo DVRs, an increase of 720,000 compared to this time last year. Virgin signed an additional 155,000 TiVo customers during Q2, and said 44 percent of its revenue-generating units have the devices, which can deliver live TV, recorded programming and Web video. Liberty closed its $16 billion acquisition of Virgin last month.

Liberty said it picked up 70,000 Horizon TV customers in Q2. Horizon, which is similar to Comcast's (Nasdaq: CMCSA) X1 service, counts 185,000 subscribers in the Netherlands and 85,000 in Switzerland. Liberty said it'll soon deploy Horizon in Ireland as well.

The largest international cable operator is relying on Horizon to help it retain subscribers. Liberty said it lost 65,000 video revenue-generating units in Q2, primarily because of competition it faces in the Netherlands and Central and Eastern Europe. Additions of 64,000 broadband and 70,000 telephone customers saw it end the quarter with net RGU additions of 69,000, down from gains of 168,000 RGUs in Q2 2012.

Liberty said Q2 revenue jumped 25 percent to $3.16 billion. It reported a net loss of $12 million, compared to $702 million in net income that it generated in Q2 2012.

For more:
- see Liberty Global release
- see Virgin Media release
- see UPC earnings release
- Bloomberg has this story

Special Report: Cable in the second quarter of 2013

Related articles:
Liberty Global invests in MindMeld developer Expect Labs
TiVo developing cloud-based DVR software for cable operators
Liberty Global could eclipse Comcast with $23.3 billion deal to acquire Virgin
Liberty Global expanding Horizon TV to Ireland and Germany
TiVo stock drops 17% on settlement of Cisco, Motorola, Time Warner Cable patent suit

Read more about: Comcast, Tivo
back to top



Also Noted

This week's sponsor is Ineoquest.

Webinar: Assuring Customers’ Multiscreen and OTT Video Viewing Experience
Monday August 19th, 2pm ET/ 11am PT

This webinar is intended to provide a general description and recommended practices for monitoring adaptive streaming video networks, provide an opportunity to understand how many others have successfully deployed a video service assurance solution for multiscreen and OTT video. Register to attend the webinar.


SPOTLIGHT ON... Netflix using individual profiles to suggest content

In today's spotlight, FierceOnlineVideo takes a look at the announcement from Netflix (Nasdaq: NFLX) on Thursday that it will resume the practice of using individual profiles to recommend content to families. "No longer will your Netflix suggestions be mixed up with those of your kids, a significant other, roommates, or house guests," said Neil Hunt, Netflix's chef product officer. Cable MSOs such as Cox Communications deploying recommendation engines are also beginning to create individual profiles for subscribers. Read more

Quick news from across the Web.

> Viacom said revenue from its media networks jumped 24 percent to $1.2 billion in the second quarter. News release

> Comcast launched its X1 platform in the Portland - Vancouver area. Article

> The average TV viewer watches four hours and 31 minutes of programming, a decrease of about seven minutes compared to 2012, according to eMarketer. Article

Telecom News

> Shentel may be placing more emphasis on growing its cable and wireless segments, but the telco reported that Q2 2013 wireline fiber sales rose 7.4 percent year-over-year to $5.6 million. Read more

> Week in research: China dominates GPON spending; Toll fraud malware tracked to 10 Russian groups. Read more

Wireless News

> Verizon Wireless followed competitor AT&T Mobility (NYSE:T) in offering a lower-cost option on its shared data plans, though the new offering is more expensive per month than AT&T's cheapest shared data plan. Read more

And finally… Apple added a new iOS app to its iTunes store called Commercial Break, which can tell viewers who are taking a break during TV commercials when a program has returned. Review


Webinars


* Post listing: Click here.
* General ad info: Click here.

> Assuring Customers' Multiscreen and OTT Video Viewing Experience- August 19, 2013, 2 pm ET / 11 am PT

This webinar is intended to provide a general description and recommended practices for monitoring adaptive streaming video networks, provide an opportunity to understand how many others have successfully deployed a video service assurance solution for multiscreen and OTT video. Register to attend the webinar.

> Getting started with carrier WiFi - what's it take for a great user experience? - August 27th, 11am ET/ 8am PT

Meeting customer expectations has never been more challenging than it is today. Learn how Alcatel-Lucent OmniAccess™ Wireless LAN switch family and Access Point product line can help you deliver the Wi-Fi solution your customers want and create new revenue streams. Register Today!

> LTE Advanced is here! - Wednesday, August 28th, 1pm ET /10am PT

Tune into this webinar to understand the success factors behind the proliferation of LTE and an impressive line-up of enhancements that LTE Advanced encompasses, including Carrier Aggregation. Register Today!



Events


* Post listing: Click here.
* General ad info: Click here.

> TIA 2013 - October 8-10 - Washington D.C.

TIA 2013 will address disruptive technologies and changing business models as companies position themselves for success with wireless, the transition to all-IP networks, Cloud, M2M, smart buildings, and more. The conference will offer ideas for thriving in the changing ICT environment. www.tia2013.org. Registration opens June 2013.

> TelcoVision 2013 - October 23-25 - Las Vegas, NV

TelcoVision (formerly TelcoTV) is the premier conference and expo devoted to Tier 2 - 4 broadband service providers. Don’t miss this opportunity to join other industry decision makers and thought-leaders in the broadband field. Register now and save $200 off all conference passes with priority code MPTV1314.



Marketplace


* Post listing: Click here.
* General ad info: Click here.

> Whitepaper: Cisco ONE: Framework for the Internet of Everything

Prepare service provider networks to harness network value, increase business agility, and achieve greater operational efficiency. Learn More

> Whitepaper: The Financial Benefit of Cisco's Elastic Core

This whitepaper describes the financial benefits of an intelligent, converged, and programmable network. Read Now

> Whitepaper: Touch Technology Extends Mobile Gaming

Get the latest in touch and sensory technologies. This edition explores the frontiers of touch computing, mobile lifestyles and more. Learn more today.

> Whitepaper: New Wi-Fi Business Models Create Real Value for SPs

The rapid growth of mobile data and the popularity of Wi-Fi have created new and innovative money-makingopportunities for service providers. This whitepaper shares how service providers can make money by implementing new and innovativeWi-Fi business models and how correctly deploying the right model can lead to significant business benefits. Download Whitepaper Now.

> Whitepaper: Gain Business Advantages with Service Provider Wi-Fi

Wi-Fi has become a strategic asset for Service Providers to keep up with the growing mobile data demands on their network. As a result, Wi-Fi is seen as a place for business innovations and monetization opportunities. Explore the different ways operators can monetize their network with Wi-Fi through lowered costs and increased revenues. Download Whitepaper Now.

> Whitepaper: SP Wi-Fi: Authorization Options for Mobile Network Operators

The availability of Hotspot 2.0 and Passpoint devices will remove the historical friction users have faced in getting their Wi-Fi devices to seamlessly and securely connect to a new Wi-Fi network. Learn more about the standard for authenticating the user within a Wi-Fi environment and, how to authorize a particular user for access to the Wi-Fi network. Download Whitepaper Now.

> eBook: Making Money from Multiscreen

Cable operators and networks are slowly building a platform that could make multiscreen programming and advertising a much bigger business. Learn more today.

> Whitepaper: Five Steps to Building Visibility and Security Into Your Network

This five-step approach can help IT easily deliver the right information to the right tools at the right time to optimize your network. Download Now



Jobs


* Post listing: Click here.
* General ad info: Click here.

> Wireless Store Manager – Florham Park, NJ – Cricket Communications

Cricket Communications offers nationwide wireless voice and mobile data services over high-quality, all-digital wireless networks. Every day, our Store Managers at Cricket run all aspects of the Cricket retail business including, but not limited to, financial management, business operations... Learn More

> Sr. Account Executive – San Diego, CA – Cox Communications

The Sr. Account Executive - Enterprise is responsible for meeting or exceeding sales goals for large accounts. The position is responsible for initial contact with customers, follow-up, proposal preparation, making customer presentations and seeing the sale through to the signing of a contract...Learn More

> Inventory Specialist /Revenue Analyst – Oklahoma City, OK – Cox Communications

The Inventory Specialist is responsible for providing accurate and detailed reports regarding inventory sell-out levels with recommendations and guidance to assist sales leadership in yield management through the development of optimized rates...Learn More

> Field Auditor I – Rancho Santa Margarita, CA – Cox Communications

The Field Auditor will maintain the security of the cable system by designing and implementing an effective and efficient audit program, asset and loss prevention programs; investigate internal and external security problems; implement internal and field security programs with other departments... Learn More

> SAS Administrator – Atlanta, CA – Cox Communications

SAS Administrator is responsible for providing senior level expertise on overall technology, infrastructure and administration as it relates to the SAS Grid enabled architecture, installed on RHEL/JBOSS server platform. Manages, configures and supports SAS...Learn More

> Senior Director, Technology Delivery Assurance – Atlanta, CA – Cox Communications

This position is accountable for driving Standard Processes, Governance, and Continuous Process Improvements across the Technology organization to improve the consistency and repeatability of our delivery processes. This role supports all technology organizations and closely partners with our enterprise portfolio management team...Learn More

> SMB Account Exec (Cox Business) – San Diego, CA – Cox Communications

The SMB Account Executive promotes, sells, and retains commercial business solutions for voice, data and video to SMB level customers. Sell bundled telephony, data and video products to existing/new commercial business customers based on assigned revenue targets...Learn More

> Commercial Development Executive – Anywhere – WhistleOut

This is an easy, 'open and shut' opportunity for an experienced and well-connected telco executive who is looking for a fresh opportunity in digital marketing with a unique, innovative and fast growing online comparison engine. This position is tasked with enhancing the depth of relationships with carriers and resellers in the US and Canada... Learn More

> Director of Operations Engineering – Tyler, Texas – Suddenlink Communications

Suddenlink Communications is the 7th largest provider of broadband cable, internet, phone and security services in a multi-state environment. We are currently seeking a Director of Operations Engineering to support our Texas and Oklahoma markets. This position requires cable gurus with the following experience...Learn More

> Need a job? Need to hire? Visit FierceWirelessJobs

Announcing FierceWirelessJobs, the new FierceMarkets careers site. Find the perfect job or post your openings at http://www.fiercewireless.com/jobs.

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