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2014/08/12

| 08.12.14 | Suddenlink ready for 1 gig; Rural subs want their RFD-TV

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August 12, 2014
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Today's Top Stories

  1. Suddenlink announces 1 Gbps service, as AT&T finally boosts speeds in Austin
  2. Local markets in Northeast, Michigan, Southeast deal with SpinCo ramifications
  3. Comcast-TWC, AT&T-DirecTV megadeals have rural viewers worried
  4. Comcast's Schanz expected to issue energy challenge at SCTE Cable-Tec Expo
  5. Cord-nevers unlikely to ever buy pay TV, while OTT providers step up 4K game


Also Noted: Telrad Networks
Spotlight On... Second quarter pay TV results a 'mixed bag,' analyst firm says
Syracuse mayor ponders city-owned fiber network; DirecTV resurrects rapping Manning brothers and much more...

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News From the Fierce Network:
1. Ooyala acquired by Telstra for $270M
2. Falcone fights to keep control of LightSquared as bankruptcy maneuvering drags on
3. Mercatus Center study says U.S. broadband pricing is below global average
More headlines...


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The Kaitz Dinner | September 17, 2014| New York Marriott Marquis | Purchase Tickets Today!



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FierceLive! Webinars

> LTE Broadcast - Evolving and going beyond mobile - Tuesday, August 26th, 1pm ET/ 10am PT
> Consumerization and the CIO - Now Available On-Demand
> The New Reality: LTE Solutions for Fixed Applications - August 27th | 2pm ET / 11am PT
> Making the Network Efficient Through Traffic Management - Wednesday, September 17th | 2pm ET/ 11am PT
> CSPs Using Predictive Analytics to Solve Some of Their Biggest Problems - Thursday, September 25th, 10amET/7amPT

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> Don't Miss this FierceWireless 5G Breakfast at Super Mobility Week! - September 9, 2014 - Las Vegas, NV - Sponsored by Ericsson, Intel, Nokia, and SOLiD
> Don't Miss this FierceWireless IoT Breakfast at Super Mobility Week! - September 10, 2014 - Las Vegas, NV - Sponsored by AT&T, RacoWireless, and Sierra Wireless
> The Kaitz Dinner - Wednesday, September, 17, 2014 - New York Marriott Marquis - Sponsored by Walter Kaitz Foundation

Marketplace

> Whitepaper: Next-generation OSS is critical to delivering service agility in new virtualized networks
> Whitepaper: Stop Selling Inventory and Start Selling Your Audience
> Whitepaper: VoLTE - Using Policy to Deliver High Definition Voice Services
> eBook: eBrief | Connected TV Advertising's Growing Potential
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> Whitepaper: Cloud RAN
> Whitepaper: Realizing Open Flow Switches with Aricent Frameworks
> Whitepaper: Increasing LTE Revenues: Top 10 Innovations and Operator Examples

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Today's Top News

1. Suddenlink announces 1 Gbps service, as AT&T finally boosts speeds in Austin


Suddenlink has announced its long-anticipated program to "progressively boost Internet speeds and make 1 Gbps service available to all the company's customers," the MSO said in a press release.

Based in St. Louis, Mo., Suddenlink serves 1.4 million customers in Arkansas, Louisiana, North Carolina, Oklahoma, Texas, West Virginia and elsewhere.

Operation GigaSpeed, as the effort has been labeled, will cost almost a quarter-billion dollars to fund, including network and in-home equipment and a total analog to digital conversion. It's happening because 1 Gbps is becoming more than just a blip on consumer broadband radar, the nation's seventh largest MSO said in the press release, emphasizing Suddenlink's more rural customer base.

"While companies like Google (NASDAQ: GOOG) and AT&T (NYSE: T) are offering or planning to offer 1 gigabit service in a relatively few, selected neighborhoods in urban and large suburban cities, we will take it to small and mid-sized markets and rural areas--and in those communities it will be available to 100 percent of our customers," Jerry Kent, Suddenlink's chairman-CEO said in the release.

AT&T, for its part, said it was boosting its Austin, Texas, market speeds from 300 Mbps to a gigabit as part of its GigaPower network. Existing customers "don't need to do anything; the upgrades will happen automatically," the carrier said in a press release. AT&T is embroiled in a 1 gig battle in the Texas town, with Google and Grande Communications also claiming to deliver ultra-broadband speeds.

In addition to the broadband boost, AT&T also enhanced its U-verse TV offering with an app that provides customers with information about Austin food, entertainment and other events.

Suddenlink didn't mention anything about enhanced video service, preferring to focus on the 1 Gbps service that it expects to be nearly complete next year and into 2016. The MSO said it would communicate additional details to customers as each community is readied and when 1 Gbps speeds are available.

For more:
- Suddenlink has this press release
- and AT&T has this press release

Related articles:
Retrans policy debate: Suddenlink's Kent says both sides should show pricing practices
Suddenlink ready to offer 30 Mbps tier; Korea MSOs launch 4K UHD channel
Report: Google Fiber starts Austin buildout

Read more about: 1 Gbps
back to top


This week's sponsor is Clearleap.



2. Local markets in Northeast, Michigan, Southeast deal with SpinCo ramifications


Even as federal regulators continue to ponder the efficacy of SpinCo, the Comcast (NASDAQ: CMCSA) and Charter Communications (NASDAQ: CHTR) subscriber juggle proposed to clear one hurdle of Comcast's merger with Time Warner Cable (NYSE: TWC), the wide-ranging deal is roiling local markets that might soon, for better or worse, have a completely new cable operator presence.

In Massachusetts, 182,699 Charter customers in 53 communities will transfer to Comcast and be added to the 1.48 million customers the nation's top MSO already controls in 246 communities throughout the state. That led Auburn, Mass., selectmen to approve a Charter-to-Comcast license transfer, and the Hadley and Easthampton select boards to hold hearings on similar actions.

Hadley Town Administrator David Nixon was relatively certain that the terms of the existing 10-year cable franchise agreement will stay in place but there might be changes in programming and senior discounts.

"For the customers there shouldn't be a rate change," Nixon told the Daily Hampshire Gazette.

However, the deal could "completely reshape the Michigan cable TV market … affecting thousands of jobs, hundreds of thousands of customers, tens of millions of dollars in local asset investments and various community programs," a Crain's Detroit Business story said.

North Carolina and New York are taking cautious approaches.

In Durham, N.C., county commissioners asked state Attorney General Roy Cooper to scrutinize the merger based on a local consultant's report that the $45 billion deal would create "a media cartel that poses a grave threat to North Carolina consumers," the Durham Herald-Sun reported.

Meanwhile, Common Cause New York filed comments with the state's Public Service Commission urging it to reject the merger because the deal would create a company that is "too big to regulate, at least at the state level," according to Susan Lerner of Common Cause New York. "A greatly enlarged, post-merger entity will have even more difficulty and less incentive to provide acceptable customer service," she added in a letter obtained by the Albany Times Union.

For more:
- The Daily Hampshire Gazette has this story
- the Worcester News Telegram has this story
- Crain's Detroit Business has this story
- The Durham Herald Sun has this story
- and the Albany Times Union has this story

Related articles:
Comcast-TWC is like pairing Justin Bieber and Lamborghini, Consumers Union says
Liberty Media's Maffei: Small cable operators need a 'big brother'
Analyzing Comcast-TWC's regulatory chances using HHI

Read more about: Time Warner Cable
back to top



3. Comcast-TWC, AT&T-DirecTV megadeals have rural viewers worried


About half of the thousands of letters the FCC has received about Comcast's (NASDAQ: CMCSA) proposed takeover of Time Warner Cable (NYSE: TWC) and AT&T's (NYSE: T) planned acquisition of DirecTV (NASDAQ: DTV) have come from viewers who want their RFD-TV.

The viewers are worried that a merger between bigger companies will squeeze out a channel that focuses on things they want to watch, like Classic Tractor Fever and All-American Cowgirl Chicks. It's not the sort of programming that draws big audiences in urban and suburban markets, and that's the concern: those markets are where big companies like Comcast and AT&T put their major focus.

"Quite frankly there are no other TV stations out there that carry the programming that RFD carries," Carl Saveley, an attorney from Sparks, Nev., said in a Wall Street Journal story. "If the big city boys decide to drop them, as some have already done, that programming is gone."

RFD-TV hardly seems to have the credentials that would dazzle a huge media conglomerate. The 13-year-old company averages about 137,000 prime time viewers, almost all of whom are 55 or older who are attracted to the channels mix of farm-themed shows, rodeos and reruns of live news broadcasts from the grain and livestock pits at the Chicago Mercantile Exchange.

"Not everyone lives in Manhattan," Patrick Gottsch, founder of Rural Media Group said in the WSJ article. "Everything can't be directed at 18-to34-year old urban audiences."

History gives the rural folks a platform to be concerned. Comcast dropped RFD-TV last year in Colorado and New Mexico and, while AT&T is touting its broadband Internet coverage for rural households, it doesn't carry RFD-TV on its U-verse TV service.

That's a matter of viewer demographics, an AT&T spokesman told the publication, noting that "there has not been a lot of demand for programming geared specifically to rural audiences."

Less ominously, perhaps, DirecTV CEO Mike White, in answer to a question at a U.S. Senate hearing in June, said he'd make an effort to convince AT&T "that RFD-TV would be great for them to carry" as it already is on DirecTV.

For more:
- The Wall Street Journal has this story

Related articles:
Small, rural-focused RFD-TV becomes force amid merger approvals
Comcast pulls RFD-TV from systems in Colorado, New Mexico
Dish shops $5 monthly Heartland Package

Read more about: DirecTV
back to top



4. Comcast's Schanz expected to issue energy challenge at SCTE Cable-Tec Expo


Comcast (NASDAQ: CMCSA) Chief Network Officer John Schanz is expected to use the bully pulpit of a keynote address at the SCTE Cable-Tec Expo to "challenge the industry to create a new collaborative energy vision for the future."

John Schanz, Comcast

Schanz (Image source: Comcast)

The SCTE is putting a special emphasis on energy efficiency during the show, which begins Sept. 24 in Denver with a 90-minute session focused on the subject.

"We are looking to make a quantum leap since we recognize the incremental changes we have been making for decades will not get us where we ultimately need to be," Schanz said in the new release. "This session will lay out a framework that must be made now for the industry to fully reap the benefits of the Energy 2020 program by the beginning of the next decade."

Cable set-top boxes have come under fire recently as energy hogs, with a story in the Los Angeles Times noting that "a set-top cable box with a digital recorder can consume as much as 35 watts of power, costing about $8 a month for a typical Southern California consumer (and that) "the devices use nearly as much power turned off as they do when they are turned on."

While the industry refuted those claims, it's in its best interests to make an effort to conserve energy both in the homes of subscribers as well as across its entire operational base from the headend to the electronics in the field.

"Meeting cable's ambitious goals of slashing energy usage, costs and dependencies by up to 25 percent require active participation from the operator and vendor communities, Mark Dzuban, SCTE president-CEO said in the press release. "By driving new standards and performance metrics, Energy 202 is laying the foundation for future equipment purchases that can significantly change the industry's energy footprint and consumption patterns."

For more:
- the SCTE has this press release

Related articles:
Report: Cable boxes are second biggest energy suckers in homes
Cisco, Liberty execs headline SCTE Cable-Tec Expo; Comcast Business now in 33 Supercuts locations
SCTE, cable operators pledge to reduce network energy use by 2020

Read more about: Scte
back to top



5. Cord-nevers unlikely to ever buy pay TV, while OTT providers step up 4K game


In a statistic that probably has cable TV execs scrambling to push broadband video, only about 2 percent of the 19 percent of millennials who don't have pay TV would consider signing up in the next three months, a new report from nScreenMedia indicates.

The white paper, "What Millennials Want from TV" studies what an age group that grew up with the Internet and mobile phones wants--and it's not a passive TV viewing experience.

"For the Internet generation, their opinions are as much a part of the experience as the media they are consuming," said Colin Dixon, founder and chief analyst of nScreenMedia in a post. "When they look at television they see something fixed and unresponsive. TV operators and content providers need to bring the audience's voice more directly into the experience."

Pay TV providers across all strata--cable, telco and satellite--have been scrambling to take advantage of broadband capabilities to offer up a new, more interactive and social TV experience via multiscreen and second screen options that take advantage of a generation of mobile viewers. They've also beefed up these viewing options as a way to combat an increasingly powerful threat from over-the-top (OTT) competitors.

While traditional pay TV providers are essentially playing catch-up with OTT, those players are stepping up their games with enhanced 1080p HD viewing experiences as the next-generation 4K/UHD technology sorts out.

Providers like Netflix (NASDAQ: NFLX), VUDU and M-GO are pushing full-featured 1080p HD as an improvement over the 1080i, 720p most viewers get from their pay TV services. Pay TV operators, meanwhile, seem more likely to skip that step and go right for the ultra high definition play, said ABI Research analysts in a new report.

"We expect pay TV operators will seriously consider 4K movie services over IP connections directly to smart TVs, bypassing the set-top box … to compete with OTT providers," said senior analyst Michael Inouye.

The next step, he said, would be the rollout of 4K-capable set-top boxes in the 2015 to 2017 time frame when 4K is more fully saturated in the market.

For more:
- nScreenMedia has this post
- ABI Research has this press release

Related articles:
DirecTV to be ready for 4K VOD later this year, CEO says
Study finds only 17% of U.S. broadband users are aware of 4K
CAB: Millennial women not cutting the cord, watching much more pay TV than online video

Read more about: Pay Tv, UHD
back to top



Also Noted

This week's sponsor is Telrad Networks.

[Webinar] The New Reality: LTE Solutions for Fixed Applications
Wednesday, August 27th,  2pm ET / 11am PT

This Webinar will explore how operators, municipalities, utilities and others can leverage LTE in a seamless migration and what it means for them and their customers — today and tomorrow. Reserve Your Spot Today!


SPOTLIGHT ON... Second quarter pay TV results a 'mixed bag,' analyst firm says

The second quarter provided a "mixed bag" of positives and negatives for the pay TV industry, analysis from Zacks.com said, noting that the industry continued to lose video subscribers but "the rate of customer churn has narrowed down considerably."

This lower churn resulted in the best second quarter performance in the last six years, the report said, even though that meant that pay TV subscribers across cable and satellite continued to drop customers. Continue...

More cable news from across the Web.

> Frustrated by what she sees as a lack of broadband options, Syracuse Mayor Stephanie Miner said she is researching the possibility of building a city-owned fiber-optic network as the best way to ensure that Syracuse has affordable, high-speed service. Story.

> DirecTV has resurrected a not-so-oldie-but-goodie and will again use the rapping Manning brothers (Peyton and Eli, for the NFL oblivious) to pitch its fantasy-football channel. Story.

> Franklyn Butler II has been named to the new position of vice chairman of the board of directors of Cable Bahamas Ltd. Press release.

> Cablevision Systems President Brian Sweeney sold 7,500 shares of Cablevision stock at an average price of $17.94, for a total value of $134,550. Story.

> Indian service provider Arasu Cable TV Corporation is revving up a high-speed broadband and Internet service in collaboration with "companies which have licenses to provide the service." Story.

> Digicel Group has agreed to acquire Telstar Cable Limited's cable and fiber network in Jamaica, pending regulatory approval. Story.

> Telstra's launch of the Netgear NetDOCSIS 3.0 cable data gateway is being hailed as "the world's first commercial deployment of a cable gateway that provides customers up to three times faster Wi-Fi speeds on their home networks." Press release.

Online Video News

> As the tug of war for subscribers between cable operators and OTT providers continues, and with TV Everywhere still in its infancy in the U.S., startups are continuing to find niches that attempt to meet demand for anywhere, anytime video service. Case in point: 4SeTV, a startup looking directly to its target audience for its next round of funding. Full article.

Telecom News

> tw telecom, which is being acquired by Level 3 Communications, is expanding its Ethernet network to Philadelphia, giving local businesses access to business Ethernet and intelligent network services. The expansion is part of the company's plans to accelerate its metro-fiber footprint into new markets as well as increase its coverage in existing markets. Full article.

And finally … Uruguayan cable TV operator Cablevision said as of the second quarter it has 130,000 subscribers, an increase of 6.5 percent compared to 122,100 subscribers by the end of the year-ago quarter. Story.

News From the Fierce Network:
> Huawei deal with LG Uplus could benefit EC 5G development Post
> Brits embrace Netflix; Arcep gets back its bite Post
> Google rolls out preview of healthcare app development kit Post


Webinars


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

> LTE Broadcast - Evolving and going beyond mobile - Tuesday, August 26th, 1pm ET/ 10am PT

Tune-in to this webinar to learn more about Qualcomm's perspective on the various aspects of the evolution, and how our offerings enable operators to offer LTE Broadcast services today. Register Today!

> Consumerization and the CIO - Now Available On-Demand

From devices to services to apps, end users have a lot of choices - and those choices are bleeding into enterprise IT faster than ever. How do these changes affect IT strategy, budget and infrastructure? Register to watch now!

> The New Reality: LTE Solutions for Fixed Applications - August 27th | 2pm ET / 11am PT

Trends show that fixed wireless operators seek to benefit from LTE capacity and standards momentum. However, most LTE solutions remain mobile-centric, neglecting the requirements of fixed networks, like simplified cores, Layer 2 services, etc. This Webinar will explore how operators, municipalities, utilities and others can leverage LTE in a seamless migration and what it means for them and their customers — today and tomorrow. Reserve your spot today!

> Making the Network Efficient Through Traffic Management - Wednesday, September 17th | 2pm ET/ 11am PT

Wireless networks are becoming increasingly complex and operators must manage different network protocols, network topologies and traffic patterns in order to make sure the network is operating at an optimal level. If the network is not managed carefully, it could result in poor performance and faulty coverage causing consumers to switch wireless providers. This webinar will look at the various tools and techniques operators may use to improve their network performance and stay competitive. Register Today!

> CSPs Using Predictive Analytics to Solve Some of Their Biggest Problems - Thursday, September 25th, 10amET/7amPT

Learn how some of the more forward-thinking CSPs are using predictive analytics to up-sell services, increase ARPU and eliminate fraud and risk. Register Today!



Events


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* General ad info: Click here.

> Don't Miss this FierceWireless 5G Breakfast at Super Mobility Week! - September 9, 2014 - Las Vegas, NV - Sponsored by Ericsson, Intel, Nokia, and SOLiD

Join Kris Rinne, AT&T; Nicola Palmer, Verizon Wireless; and other industry experts as they explore how to get from today's networks to the 5G network of the future. Seats are limited. Register Today!

> Don't Miss this FierceWireless IoT Breakfast at Super Mobility Week! - September 10, 2014 - Las Vegas, NV - Sponsored by AT&T, RacoWireless, and Sierra Wireless

Join Matt Thompson, Microsoft; Alec Saunders, BlackBerry; and other industry experts as they delve into the market segments where IoT technologies are blossoming now, and explore where the next opportunities may lie. Seats are limited. Register Today!

> The Kaitz Dinner - Wednesday, September, 17, 2014 - New York Marriott Marquis - Sponsored by Walter Kaitz Foundation

The Kaitz Dinner is the annual social and fundraising event that supports and accelerates our industry's embrace of diversity. On Wednesday, September 17 2014 in New York Marriot Marquis, we'll gather in a spirit of camaraderie and shared mission to help shape cable's future. Purchase your ticket/sponsorship today!



Marketplace


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> Whitepaper: Next-generation OSS is critical to delivering service agility in new virtualized networks

This white paper outlines the key role the OSS will play in enabling CSPs to deploy and realize anticipated benefits from service agility, operational flexibility and cost optimization. Download today.

> Whitepaper: Stop Selling Inventory and Start Selling Your Audience

Advertisers look for sophisticated audience targeting and publishers can get ahead by understanding who their audiences are, not just what they do. Learn why you should adopt first-party insights and how YuMe's Audience-Aware SDK™ can help discover new audiences you didn't even know you had and generate more revenue. Download here.

> Whitepaper: VoLTE - Using Policy to Deliver High Definition Voice Services

Learn how operators are delivering improved voice services while gaining the cost efficiencies of LTE. Download this free white paper today.

> eBook: eBrief | Connected TV Advertising's Growing Potential

The lack of industry standards coupled with an uncertain business model is making connected TV ads a challenge, but many companies are preparing for what could be a huge opportunity. In this eBrief, FierceCable discusses the future of connected tv and its advertising marketplace. Download Today!

> Whitepaper: Next Generation Technical Support

The next generation technical support whitepaper provides insights into how these next generation support models can be used to reduce risk and enhance customer satisfaction. Download Now!

> Whitepaper: Cloud RAN

This whitepaper provides an overview of the Cloud RAN architecture. It also offers exhaustive insight into how you can leverage concepts like 'Active Antenna Array', 'Multi-band Radio Remote Heads', 'Centralized Baseband Units', 'Radio Network Controllers' etc. to develop and deploy cutting edge Cloud RAN solutions to improve network performance that can help improve your ROI. Download Now!

> Whitepaper: Realizing Open Flow Switches with Aricent Frameworks

This whitepaper highlights the benefits of Aricent's OpenFlow frameworks, and explores how they can be leveraged to build pure or hybrid OpenFlow switches for deployments across campus, datacenter, enterprise, and service-provider networks. Download Today!

> Whitepaper: Increasing LTE Revenues: Top 10 Innovations and Operator Examples

Download this guidebook to learn about 10 leading service innovations to increase LTE revenue, examples and results from multipe operators worldwide and key BSS requirements to enable these services and reduce time to market. Download Today.



Jobs


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