Comments on: Time Warner Cable’s Broadband Division Nearing ‘Most Important Indicator’ of Company’s Stock Price Future http://stopthecap.com/2010/02/08/time-warner-cables-broadband-division-nearing-most-important-indicator-of-companys-stock-price-future/ Promoting Better Broadband, Fighting Data Caps, Usage-Based Billing, & Other Internet Overcharging Schemes Thu, 29 Jul 2010 01:45:29 +0000 hourly 1 http://wordpress.org/?v=3.0.1-alpha-15359 By: Ian L http://stopthecap.com/2010/02/08/time-warner-cables-broadband-division-nearing-most-important-indicator-of-companys-stock-price-future/comment-page-1/#comment-8658 Ian L Mon, 08 Feb 2010 21:14:24 +0000 http://stopthecap.com/?p=7595#comment-8658 Not sure what's particularly interesting about this analyst. Says TWC is overvalued, and one analyst saying that broadband drives TWC's price doesn't mean it does. I'd say that digital phone is under-represented in the mix; it's the triple play component that takes the most customers away from telcos, last I checked. As far as broadband goes, I'm guessing TWC will eventually standardize around 768/128, 3/384, 10/1, 15/2 and 50/5. All but 50/5 seem to be aimed at the lower end of the mrket, with pricing below $60. As such, digital cable will keep being TWC's lifeblood. Compare this with Comcast's internet tiers that are between $55 and $75 for "standard grade" service depending on speed and you see that one company is aiming for differentiation based on features/speed...and one isn't. Not sure what’s particularly interesting about this analyst. Says TWC is overvalued, and one analyst saying that broadband drives TWC’s price doesn’t mean it does. I’d say that digital phone is under-represented in the mix; it’s the triple play component that takes the most customers away from telcos, last I checked.

As far as broadband goes, I’m guessing TWC will eventually standardize around 768/128, 3/384, 10/1, 15/2 and 50/5. All but 50/5 seem to be aimed at the lower end of the mrket, with pricing below $60. As such, digital cable will keep being TWC’s lifeblood. Compare this with Comcast’s internet tiers that are between $55 and $75 for “standard grade” service depending on speed and you see that one company is aiming for differentiation based on features/speed…and one isn’t.

]]>