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Frontier’s March to Oblivion: Bankruptcy In Its Future?

Frontier Communications is quickly becoming the Sears and Kmart of phone companies, on a slow march to bankruptcy or outright oblivion.

What started as a small independent phone company in Connecticut has grown through acquiring overpriced or decrepit landline cast-offs, mostly from Verizon, leaving itself with massive amounts of debt and infrastructure it is not willing to upgrade.

Despite rosy prognostications given to customers and shareholders, few are willing to take Frontier’s word that life is good with a company that still relies heavily on copper wire phone and DSL service.

Don’t take out word for it. Just watch the line of customers heading for the exits, canceling service and never looking back. As Frontier continues to lose customers fed up with its bad DSL service, rated even poorer than satellite-delivered broadband by Consumer Reports, its only chance to grow is to acquire more customers through more acquisitions. Unfortunately, after another disastrous transition for former Verizon customers in Florida, California, and Texas, Frontier’s bad reputation is likely to leave regulators and shareholders concerned about Frontier’s ability to manage yet more acquisitions in the future.

The Wall Street Journal reports Frontier bet on making it big with rural and suburban landlines, and lost.

Frontier’s mess has infuriated shareholders who invest in the stock mostly for its dividend payouts. The Norwalk, Conn. company recently announced it slashed its dividend, causing investors to flee the stock. Shares are down 69% so far this year. In a desperate bid to keep its Nasdaq listing, the company announced an unprecedented 1-for-15 reverse stock split just to prop up its share price.

Frontier’s slow hemorrhage of landline customers turned into a flash flood in the spring of 2016 after botching yet another “flash cutover” of customers acquired from Verizon. Verizon’s decision to sell off its landline networks in Florida, California, and Texas (mostly acquired from GTE by Verizon predecessor Bell Atlantic) was good news for Verizon, bad news for Frontier’s newest customers. Frontier hates to spend money to overhaul its copper-based facilities with fiber. It prefers to buy service areas from companies that undertook fiber upgrades on their own dime. Verizon had already upgraded large sections of those three states with its FiOS fiber to the home network. Frontier’s interest was primarily about acquiring that fiber, Frontier finance chief Perley McBride told the Wall Street Journal. Even McBride admitted Frontier failed to do a good job integrating those customers.

Consumer Reports rates Frontier DSL lower than one satellite broadband provider.

That should not be news to McBride or anyone else. Frontier has repeatedly failed every flash cutover it has attempted. The worst recent examples were Frontier’s botched 2010 transition in West Virginia, where the company inherited copper landlines neglected by Verizon for decades. Customers were infuriated by Frontier’s inability to maintain service and billing, and the company was investigated by state officials after many customers lost service, sometimes for weeks. In Connecticut, Frontier messed up a transition of its acquisition of AT&T’s U-verse system, having learned nothing from its mistakes in West Virginia or elsewhere. The company was forced to pay substantial service credits to residential and business customers that were offline for days. Thus it was no surprise yet another hurried transition would lead to disaster last spring. Regulators received thousands of complaints and a significant percentage of longtime Verizon customers left for good.

Frontier CEO Dan McCarthy appears to be even less credible with investors and customers than his predecessor Maggie Wilderotter, who may have retired with an understanding the long term future of Frontier looks pretty bleak. McCarthy has repeatedly put an optimistic face on Frontier’s increasingly poor performance.

John Jureller, Frontier’s last chief financial officer, routinely joined McCarthy in putting a brave face on Frontier’s stark numbers. He repeatedly tried to fuel optimism by telling investors the Verizon landline acquisition would make revenue trends “very positive.”

Jureller is no longer with Frontier. His replacement is the aforementioned McBride, who has a reputation as a “turnaround” expert, usually at the expense of employees. McBride has already helped oversee the permanent departure of at least 1,000 employees, laid off as part of what Frontier is calling “a customer-focused reorganization.” McCarthy prefers to tell Wall Street the layoffs are about reining in costs, despite the company’s profligate spending on acquisitions.

McBride told the Journal he doesn’t expect much revenue growth at Frontier anytime soon in California, Texas, and Florida. McCarthy’s grand turnaround plan isn’t working either. In fact, customer ratings of Frontier are falling about as fast as a rock thrown off a cliff.

There is little evidence Frontier will improve its dismal American Customer Satisfaction Index score in 2017. It finished dead last among internet service providers last year, falling 8% despite taking on new customers and allegedly upgrading others. Frontier’s overall grade was second to last across all categories in the telecom sector. Frontier managed to achieve bottom of the barrel scores despite broad upticks in customer satisfaction among other similar providers last year. Verizon FiOS achieved a 7% improvement to a best-ever customer satisfaction rating. In areas acquired by Frontier, as soon as the service was renamed Frontier FiOS, ratings plunged.

So has Frontier’s revenue, which continues a downward spiral. The company posted a loss of $373 million last year compared to $196 million in losses a year earlier. It has committed to spending $1 billion on its network this year, but customers uniformly report few substantial service improvements, and many wonder where the money is going.

Frontier is also upset that Verizon, in its zeal to make its landline properties in California, Texas, and Florida look as good as possible, stopped collection activity on overdue accounts just before the sale, saddling Frontier with thousands of deadbeat customers Verizon should have written off as uncollectable long ago, but never did.

Yesterday, the western New York office of the Better Business Bureau reported Frontier had achieved an “F” rating, amassed nearly 9,000 complaints, and out of 718 customer reviews, just six were positive:

We find a high volume and pattern of complaints exists concerning prior Verizon consumers who have not had a smooth transition to Frontier Communication since Frontier Communications took over various Verizon customers on April 1, 2016. Consumers have reported that services did not transition properly: many do not have services or are having spotty service with outages; many internet issues, from slow speeds to complete outages, consumers advise they are paying for certain levels of internet speeds but are not receiving those levels. Cable issues including missing networks, movie on demand concerns, issues with purchased subscriptions not carrying over, titles consumers have paid for (purchased licensed for) not being uploaded to their libraries and no solutions are being offered; and inability to access items like DVR boxes at the same time (multiple boxes in households not functioning); the Frontier App is not functioning for consumers; not fulfilling the rewards advertised with new service signups; charging consumers unauthorized third party charges on their telephone bill and not properly applying credits to consumer’s bills or consumers not being able to login to pay their bills.

When consumers call to receive assistance many report to BBB that they are hung up on or calls are disconnected and [are not followed up] by Frontier representatives. Consumers are transferred from representative to representative without receiving any assistance to their concerns many times resulting in a disconnection.

We have also identified a pattern in [Frontier’s] responses to complaints stating:

  • Per Tariff, in no event shall Frontier be liable in tort, contract, or otherwise for errors, omissions, interruptions, or delays to any person for personal injury, property damage, death, or economic losses. Frontier shall in no event exceed an amount equivalent to the proportionate charge to the customer for the period of service during which such mistake, omission, interruption, delay, error or defect occurs. Frontier will apply a credit based on the customer’s daily service rate.
  • We trust that this information will assist you in closing this complaint.  We regret any inconvenience that ‘consumer name’ may have experienced as a result of the above matter.

The business did not respond to the pattern of complaint correspondence BBB sent.

“Cable companies are beating the pants off Frontier,” Jonathan Chaplin, an analyst for New Street Research, told the newspaper. Heavy targeted marketing of Frontier’s customers, especially those served by Charter Communications in states like New York, Texas, Florida, and California are only accelerating Frontier’s customer cancellations.

Frontier’s cost consciousness and deferred upgrades as a result of its financial condition are only allowing cable companies to steal away more customers than ever, as the value for money gap continues to widen. While Frontier has failed to significantly upgrade many of their DSL customers still stuck with less than 10Mbps service, Charter Communications is gradually boosting their entry-level broadband speed to 100Mbps across its footprint and selling it at an introductory price of $44.99 a month.

Even Verizon sees the writing on the wall for the revenue prospects of landline service, especially in areas where it has not undertaken FiOS upgrades. Verizon DSL is still very common across its northeastern footprint, particularly in states like New York, Pennsylvania, Virginia, and Maryland. Upstate New York is almost entirely DSL territory for Verizon, except for a few suburbs in Buffalo, Syracuse, and the state’s Capitol region. Verizon soured on upgrading its copper facilities in these areas years ago, and has contemplated selling them or moving customers to wireless service instead.

Verizon spokesman Bob Varettoni admitted Verizon’s strategy was to “sharpen our strategic focus on wireless,” which makes Verizon considerably more money than its wireline networks.

“If Verizon’s selling assets, they’re selling them for a reason,” Chaplin said. “Verizon had taken those markets [in California, Florida, and Texas] pretty close to saturation before they sold. That’s the point at which they punted the assets to Frontier.”

Frontier cannot continue to do business this way and expect to survive. Investors have circled 2020 on their calendar — the year $2.4 billion in debt payments are due. Another $2.5 billion is due in 2021 and $2.6 billion in 2022, not including interest charges and other obligations. Refinancing is expected to get tougher at struggling companies and interest rates are rising. The pattern is a familiar one in the telecom industry, where acquirers like FairPoint Communications and Hawaiian Telcom spent heavily on acquiring landline cast-offs from Verizon. Customer departures, a financial inability to upgrade facilities quickly enough, and heavy debts forced both companies into bankruptcy, precisely where Frontier Communications will end up if it does not change its management and business practices.

Kenya Has Faster Mobile Broadband Than U.S.A.

Phillip Dampier June 14, 2017 Broadband Speed, Consumer News, Wireless Broadband 1 Comment

Despite claims from America’s wireless companies that they deliver world-class wireless speeds, a new report from Akamai shows the United States only ranked 28th fastest in the world, beaten by the African nation of Kenya that ranked 14th.

Kenya’s 13.7Mbps average mobile broadband speed is almost twice as fast as the global average and consistently better than the U.S., where 10.7Mbps is the average. Nearly 90% of Kenya relies on mobile phones to reach the internet, primarily because its fixed line network never developed adequately to support faster broadband speeds. Kenyans have cell phones with cheap data plans, supported by a growing optical fiber backhaul network.

The United Kingdom, Germany, Finland, France, Norway and Denmark all scored the highest, with UK customers now getting an average speed of 26Mbps over 4G connections.

What two North American countries are not on this list?

Comcast Introduces Gigabit DOCSIS 3.1 Broadband in 7 New Cities: $70-109.99/Month

Comcast may be undercutting its own fiber broadband aspirations by introducing a cheaper way for customers to get gigabit broadband service over their existing Comcast cable connection.

Customers in seven new areas, including most of Colorado, Oregon, southwest Washington State, and the cities of Houston, Kansas City, San Francisco and Seattle now have access to Comcast’s DOCSIS 3.1-powered gigabit downloads. (Upload speeds are limited to a much less impressive 35Mbps.)

Comcast announced the new communities as part of their gradual rollout of DOCSIS 3.1 — the standard that powers cable broadband — across their national footprint. These communities join Utah, Detroit, Tennessee, Chicago, Atlanta, and Miami where Comcast has already introduced the new speeds.

It is Comcast’s latest foray into gigabit speed broadband, and it is decidedly focused on the cities outside of the northeast (except Boston) where Comcast has not faced significant competition from Google Fiber or AT&T Fiber, both delivering gigabit speed internet access. Verizon FiOS, predominately in the northeast, only recently introduced gigabit speed options for its residential customers. Comcast continues to be among the most aggressive cable operators willing to boost broadband speeds for its customers, in direct contrast to Charter Communications, the second largest cable operator in the country that is predominately focused on selling 60-100Mbps internet packages to its customers.

Comcast sells multiple broadband speed tiers to its customers.

Comcast’s efforts may undercut its own fiber-on-demand project, which wires fiber to the home service for some Comcast customers seeking up to 2Gbps service. That plan comes with a steep installation fee and term commitment, making it a harder sell for customers. Comcast’s DOCSIS-powered gigabit will retail for $159.95 a month, but Comcast is offering pricing promotions ranging from $70-109.99 a month with a one-year term commitment in several cities. The more competition, the lower the price.

In Kansas City, where Google Fiber premiered and AT&T is wiring its own gigabit fiber, Comcast charges $70 a month, price-locked for two years with a one-year contract. Customers who don’t want a contract will pay dearly for that option — $160 a month, which is more than double the promotional price.

In Houston, where AT&T has not exactly blanketed the city with gigabit fiber service and Comcast has been the dominant cable operator for decades, gigabit speed will cost you $109.99 — almost $40 more a month because of the relative lack of competition. Customers who bundle other Comcast services will get a price break however. Upgrading to gigabit service will cost those customers an additional $50 to $70 a month, depending on their current package.

“Additional prices and promotions may be tested in the future,” the company said in a news release.

Comcast does not expect many customers will want to make the jump to gigabit speeds and a higher broadband bill. Rich Jennings, senior vice president of Comcast’s Western/Mountain region, told the Colorado Springs Gazette that gigabit service was a “niche product for people who want that kind of speed.”

Comcast does suspect a number of signups will be from broadband-only customers who don’t subscribe to cable television.

Mike Spaulding, Comcast’s vice president of engineering, thinks the service will appeal most to those who rely entirely on a broadband connection for entertainment and communications.

“There’s not a lot of need for gigabit service for one customer to do one thing,” Spaulding told the Denver Post. “But what it does is enable an even better experience as more devices in the home are streaming, whether it’s video or gaming or whatever they are doing in the home. Most of our customers subscribe to the 100Mbps package today. Less than 10 percent of our customers are in the 200-250Mbps. We’ll see where one gig takes us.”

One place a gig may take customers is perilously close to Comcast’s notorious 1TB usage cap, which is currently enforced in Alabama, Arizona, Arkansas, California, Colorado, Florida, Georgia, Idaho, Illinois, Indiana, Kansas, Kentucky, Louisiana, Michigan, Minnesota, Mississippi, Missouri, New Mexico, Western Ohio, Oregon, Tennessee, Texas, South Carolina, Utah, Southwest Virginia, Washington, and Wisconsin, even for this premium-priced internet tier. Customers exceeding it will automatically pay a $10 overlimit fee for each 50GB of excess usage, up to a maximum of $200 a month. An unlimited ‘insurance plan’ is also available for $50 a month, which removes the 1TB cap.

Customers will have to use a new modem if they upgrade to gigabit service, either renting one from Comcast for around $10 a month or buying a compatible DOCSIS 3.1 modem. Two of the most recommended: the Arris Surfboard SB8200 ($189) or the Netgear CM1000 ($171.99) (prices subject to change).

Charter’s “Spectrum Internet Assist” is Cable-Style “Charity” With Tricks and Traps

Warren (center) pictured with representatives of Charter Communications and PowerMyLearning (Photo courtesy of: PowerMyLearning)

The incumbent mayor of Rochester, N.Y., currently up for re-election, has decided to take indirect credit for a low-cost internet program loaded with tricks and traps from a cable company that is worsening the affordable internet problem in the United States.

Mayor Lovely Warren made the head-slapping mistake of teaming up with Charter Communications, already on track to being even more universally despised by its customers than its immediate predecessor Time Warner Cable. Casting political instincts to the wind, Warren decided to team up with an unpopular cable company that is gouging its regular customers while offering a token “low-cost” internet program designed to protect Charter’s internet profits more than offering low-income customers a break.

WHAM-TV:

New low-cost, high-speed broadband Internet service is being launched in Rochester, Mayor Lovely Warren announced Thursday.

PowerMyLearning and Charter Communications announced Spectrum Internet Assist (SIA) would offer the service to eligible low-income household customers in Rochester.

Broadband speeds of 30/4 Mbps are being offered for $14.99 per month by SIA, according to Mayor Warren.

“Lowering the cost barrier to Internet access for families is essential if we are to close the digital divide and help them rise out of poverty,” said Mayor Warren. “Internet access is increasingly essential for students to do homework, for jobs seekers to research and apply for jobs, pay bills and remain connected with society.”

We agree with the mayor that lowering the cost barrier is critical to making essential internet service available to every resident. Unfortunately, Charter Communications is making the problem worse, not better. Charter’s idea of charity doesn’t seem so magnanimous when you read the fine print.

Charter’s solution for affordable internet: Charge most customers more while a select few jump through hoops for a discount.

First, Spectrum Internet Assist is highly discriminatory and only available to families with school age children that qualify for the National School Lunch Program. Don’t have kids? Tough luck. When they leave school, no more affordable internet for you!

Second, if you are a senior citizen on a fixed income, you probably already have 20+ years under your belt dealing with relentless rate increases from the local cable company. Unless you are 65 or over and receive SSI benefits, you’ll keep on paying those rate increases because the only thing Charter has on offer for you is a bigger bill.

Third, and the most egregious insult of all to the most vulnerable members of our society is Charter’s cynical fear its fat internet profits will be cannibalized if they simply lowered the bills of customers that would otherwise qualify for this program. Spectrum Internet Assist is for new customers only (and if you are still on a Time Warner Cable plan, you aren’t a new customer).

Charter refuses to relent on its policy requiring current customers to disconnect internet service for a month before they can qualify for Charter’s “charity.” The company is worried it will lose money from customers downgrading to Spectrum Internet Assist who will pay a lot less for internet access. To prevent that, Charter makes the process of enrolling as difficult and inconvenient as possible. Imagine if RG&E or National Grid demanded poor residents go without heat for 30 days before qualifying for heating assistance or if your elderly grandparents had to disconnect telephone service for a month before qualifying for Lifeline.

While obsessing about whether its poorest customers are taking ‘unfair’ advantage of a money-saving deal, Charter has no problem splurging on fat bonuses and compensation packages for its top executives. In fact, the highest paid CEO in the United States in 2016 was Thomas Rutledge, top dog at Charter Communications, rewarded with a splendid $98.5 million compensation package for finding new ways to charge consumers even more for cable service. Charter can certainly afford to lighten up on its customers. Instead, it seeks to live up to the cable industry’s usual reputation of a modern-day reboot of Oliver Twist, this time starring Rutledge as Fagin. Since Warren wholeheartedly endorses Charter’s paltry efforts for the poor, perhaps residents can call her up and ask why they should be forced off the internet for a month just to qualify for Charter’s “charity.” Or maybe not, considering the fact she had nothing to do with Spectrum Internet Assist beyond having her picture taken at a press event.

As is too often the case, uninformed politicians are quick to take credit for programs they don’t understand and are nowhere to be found when the real problem-solving and hard work needs to be done. How can we say that? Because we were a registered and very involved party in the New York Public Service Commission’s review of the Charter-Time Warner Cable merger deal. Mayor Warren wasn’t. We fought for pro-consumer benefits if such a deal was to be approved. Mayor Warren didn’t. We understood from long experience the cynicism that separates the cable industry’s lofty words from its fine print. She doesn’t.

Spectrum Internet Assist does very little to resolve the problem of internet affordability. The program is a close cousin of Comcast’s much-criticized Internet Essentials program, which has similar eligibility requirements and has proven cumbersome to sign up for and leaves too many eligible families behind because of its onerous signup requirements. In 2016, Comcast itself admitted that since 2011 it has only enrolled 750,000 low-income households in its discounted internet program, although more than 2.6 million families were eligible to sign-up but never did.

Charter makes internet affordability worse.

Our research shows that Charter’s token efforts for the few are more than canceled out by the rate increases and reduced options made available to the rest of its customers.

Time Warner Cable used to offer lower-cost internet plans.

Time Warner Cable used to sell six different internet plans ranging from $14.99 to $64.99 for new customers (and practically anyone who ever complained about their cable bill) or $14.99 to $109.99 if you were in the tiny minority of customers who didn’t either bundle service or ask for a promotion. Charter Communications argues it is “better” for consumers to simplify Time Warner’s “complicated” plans and pricing with a one-size-fits-all alternative — 60Mbps for what sells today for $64.99 a month (they raised the price $5 a month back in February). But at least you won’t pay that modem rental fee (if you didn’t bother to avoid it by buying your own cable modem that would have paid for itself long ago.)

So which company makes internet affordability a bigger problem — Time Warner Cable, which sold less expensive internet service at prices of $14.99, $29.99, and $34.99, or Charter Communications which advertises only one internet plan on its website for much of western New York – 60Mbps for $64.99 ($44.99 if you are new to Charter and not a previous Time Warner Cable customer that still has cable service). Spectrum’s plan is more than four times more expensive than Time Warner Cable’s previously well-advertised $14.99 plan.

Regular TWC broadband-only pricing in 2016.

No organization worked harder than Stop the Cap! to keep Time Warner Cable’s $14.99 Everyday Low Price Internet tier as a condition of the merger. While not fast, it is affordable and available to every customer, not just the small percentage that will eventually manage to qualify for Spectrum Internet Assist. Fortunately, New York’s Public Service Commission agreed with us and insisted that option remain available in New York State for the next several years. But Charter has subsequently made that plan almost invisible, removing all mention of it from its website, telling some customers it was not available, and leaving a distinct impression they don’t want customers to sign up.

Charter’s one-size-fits all plan got more expensive in February.

The reason is simple. Revenue cannibalization. Thomas Rutledge has repeatedly stressed to Wall Street investors he intended to end the “Turkish bazaar” of Time Warner Cable’s former cavalcade of plans and promotions. When a customer called Time Warner to complain about their bill, there was always room for negotiation and a better deal. Customers calling Charter looking for a break are hitting a brick wall with “take it or leave it” pricing, and tens of thousands of customers are “leaving it” and Charter behind. In this area, we don’t have that luxury because the alternative is usually Frontier Communications’ dreadful DSL service, which almost never meets the FCC’s definition of broadband — at least 25Mbps.

To give you an idea of just how rapacious Charter’s broadband pricing is, consider local upstart competitor Greenlight, which offers fiber to the home service to a very small number of neighborhoods predominately on the east side of the Genesee River. It charges a no-nonsense $50 a month for 100Mbps internet — $15 less than what Charter charges for 60Mbps. If you want gigabit speed, Greenlight will sell you 1,000Mbps for $100 a month, which is $5 less than Charter’s unadvertised 100Mbps offer ($104.95/mo with a mandatory $199 setup fee). Ten times the speed for less. No wonder their Facebook page is filled with people begging them to expand.

Rochester, like other cities in the upstate region, continues to fall behind with inadequate and costly internet service, insufficient competition, and no sign of gigabit speeds arriving anytime soon, unless you are lucky enough to live in a Greenlight service area. Those kinds of 21st century internet speeds are years away if we continue to depend on the local cable and phone company.

Phillip Dampier: We can afford to do without Charter’s “charity.”

In the local mayor’s race, one candidate seems to understand this problem and has a credible solution that fixes it. Rachel Barnhart has a long history of advocating for a citywide public fiber broadband network that would wire every home in the city for an estimated $70 million. The costs would be shared by city residents, the Rochester City School District, and at least one private vendor that would likely be responsible for administering day-to-day operations.

“About forty percent of homes in the city – 35,000 households —  don’t have high-speed internet via cable or DSL,” Barnhart said. “Some of those households can only access the internet via smartphones. The Rochester City School District has estimated half of its students don’t have broadband at home.”

City taxpayers have already paid for a underutilized institutional dark fiber network. Barnhart proposes putting that network to work for the community, selling competitively priced gigabit service for residential and business customers that would effectively subsidize free, slower-speed service for the less-fortunate. Is it expensive? Perhaps. But is it out of line when one considers in one local suburb this year, taxpayers will spend $1 million dollars on a single traffic light and minor road widening project to better manage traffic. Considering how many communities need digital highway traffic improvements, this kind of investment is hardly audacious and isn’t just about giving people fast internet. Managing the local digital economy with the right infrastructure is essential in a community that has seen the loss of tens of thousands of manufacturing jobs and has been economically challenged for years. The alternative is what we have now — watching a mayor impotently smile at a manufactured press event declaring victory while the near-cable monopoly local residents have for broadband service throws *-laden scraps at the public and calls it a day.

Rochester, and other communities that are enduring a cable company that is rapidly turning out to be worse than Time Warner Cable, cannot afford Charter’s “generosity.”

Politicians would do well to remember the sage advice we’ve given consumers since 2008. When a cable company claims they have a better deal for you, watch your wallet. For Mayor Warren, she will have to learn the same lesson we taught city councilman Adam McFadden and Assemblyman Joe Morelle. With friends like Charter/Spectrum or Comcast, you don’t need any enemies.

Charter to N.Y.: Life After Time Warner Cable is Great for You

Charter Communications this afternoon submitted its annual update to the New York Public Service Commission, a condition of its approved merger with Time Warner Cable.

The cable company argues the merger has already delivered substantial pro-consumer benefits, including faster internet speeds, a low-income broadband program, no loss of New York jobs, and more upgrades to come.

Some highlights for customers in New York State:

All-Digital Conversion

  • The handful of Charter legacy cable systems in New York have already been converted to all-digital service.
  • Former Time Warner Cable systems in New York City, Syracuse, and the Hudson Valley are now all-digital.
  • Albany will be converted to all-digital service in late 2017.
  • Rochester and Buffalo will be converted to all-digital service in early 2018.

Broadband Speed Upgrades

  • As of March 14, 2017 all Charter customers in New York can subscribe to at least 100Mbps service. ($105/mo, $199 setup fee)
  • Charter has been actively rebuilding its Chatham system in Columbia and Rensselaer counties to provide broadband service. Project completion dates: In Rensselaer County, Berlin and Petersburgh expected to be done by the end of the third quarter 2017. In Columbia County, construction is scheduled to begin in May 2017, with a target completion date set for the end of first quarter 2018.

Cable Expansion

Since the last build-out update was filed on February 17, 2017, Charter has completed build-out to an additional 5,039 passings and has now completed build-out to a total of 15,164 passings across 56 counties and approximately 1,018 municipalities. Major areas of completed passings include, but are not limited to, the following:

  • Albany County for approximately 1,330 passings, including the Village of Menands, Towns of Colonie, Cohoes, Bethlehem, Voorheesville, Selkirk, and New Scotland, and the City of Albany.
  • Broome County for approximately 151 passings, including areas such as the Barker, Binghamton, Conklin, Endicott, Lisle, Marathon, Vestal, and Whitney Point.
  • Cortland County for approximately 154 passings, including areas such as the Towns of Cincinnatus, Cortland, Cortlandville, Homer, Virgil, and Truxton.
  • Erie County for approximately 2,029 passings, including areas such as the Towns of Amherst, Boston, Clarence, Colden, East Concord, Depew, Grand Island, Holland, Orchard Park, Derby, Lancaster, Eden, Springville, Williamsville, West Seneca, and the City of Buffalo.
  • Genesee County for approximately 157 passings, including areas such as the Towns of Batavia, Elba, and Alexander.
  • Kings County for approximately 390 passings in Brooklyn.
  • Livingston County for approximately 196 passings, including areas such as the Towns of Honeoye Falls and Dansville.
  • Monroe County for approximately 1,797 passings, including areas such as the City of Rochester, Town of Perinton, Greece, Penfield, North Chili, Webster, Pittsford, Ontario, Spencerport, and Gates.
  • New York County for approximately 575 passings in the City of New York.
  • Niagara County for approximately 297 passings, including areas such as the Towns of Cambria, Lockport, Lewiston, Niagara Falls, Newfane, North Tonawanda, Sanborn, Pendleton, Youngstown, and Wilson.
  • Oneida County for approximately 221 passings, including areas such as the Towns of Utica, Rome, Clinton, Camden, Cassville, and Marcy.
  • Onondaga County for approximately 787 passings, including areas such as the City of Syracuse, Village of Camillus, and Towns of Cicero, Baldwinsville, Liverpool, Chittenago, Clay, Homer, Manlius, and Marcellus.
  • Ontario County for approximately 442 passings, including areas such as the Towns of Clifton Springs, Canandaigua, Phelps, and Victor.
  • Orange County for approximately 429 passings, including areas such as the Towns of New Windsor, Middletown, Salisbury Mills, Montgomery, Goshen and Woodbourne.
  • Oswego County for approximately 146 passings, including areas such as the Towns of Pulaski, Fulton, Parish, Albion, Altmar, Camden, and Central Square.
  • Rensselaer County for approximately 376 passings, including areas such as the Towns of Castleton on Hudson, Cropseyville, Brunswick, Hoosick Falls, Nassau, Johnsonville, Sand Lake, East Greenbush, and Wyantskill, the City of Rensselaer, and the City of Troy.
  • Saratoga County for approximately 1,854 passings, including the Towns of Milton, Stillwater, Clifton Park, Ballston Lake, Ballston Spa, Halfmoon, Round Lake, Mechanicville, Malta, Waterford, and Wilton, and the City of Saratoga Springs.
  • Schenectady County for approximately 218 passings, including areas such as the Village of Delanson, Towns of Esperance, Niskayuna, Duanesburg, Glenville, and Rotterdam, and Burnt Hills, and the City of Schenectady.
  • Schoharie County for approximately 106 passings, including areas such as the Towns of Middleburgh, Cobleskill, Jefferson, and Schoharie.
  • St. Lawrence County for approximately 171 passings, including areas such as the Towns of Canton, Massena, Potsdam, and Gouverneur.
  • Sullivan County for approximately 639 passings, including the Towns of Fallsburg, Liberty, Monticello, Victor, Thompson, Loch Sheldrake, Swan Lake, Bethel, and White Lake, and the Villages of Woodridge and Wurtsboro.
  • Tompkins County for approximately 303 passings, including areas such as the Towns of Ithaca, Slaterville Springs, Groton, and Newfield, and the City of Ithaca.
  • Ulster County for approximately 537 passings, including the Towns of Accord, Hurly, Rochester, Ulster, Kerhonkson, New Paltz, Greenfield Park, Woodstock, and Saugerties, and the City of Kingston.
  • Warren County for approximately 107 passings, including areas such as the Towns of Lake George, Warrensburg, Queensbury, and Glens Falls.
  • Wayne County for approximately 192 passings, including the Towns of Palmyra, Ontario, Macedon, Walworth, Newark, Sodus, and Williamson.

Ed. Note: Nothing precludes Charter from including new housing developments and similar projects in these numbers where it would have provided service regardless of the Order from the PSC.

The Availability of Time Warner Cable’s Unrestricted $14.99 Everyday Low Price Internet Tier

Charter has continued to offer new subscribers in TWC’s New York territory the TWC standalone Everyday Low Price $14.99 broadband service, at speeds no less than those being offered at the time of the merger order, and will continue to offer this to new subscribers for up to two years after close (until May 17, 2018). Any customer is qualified to subscribe to this service, which provides around 2Mbps of internet speed.

Ed. Note: This service is not advertised or mentioned in any way on Charter/TWC’s marketing website and many Stop the Cap! readers in New York have told us Charter sales representatives have repeatedly told them the service is not available, so this claim is in dispute.

Existing customers with the Everyday Low Price tier at the time of closing will be allowed to retain this product for a minimum of three years, which the Commission has set to “run concurrently with the two-year period in which Charter must continue to offer the service to new customers.” New subscribers will be able to retain the product until at least May 17, 2019.

$14.99 Low Income Broadband Service “Spectrum Internet Assist”

First available in the Plattsburgh area in November, 2016, Spectrum Internet Assist has now expanded to former Time Warner Cable territories in New York.

For $14.99 a month, qualified customers get 30/4Mbps broadband service. Wi-Fi service is available for an extra $5 a month. Customers must qualify for at least one of these low-income benefit programs:

  • The National School Lunch Program (NSLP); free or reduced cost lunch
  • The Community Eligibility Provision (CEP) of the NSLP
  • Supplemental Security Income (SSI) ( ≥ age 65 only)

A former Time Warner Cable call center.

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