Frontier Communications is targeting promotional offers to customers that have been impacted by cable service outages and rate hikes, despite having a relatively poor service record itself.

Frontier president and chief operating officer Dan McCarthy told investors attending the recent Goldman Sachs Communicopia Conference the company was pulling out all the stops looking for surgical marketing opportunities.

“People don’t wake up every day, and say, ‘I want to switch broadband providers.’ It’s really about finding what is that lever to pull. Sometimes it’s a message at a key point — it could be during an outage, it could be during change of prices for them. It could be there are some substandard speeds that are being offered,” McCarthy said. “We are looking at what is the right mix of messaging and promotional offers that really allow us to do that. I think you’ll see us be pretty aggressive in that area,” he added.

But Frontier itself has had plenty of service problems, and was the only major Internet provider in the country to have lost ground in a July FCC report measuring broadband quality. The company continues to face extensive service outages when fiber cables are cut or copper wiring is stolen by thieves. Recent storms this past summer disrupted 277 Frontier central offices in the Carolinas, Indiana, Pennsylvania, and West Virginia, according to a Securities and Exchange Commission filing. The repair work, including overtime and equipment, is expected to cost the company at least $15 million.

Frontier reports it expected to replace at least 167,000 feet of damaged or stolen copper cable and purchased 203,000 backup power generators to keep central exchanges up and running during extended electric outages.

This week, a major service outage struck customers in parts of Ft. Wayne, Ind. after an accident severed an important cable.

A number of customers in Frontier service areas have already disconnected their landlines with the company, but where cable companies do not provide service, Frontier reports it is having success selling a standalone DSL product it dubs, “Simply Broadband.”

“We are seeing success in attracting and retaining customers with this product and it is having a positive impact on our Q3 residential customer counts,” Frontier reports in an SEC filing.

Frontier has also recently announced speed boosts in several states that can deliver up to 25Mbps DSL service to certain customers.

A 52-year old Los Angeles woman was bill shocked when she found Time Warner Cable charged her for 17 pay-per-view adult movies ordered over four days, often within minutes of each other.

Total charge: $154.65.

The actual number of adult movies watched, according to Time Warner customer Carol Scott: Zero.

Time Warner Cable’s initial response to Scott’s billing complaint: “We don’t make mistakes. You must have watched all those movies.”

The Los Angeles Times‘ David Lazarus reported on the plight of the healthcare lawyer the cable company thinks can’t put down her remote control:

On one day, the bill shows, a dirty movie was ordered at 9:55 a.m., followed by additional orders at 9:57, 10:03, 10:04, 10:05 and 10:06. Each movie came with a $7.98 charge.

Two days later, according to the bill, Scott’s craving for porn returned in a big way with orders for adult movies at 10:39 a.m. and 10:40, and again at 2 p.m., 2:01, 2:03 and 2:04.

She was apparently in such a randy mood, the bill shows that two adult movies were simultaneously ordered twice that day at 2:03 p.m. and 2:04.

The next day, a little more afternoon delight was seemingly in order. Scott’s bill indicates that two more adult movies were ordered, at 12:15 p.m. and immediately after at 12:16.

Unfortunately, Time Warner’s bill doesn’t specify the titles of the various films, so we can only guess at the range of tastes on display.

Scott explained she never ordered an adult pay per view movie in her life, much less 17 of them — a fact Time Warner Cable could have taken into account had it appropriately investigated her pay per view order history.

Instead, the representative insisted he had proof the movies were directly streamed to her television (was he outside her window?). If she wasn’t the one watching, someone else was — or several people, considering Scott’s bill showed she had as many as six sleazy sex flicks running at the same time.

Scott’s request to block adult pay per view titles from being ordered ever again was blocked by Time Warner. A customer service agent explained it was all or nothing — block all pay per view titles or none of them.

When the Los Angeles Times reporter called Time Warner Cable on behalf of Scott, the cable operator got nervous and had premature explanations.

Scott said one representative suggested electrical shorts could have resulted in her pay per view porn escapade, or perhaps someone got inside her cable box. Another repeated the company’s earlier insistence she must have watched the movies.

Jim Gordon, a company spokesman, didn’t really want to talk about it.

“We take customer privacy seriously, which we know our customers appreciate, and as such we are not able to comment on a particular customer’s account,” Gordon said.

Gordon passed the newspaper reporter to Motorola to discuss cable box hacking, as the Time Warner Cable set top box involved was manufactured by them.

In the meantime, under threat of going public with a relationship gone bad, Scott’s account was credited $154.65 and the cable company found its way clear to configure a block on future adult pay per view titles on Scott’s account.

If you do not use your cable company’s pay per view service, why not consider avoiding being the next lucky victim of cable porn roulette and ask your provider to block all pay per view purchases.

Lafayette, Louisiana has never sit still for private companies bypassing the heart of Cajun country. When electric companies refused to wire the city, the community elected to do it themselves. When Cox Cable and AT&T said no to providing the kind of cutting-edge broadband that would allow Lafayette to protect its reputation as an entrepreneur-driven community, publicly owned utility LUS constructed a fiber to the home broadband network for every resident and business. Today, LUS Fiber has helped transform the parish, with half the unemployment rate of the rest of the country and an attractive place for digital economy jobs. It has even helped curtail well-educated recent graduates moving away in search of high-tech employment.

“There really is no infrastructure more important in the 21st century economy than fiber,” said Geoff Daily, executive director of Fibercorps, a non-profit group promoting digital economic development in Lafayette.

[flv width=”640″ height=”380″]http://www.phillipdampier.com/video/FTTH Council – LUS Profile 9-24-12.flv[/flv]

Watch how LUS Fiber has transformed the lives of students, attracted new high-tech business, and promoted job growth with broadband infrastructure most cable and phone companies simply won’t provide.  (9 minutes)

AT&T has secured support from the Federal Communications Commission for authority to deploy 4G LTE service within a 20MHz portion of the 2.3GHz WCS band after cutting a deal with a next door neighbor especially sensitive about potential interference.

WCS spectrum holders have fought for years to develop commercially viable wireless service, but faced regular opposition from the satellite radio industry concerned that interference problems would result from using the band for mobile data. Right in the middle of the WCS band is Sirius XM, which depends on sensitive receivers to pick up the company’s satellite signal.

But now AT&T and Sirius XM have worked out a compromise both companies believe will protect mobile data and satellite radio. AT&T has conceded 10MHz of its total WCS spectrum for two 5MHz guard bands, devoid of signals, around Sirius XM’s frequencies. Sirius XM signal engineers believe this, combined with power limits, will protect radio receivers from overloading whenever near AT&T’s ground-based LTE cell towers.

In August, AT&T announced its intention to acquire WCS spectrum from NextWave Wireless, a spectrum-squatting holding company, for $600 million. The phone company is also attempting to acquire the remainder of WCS spectrum from the last two significant holders — Comcast and Horizon Wi-Com, which both have between 10-25MHz of spectrum in 149 and 132 communities respectively.

When the acquisitions are complete, AT&T will have WCS spectrum covering virtually the entire nation.

Frequencies in the 2.3GHz band are best received outdoors. Signals crossing windows and walls lose potency. (Courtesy: Greenpacket)

AT&T says it needs the spectrum to further deploy 4G LTE data service across the country. But the company admits it will take up to five years before it can switch on the new frequencies — no current smartphones support the 2.3GHz WCS band.

AT&T has also included provisions to ensure fixed wireless base stations will be able to utilize AT&T’s WCS spectrum, within reasonable limits to protect Sirius XM radios from harmful interference. That has important implications for AT&T’s long-term view that rural landline and broadband service is best delivered over a wireless network.

A major limitation of spectrum in the 2GHz band is the quality of indoor coverage it can deliver. As many Clearwire customers can attest, these frequencies suffer from high transmission loss, poor ability for diffraction, and most importantly, poor building penetration — especially in urban and suburban areas. Tall nearby buildings, homes, and even trees all impede WCS reception. According to Andrea Goldsmith in her book Wireless Communications, there is also a 6dB penetration loss when 2.5GHz signals cross un-insulated glass windows and a 13dB loss for concrete walls, with wood falling somewhere in-between.

But rural areas do better, in part thanks to the higher likelihood of unimpeded line-of-sight access between a cell tower and receiver. AT&T’s fixed wireless solution would place a small antenna on the roof or side of a home, positioned for maximum reception from the nearest cell tower. The signal is then brought indoors through cabling (or in some cases Wi-Fi) and available to customers, comparable to a home broadband connection.

AT&T’s strong spectrum position in WCS gives the company an opportunity to construct a robust, near-nationwide wireless network suitable for rural wireless communications. In more urban areas, WCS could operate seamlessly with AT&T’s lower frequency holdings and offer an extension of its current LTE service.

AT&T’s acquisition of WCS has several important implications for the wireless marketplace:

2GHz signals travel the least distance in urban and suburban areas, often blocked or degraded by buildings or trees. But better results in rural areas suggest AT&T’s WCS spectrum could partly be deployed as a fixed wireless broadband solution, if enough towers are available to support it. (Courtesy: Greenpacket)

1. It proves AT&T never needed to acquire T-Mobile USA. Through spectrum acquisitions like WCS, AT&T can still find relatively inexpensive spectrum suitable for mobile broadband use, without spending tens of billions to acquire a competitor just to poach its spectrum and eliminate a competitor.

2. The Competitive Carriers Association worries AT&T’s acquisition of secondary spectrum holders is allowing the company to gather a massive amount of spectrum.

CCA President & CEO Steven K. Berry said, “Allowing the largest carriers to obtain unlimited amounts of  spectrum on the secondary market raises serious competitive concerns.  The only way for the FCC to truly see the devastating consequences of further spectrum aggregation is by consolidating the proposed applications.  On their own, AT&T’s proposed license acquisitions may not seem significant, but when added together, it totals to a significant amount of spectrum.”

Berry continued, “Should the FCC decide to approve the transactions, it must impose conditions to ensure interoperability across the Lower 700 MHz band and to ensure data roaming – both are absolutely essential ingredients to a healthy, competitive marketplace.  Competitive carriers need access to usable spectrum, and I urge the Commission to carefully review the negative impact these transactions will have on the wireless marketplace.”

3. Clearwire’s 2.5GHz spectrum could become more valuable if AT&T can demonstrate its 2.3GHz service can deliver robust service, if provisioned adequately for customers. Clearwire’s capital investments and overall performance of its limited coverage WiMAX network have been deemed inadequate by its biggest partner Sprint, now constructing its own 4G LTE network to replace Clearwire’s WiMAX network.

4. Credit Suisse analyst Jonathan Chaplin notes Verizon will still have a better standing in spectrum even with AT&T WCS: “AT&T will have the following available for LTE: 20 MHz of 700 MHz nationwide; 20 MHz of WCS nationwide; a few AWS licenses (5 MHz on average). With Verizon’s deal with large cable companies, Verizon will have: 20 MHz of 700 MHz nationwide; 20 MHz of AWS nationwide; another 10 MHz of AWS in 60 percent of the country (13 MHz on average). In addition, Verizon’s spectrum is usable immediately, while AT&T’s WCS will take three to five years to deploy.”

Anger management failure at the Time Warner Cable store

I always wondered why some Time Warner Cable stores maintain a very visible security presence, often with a uniformed guard stationed in plain sight. This morning, I got my answer.

While visiting a local cable store to exchange a set top box, I ended up behind five other customers, with just a single representative on duty. Seated on the provided couch, I was well-positioned to hear the issues of customers in line before me. It was the usual pattern — a bunch of late-payers wondering how much of their $400 past due cable bill they needed to pay to reconnect service, a customer exchanging a troublesome remote control or turning in unneeded equipment, and one older “gentleman” who clearly spent his morning preparing for a personal indictment of Time Warner’s customer service.

He was in line right before me. I should have realized there was going to be a problem, considering he spent 15 minutes muttering under his breath and mocking the representative’s answers to other customers as he waited his turn.

His moment finally arrived, and he unleashed.

“How do you people sleep at night,” was his opening. “Time Warner Cable sucks.”

And they’re off….

For at least 10 minutes, the woman behind the counter took a relentless verbal, often personal lashing.

Phillip “Next in line after Mr. Angry” Dampier

“I worked for a utility company and I would have been fired if I ever provided service as bad as yours,” was quickly followed by “do you actually train your people?”

It seemed, in-between the insults, this particular customer lost cable service the other day, called Time Warner’s automated attendant, and was erroneously told there was no reported service problem in his area. Finally reaching a live person, the customer service representative quickly repeated that, despite protests that “the whole street is out.”

Over the course of the day, the perturbed customer repeatedly called Time Warner to give regular updates on their conclusion there was no problem.

“There were Time Warner trucks on my street and you people have the nerve to tell me there is no problem,” relayed the man. “I’m glad I don’t have your phone service because even your own people told me not to get it because it was unreliable. I would not have been able to even call you then.”

But the final indignation was the customer’s perception a Time Warner Cable employee ordered him to stay home for a service call the next day.

“How dare you tell me what to do. You people wasted my time and yours and I never had this problem with Dish when I had them,” he lectured. “I don’t know how you guys even stay in business with crappy service like that and you lie to your own customers.”

The employee behind the counter had evidently been well-seasoned by prior encounters with angry customers. While never telling the man she understood his concerns, she did repeatedly tell him she was not the one telling him the things that obviously had upset him.

Other customers watching the display further back in line began to leave the store, noting the man showed no signs of drawing his angerfest to a close.

“I should just go back to Dish,” repeated the man. “You people are just awful and you always have been and you should be ashamed.”

For a few moments, there was silence as the representative looked up information about the customer on her computer. That was her big mistake.

“I am going to back my truck up and just chuck my cable box through your window for all it is worth,” as the relative calm of the eye of Hurricane Angry Guy had now passed on by. “Screw all of you.”

Having self-satisfied himself with his venting, he stormed off slamming the store door open as hard as he could.

“Customer #110 is now being served at window 2,” proclaimed the automated voice.

That was me. I hesitantly approached the desk.

Initially defensive, the customer service person cut me off the moment I took a breath to speak and tartly asked for my phone number.

It should be obvious to any reader here that I am a relentless critic of some of the policies and decisions made by the management of large cable and phone companies like Time Warner Cable. I am also a customer, so technically I could feel entitled to unleash my concerns about the industry as a whole on any employee of the cable company. But that would be wrong.

Taking your frustrations out on a customer service representative that had nothing to do with creating a problem will not solve the problem. Hurling a tirade of personal, verbal abuse is simply unacceptable.

If Time Warner Cable made the mistake, calmly discussing the problem without yelling at the representative would have probably netted the customer a customer courtesy credit and an apology. Asking the representative what she could do to alleviate or compensate for a problem gives them a chance to help. Putting them under a state of siege is a sure way to shut them down, hoping you will leave as quickly as possible.

In short, nobody deserves to be treated the way this representative was this morning.

Being affable got me a lot farther. The representative’s initial defensiveness quickly dissipated and she went out of her way to address concerns and even offered things I did not request. When it was all over, I thanked her for her help and she returned the courtesy wishing me a great day.

Some people believe being difficult and browbeating customer service will get them satisfaction. But I have found that remembering the “three P’s” of customer <-> customer service interaction work far better:

1. Be polite. If you have a problem with your provider, don’t assign blame to the one person that might be able to alleviate the problem. Calmly explain what the company did wrong in your eyes and empower and encourage the customer service agent to be your ally to resolve the problem. Making things personal puts anyone on the defensive, which guarantees less interaction, not more. Treat people the way you expect to be treated.
2. Be persistent. If the offered solutions don’t work for you, let them know in a calm voice that their suggested resolution is insufficient. Ask them if there is anything else they can do to resolve an issue or compensate you. If they seem unable to help, ask them if a supervisor could.
3. Be persuasive. Reminding a customer service agent you appreciate their help and that, as a long standing customer, you want to preserve a positive attitude about your provider gives them the incentive to go further for you. If necessary, remind them that a happy customer stays a customer. An unhappy one leaves and tells everyone they know. Keep things business-like and keep your anger in check.