Cablevision: Don't Call Us

By the time Hurricane Irene reached upstate New York and New England, it was a tropical storm some say was over-hyped from the outset, but don’t tell that to utility companies facing weeks of service restorations that will leave some of their customers offline until October.

The worst damage to infrastructure was done in this region, with utility poles swept away in flood waters right along with the homes they used to serve.  Telephone and cable companies in several parts of the region cannot even begin to restore service until higher-priority electric service is brought back.  Besides, you can’t use a broadband connection if your power has been out for a week plus.

Those addicted to their online connection are making due in parking lots and other Wi-Fi hotspots where service prevailed over Irene.  Wireless connectivity from cell phone companies is also getting a workout, assuming customers are aware of usage caps and limitations which could make September’s bill much higher than expected.

Stop the Cap! has learned some DSL service restoration appointments in upstate New York, Massachusetts, Vermont, and New Hampshire are now extending into October, although companies suggest outside work may resolve problems.  Customers with the worst luck face a lengthy wait for the replacement of utility poles, new utility lines to be strung across them, and replacement of individual lines connected from the pole to individual homes.

Some FairPoint Communications customers are finding Irene did a real number on their DSL service even if power outages were limited.

In southwestern New Hampshire, Robert Mitchell was presented with a unique error page on his computer after the lights came back on:

“…we are improving the security of your broadband connection. As such, you have been redirected to the FairPoint Communications broadband service page to install a security update.”

That was a fine idea, except its implementation left customers like Mitchell with the most secure broadband connection around, resistant to all malware and viruses — namely, by not having any connection at all.

My annoyance only increased when I realized that FairPoint may have provided a link to download the security update software, but they were not going to make the process of accessing that software easy.

“Your Web browser (Firefox) and Operating System (Mac) are not compatible with the DSL Security improvement process…please re-open this page on a Windows XP, Vista or Windows 7 PC using Internet Explorer,” the message continued.

Bully for me, I have two Macs in the office. Time to call technical support? Nope, sorry. Both of my phone lines use Vonage, a VoIP service that relies on a working DSL modem for dial tone. Cell service at the house was sketchy at best — if I could even get through to technical support during a hurricane.

With the help of an old Windows XP machine, Mitchell managed to finally get back online.  Later, he learned the power spikes and brownouts that preceded the blackout in his neighborhood had caused his DSL modem to resort to its original default settings.  When FairPoint customers first connect a DSL modem, the company prompts them to perform the aforementioned “security update.”  Only FairPoint stopped offering that update more than eight months earlier.  Now, according to Mitchell, it’s just the default start page for newly activated DSL modems.

Customers further east in downstate New York, Massachusetts, Maine, Long Island, Connecticut, and New Jersey are finding getting service restoration highly dependent on which provider they use.

Time Warner Cable customers numbering about 350,000 found their service out Wednesday after leftover flooding and debris tore up fiber cables serving Maine, New Hampshire and Vermont.  Service was restored that evening.

Cablevision customers in Connecticut are still experiencing new outages caused by flooding, and with power company workers contending with more damage in that state than further south in New York, cable crews can’t restore service until the lights are back on.

Cablevision customers on Long Island are still being told not to bother calling the cable company to report outages.  Those that do are often given a date of Sept. 15 for full service restoration, although it could be sooner if damage in individual neighborhoods is less severe.  A Cablevision spokesman said, “Cablevision is experiencing widespread service interruptions, primarily related to the loss of power.  Cablevision crews are in the field and we will be working around the clock to make necessary repairs, in close coordination with local utilities.  Generally, as electricity is returned to an area, customers will be able to access Cablevision service.”

Verizon customers in downstate New York and New Jersey faced lengthy hold times to report service outages, and are given a range of dates from later this week until mid-September for full service restoration.  Some pockets of very badly damaged infrastructure may take even longer to access and repair.  Verizon’s largest union workforce, under the auspices of Communications Workers of America District 1 are accusing Verizon management of slowing repairs with denials of overtime work requests, in part to punish workers for their recent strike action.  John Bonomo, a Verizon spokesperson, denies that accusation, but added the company is not treating the thousands of customers still without service as an emergency, noting landline service “is not as vital as it had been in past years.”

Comcast customers, mostly in Pennsylvania, Vermont and Massachusetts, are turning to smartphones to cope through extended service outages, according to the Boston Globe:

Comcast Corp. customer Soraya Stevens turned to her iPhone when her cable blew out, logging on to Twitter from her Bedford home for the latest power outage updates. “I would not have any communication or insight without my smartphone,’’ said Stevens, a software engineer.

Some customers who lost cable service lost their TV, Internet, and landline phone, which are often bundled and sold together. Many turned to their smartphones, operating on batteries and the signal from cellphone towers, or friends and family who still had cable service.

AT&T, which serves landline customers in Connecticut, experienced more outages a day or two after Irene departed as battery backup equipment installed at landline central offices finally failed.  Those equipped with diesel generators are still up and running, but many AT&T customers sold a package of broadband and phone service may actually be receiving telephone service over a less-robust Voice Over IP network, supported with battery backup equipment that shuts down after 24 hours, when the batteries are exhausted.  This has left customers with standard copper wire phone service still up and running, but customers on Voice Over IP completely disconnected.

Bill Henderson, president of Communications Workers of America Local 1298, told the Hartford Courant those landlines aren’t considered landlines by the Department of Utility Control, and aren’t regulated for reliability, as the old system is.

“Technology has risen. Some of the things we’ve given up in that system is reliability,” he said. “This is what I’ve been screaming about to the DPUC. It’s a telephone! We need to regulate this service.”

Customers are also complaining loudly about AT&T’s poor wireless performance during Irene, with many tower outages and service disruptions that are still ongoing.

Remember, when services are restored, be sure and contact your provider and request a full service credit.  You will not receive one unless you ask.

Fox has turned off instant access to its network shows effective this afternoon for all but “authenticated” pay television customers.  But with only one partnered provider thus far — Dish Network — that leaves millions on an eight day waiting list.

Fox Network programming on its own website and Hulu is impacted by the new embargo, which means the vast majority will have to wait at least a week for access to new episodes.  Customers paying for Hulu + are not affected by the delay, and the network promises forthcoming partnerships with other cable and satellite providers shortly.

Fox says it’s all a part of “retransmission consent” agreements with pay providers.  Major cable operators don’t want to pay for Fox affiliates and cable networks if the network is willing to give away free access to programs online.  In return for blocking access to “cord-cutters,” cable companies hope to stop consumers from switching off cable television packages.

Viewers who try and access shows are brought to a new authentication page to “unlock” access to programming.  If they can’t because their provider isn’t listed, they can fill out an online form requesting their provider participate in the TV Everywhere project.

Most Fox viewers probably will not encounter the new FoxBlock until late fall.  That’s when new seasons of Glee, House, and The Simpsons get started.

Despite the ongoing loss of cable television subscribers who are dropping video packages, broadband remains an incredibly important, and profitable component of today’s telecommunications industry.  Comcast, America’s largest ISP, now has 17.55 million customers, earning the company $2.2 billion dollars every quarter, which amounts to nearly $9 billion a year.  That amounts to an addition of 418,000 broadband customers for Comcast during the last quarter alone, the most Comcast has ever added since the first quarter of 2008.

For the second quarter of 2011, Comcast’s capital expenditures increased 5.5% to $1.2 billion, reflecting increased investment in network infrastructure to enable product enhancements, including faster speeds in high-speed Internet, as well as increased investment to support expansion in business services. Cable capital expenditures equaled 12.6% of Cable revenue in the second quarter of 2011.

For the six months ended June 30, 2011, Cable capital expenditures increased 10.0% to $2.2 billion, representing 12.1% of Cable revenue.

Time Warner Cable scores a distant second among cable companies with 9.99 million subscribers; Cox is third with 4.4 million.

Among the phone companies, AT&T remains the largest with 16.48 million customers.  Verizon is a distant second with 8.49 million customers.

Leichtman Research Group, Inc. found nearly 77 million Americans have broadband service from the 19 largest providers, which represent about 93 percent of the broadband market.

Almost every customer had the choice of two or fewer providers — a cable company and/or a telephone company.

Sources: The Companies and Leichtman Research Group, Inc.
* LRG estimate
** Includes LRG estimates for Bright House Networks, Mediacom, and RCN
^ CenturyLink acquired Qwest on 4/1/11
Company subscriber counts may not represent solely residential households
Totals reflect pro forma results from system sales and acquisitions
Top cable and telephone companies represent approximately 93% of all subscribers

News Corp.’s Fox television network has announced it will erect a pay wall that will delay access to popular Fox shows for eight days after airing… unless you are an authenticated cable-TV or other pay television subscriber.

The announcement is the first among the major broadcast networks to keep cord-cutters and those who don’t pay for their television entertainment from conveniently watching shows online.  With most Fox shows formerly available for free on Hulu one day after airing, many viewers simply watch programs online, enjoying a reduced number of commercials along the way.

Now, viewers will have to wait a week before those shows become accessible.  Or, they can pay Hulu $7.99 a month for a Hulu+ subscription and watch right away.  Or sign up for cable television.

The pay wall will be introduced Aug. 15 and was constructed at the behest of the nation’s largest cable, phone, and satellite companies to stop consumers from watching shows online for free.  Local Fox stations don’t mind the change either, if it means you will watch your favorite shows on local stations instead of a national website.

Michael Hopkins, Fox’s president of affiliate sales released a statement explaining the change was designed to “enhance the value” of cable, satellite, and telco-TV subscriptions.  Cable companies have been upset about paying retransmission rights fees for Fox’s local affiliate stations, only to see the network give away programming, for free, online.

Hopkins

“We’re concerned that cord-cutting is going to be a problem,” Mike Hopkins, Fox’s president of affiliate sales, said in an interview with the Wall Street Journal. “The more you enable it by putting content out there for free without any tether to a pay-TV subscription, the bigger that danger becomes.”

If Fox is the first broadcast network to erect a pay wall, it likely won’t be the last.  Disney’s ABC is exploring adopting a similar strategy, and CBS had withheld much of its programming from online ventures precisely because it believes it dilutes the value of its shows.  It will likely favor a similar pay television approach.

For consumers, the details of how the pay wall will work could become problematic depending on their pay television provider.  DirecTV is quickly working to keep free access to Fox shows for its subscribers after the pay wall takes effect.  But some cable companies like Time Warner Cable have dragged their feet on TV Everywhere online projects, and subscribers, even with cable TV packages, could still find themselves locked out behind the wall, unless they also have a Hulu+ subscription.

The risk of annoying viewers by keeping them away from their favorite shows could easily spark a renewed interest in piracy.  With a commercial newsgroup account, access to peer-to-peer software or file storage sites like Rapidshare or Megavideo, bypassing the industry’s pay-walls is as easy as finding the shows viewers want to watch, legally or otherwise.

Tough economic times often bring an incentive to steal cable service, especially when being given the name and number of a “connection” that can hook you up for service priced at almost $75 a month for a one-time fee of $50-75 dollars.

Time Warner Cable, among other Cleveland-area utilities, were on the hunt for one alleged under-the-table installer — Eddie Hunt — for nearly a year.

Last Wednesday, a sting paid off.

“He’s kind of known as the hook-up man. If you want to go the black market route and risk getting in trouble, he’s the man, ” Time Warner Security Director Kevin Pratt told Cleveland TV station WKYC.

Hunt is certainly qualified to install cable — he’s been allegedly fired twice from his last two jobs working for cable companies.

Hunt allegedly charged local residents a “one time” fee for unlimited cable, until security measures cut the free service off.  Time Warner claims Hunt would then be back for more money to restore the service.

Time Warner Cable surveillance video shows Hunt accepting money for an illegal cable hookup — video later partly shown by WKYC News.

Hunt was arrested by local authorities.  Time Warner Cable says it will run an amnesty program for those with illicit cable hookups, allowing them to become paying customers without legal penalties.  But the cable company says it will give only one warning before they would move to have customers prosecuted for cable theft.

Cable companies estimate at least 14 percent of their “customers” aren’t paying for cable service.  The industry claims this hurts local communities through reduced franchise fee payments and raises prices for everyone else.

“It costs you and me, the government and everybody,” said Pratt. “It’s definitely not a victimless crime.”

[flv width=”480″ height=”288″]http://www.phillipdampier.com/video/WKYC Cleveland Garfield Heights Sting nabs alleged cable TV pirate 7-1-11.flv[/flv]

WKYC-TV ran this exclusive story on Eddie “The Hookup Man” Hunt, alleged to be responsible for cable and other utility theft in the Cleveland, Ohio area.  (3 minutes)