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Comcast Passes 30 Million Customers, Still Growing Broadband Subscribers

Phillip Dampier October 25, 2018 Broadband Speed, Comcast/Xfinity, Competition, Consumer News Comments Off on Comcast Passes 30 Million Customers, Still Growing Broadband Subscribers

Comcast has passed 30 million customer relationships, mostly from adding new broadband customers that continue to disconnect from phone company DSL service.

In the last quarter, Comcast added 363,000 new broadband customers, a number the company calls its best third quarter subscriber add in 10 years, growing revenue by almost 10%.

High-speed residential and business internet service are among Comcast’s highest-margin businesses. Combining fast growth with sky-high profitability, Comcast boasted its broadband revenue is now the largest contributor to the cable company’s continued overall growth, reaching $4.3 billion this quarter, an increase of 9.6%.

“We have added over 1.2 million net new residential broadband customers in the last 12 months, including 334,000 net additions in the third quarter,” said Michael J. Cavanagh, Comcast’s chief financial officer. “Our offering is resonating with customers, as our consistent innovation and investment in our network has enabled us to stay ahead of customer expectations for not just high speeds, but also wall-to-wall Wi-Fi coverage and the ability to manage the increasing number of devices attached to their home networks.”

Comcast CEO Brian Roberts praised Comcast’s achievement of rolling out gigabit download speed to more customers than any other telecommunications company in the country.

“Our 1 gigabit internet is now available to nearly all of the 58 million homes and businesses passed in our footprint,” Roberts said. “This is the fastest deployment of gigabit speeds to the most locations in the country by anybody.”

Roberts claims Comcast will continue to build many of its future products and services around its broadband platform.

“We are investing to harness the capacity and capabilities of our network and deliver innovative differentiated experiences, which we believe gives us a long runway for further growth,” Roberts told investors on a morning conference call. “We are competing really well in residential broadband by offering customers the fastest speeds, most reliable Wi-Fi coverage in the home, and industry-leading Wi-Fi management and controls. We’ve branded our holistic broadband product as xFi, and continue to add new features, and we’re rolling out our xFi gateways and pods to further enhance the service.”

Comcast’s growing reliance on broadband products comes at the same time it faces additional cable television cord-cutting activity.

Cavanagh blamed online video streaming competitors like Sling TV and DirecTV Now for poaching its “low value” subscribers, admitting Comcast lost at least 95,000 net residential video customers in the last three months.

J.D. Power Survey Rates Charter Spectrum and Frontier Among Worst in Satisfaction

Phillip Dampier October 3, 2018 Broadband Speed, Charter Spectrum, Competition, Consumer News, Frontier Comments Off on J.D. Power Survey Rates Charter Spectrum and Frontier Among Worst in Satisfaction

Charter Spectrum and Frontier Communications are among America’s most-hated telecom companies, especially east of the Mississippi River, according to the latest J.D. Power 2018 Residential Satisfaction Study that measures customer satisfaction scores across four geographic regions of the country.

Among the best for internet access, AT&T/DirecTV took top honors in their wireline service areas in the south, north-central, and parts of the western United States where gigabit fiber upgrades have dramatically improved service over older DSL and U-verse internet products. In the east, Verizon’s FiOS network was by far the best rated ISP.

“It is clear wireline companies are putting the customer experience first, and it is paying off,” said Ian Greenblatt, Technology, Media & Telecom Practice Lead at J.D. Power. “Finding ways to make call centers more efficient and clarifying billing statements and contracts are just a few relatively easy things companies can be doing to improve the customer experience. Additionally, methods in which companies are communicating service and product updates have been evolving with the technology itself and has proven to be a valuable approach to high customer satisfaction.”

Also scoring above average for internet service:

  • West: Cable One, Cox Communications, Spectrum, Comcast/XFINITY
  • South: Comcast/XFINITY

In the eastern and north-central regions, Spectrum scored second worst for internet access, only avoiding last place because Frontier Communications, which relies primarily on DSL service in these areas of the country, did worse.

In the south, Suddenlink scored poorly, but not as bad as regional phone companies Frontier, CenturyLink, and bottom-rated Windstream, which all offer DSL service.

In the west, customers especially loathed CenturyLink, Mediacom — Consumer Reports’ perennial favorite for worst cable operator, and dead last Frontier.

Comcast appears to have improved its customer satisfaction scores slightly when compared against almost 20 years of earlier satisfaction studies performed annually by J.D. Power. In contrast, Frontier continues its decline in customer satisfaction, predominately in areas where it still only offers DSL service. Charter’s acquisition of Time Warner Cable and Bright House Networks appears to have done few favors for consumers, who dislike Charter Spectrum just as much, if not more than its predecessors.

The ratings are based on responses from 27,765 customers that returned surveys evaluating cable/satellite/telco TV, internet access and landline telephone providers. Customers were asked to rank each provider on network performance and reliability, cost of service, billing, communication, and customer service.

Comcast Invades Europe With Sky Satellite Takeover; Analysts Predict Big Rate Hikes are Coming

Phillip Dampier September 26, 2018 Comcast/Xfinity, Competition, Consumer News, Public Policy & Gov't, Sky (UK) Comments Off on Comcast Invades Europe With Sky Satellite Takeover; Analysts Predict Big Rate Hikes are Coming

Comcast kicks the door open to the European television market.

Europe is about to get a taste of Comcast, the cable company most Americans abhor, after the Philadelphia-based cable giant won control of Sky, Europe’s largest satellite TV provider.

Comcast, criticized in some circles for overbidding, easily eclipsed 21st Century Fox’s bid to win control of the television provider that is a household name in the United Kingdom.

Sky customers are being groomed to think highly of the deal by Comcast’s PR department, promised a healthy increase in original programming, expansion into more European markets beyond the UK and Ireland, Germany, Austria, Switzerland, and Italy, and a richer selection of American and European programming owned or controlled by Comcast, which also owns NBCUniversal.

Analysts expect European customers will soon get the bitter taste of what their American counterparts have endured for decades — frequent and steep rate hikes widely expected from Sky’s new owner.

Comzilla

Comcast sees the American television market as saturated, but Europe is wide open for more television services. Comcast believes Sky is not meeting its value potential, giving the company plenty of room for hike rates as new programming and channels are introduced, especially on the European continent. British viewers already benefit from the consolidation of English language global media brands, bringing most American network fare to British and Irish audiences. But there is plenty of room to grow in Italy and Germany, where state public broadcasters are hardly meeting their audience potential and pay television networks are still lacking.

Sky currently has 27 million subscribers across Europe. Just 5.2 million of those subscribers are in Germany, a country with nearly 83 million people. Most are attracted to Sky’s ad-free movie service and sports networks. Sky has traditionally lacked the deep pockets necessary to compete effectively with global streaming providers like Netflix, which have scooped up a considerable amount of foreign language content.

These days, Sky is typically a co-partner in original programming ventures, but it rarely comes away with key ownership rights. Comcast’s ownership of NBCUniversal is expected to dramatically change that, with NBC and Universal Studios capable of aggressively entering the original programming business on behalf of Sky, keeping rights in-house.

European regulators will be watching how the Comcast-owned venture develops. Many countries already have concerns about the American “invasion” of entertainment programming, often a mainstay on the lineups of European networks. Comcast’s involvement will only escalate the amount of American content seen on European televisions, either in its original English, subtitled, or dubbed.

Currently, UK customers subscribing to the full Sky HD package, including the Sky Q set-top box, pay up to $119 a month. In Germany, the smaller “full package” costs $82 a month after promotional pricing expires. Comcast is likely to raise prices significantly over the next few years, possibly reaching $150 a month in the UK and $100 in Germany. In contrast, Netflix is building a giant market share in Europe keeping pricing low. A 4-screen subscription to Netflix currently costs $13 a month in the UK, with Netflix’s new Ultra subscription priced at $19.96 in Germany.

Despite potential price increases, few believe Sky will lose many subscribers, at least as long as it continues to hold the rights to must-have sports programming, notably the English Premier League soccer matches in the UK and Bundesliga matches in Germany, which Sky Deutschland shares with public broadcaster ZDF and Eurosport.

 

Hulu’s New Owner Is Likely to Be Disney As Comcast Contemplates Selling Its Stake

Phillip Dampier September 25, 2018 Competition, Consumer News, Hulu, Online Video Comments Off on Hulu’s New Owner Is Likely to Be Disney As Comcast Contemplates Selling Its Stake

Hulu could soon be in the hands of Disney, as a high stakes game of asset trading overseas could have a dramatic impact on the streaming service.

After a winning $39 billion bid to acquire British satellite TV company Sky, CNBC reports Comcast is willing to shed some of its assets back home, including its 30% minority stake in Hulu.

Analysts report Comcast has lost interest in the streaming venture because the cable company will face a permanently-reduced say in the venture after Disney completes its acquisition of 21st Century Fox, which controls 30% of Hulu. After the dust settles, Hulu will be 60% owned by Disney, 30% by Comcast and the remaining 10% held by AT&T, as part of its merger with Time Warner (Entertainment).

Originally formed in 2007 as an almost equal partnership between Disney, Comcast, and Fox, Hulu provides a controlled streaming platform for ABC, NBC, and FOX shows. Originally offering free, ad-supported access to recently aired network programs, Hulu has since grown dramatically under a subscription model, deepening its catalog of TV shows and movies and launching original content. In the last year, it launched its own cable-TV replacement service, offering streaming live television. Hulu is estimated to have 20 million paid streaming subscribers and an additional 1 million are signed up for Hulu with Live TV.

If Disney takes control of Hulu, CEO Bob Iger claims it will operate independently of Disney’s own, forthcoming subscription streaming service, set to debut in 2019. Iger said Disney may offer bundled discounts if customers subscribe to both Hulu and Disney’s own streaming service.

Comcast & Spectrum Open Up Free Wi-Fi Service in Georgia and the Carolinas

Phillip Dampier September 13, 2018 Charter Spectrum, Comcast/Xfinity, Consumer News, Wireless Broadband Comments Off on Comcast & Spectrum Open Up Free Wi-Fi Service in Georgia and the Carolinas

Hurricane Florence

Comcast and Charter Communications are providing free and open access to more than 12,000 Wi-Fi hotspots in Georgia and the Carolinas as Hurricane Florence begins impacting the three states.

“In response to Hurricane Florence, we have opened up more than 5,100 Spectrum Wi-Fi hotspots in North and South Carolina. These hotspots are open to all users until further notice in coastal communities like Wilmington, N.C., and Myrtle Beach, S.C., as well as inland to the Charlotte, Raleigh-Durham, Fayetteville and Greensboro areas,” Charter said in a statement.

To connect your device, look for the “SpectrumWiFi” network under your device’s WiFi settings in Charter service areas, “xfinitywifi” in Comcast country.

“It’s critical that impacted residents are able to communicate during challenging weather events such as Hurricane Florence,” said Doug Guthrie, regional senior vice president for Comcast.

As a result, Comcast is opening up almost 7,000 hotspots in Augusta and Savannah, Ga., and Charleston, S.C. Both cable companies are welcoming subscribers and non-subscribers alike.

Hurricane Florence, although currently downgraded to a Category 2 hurricane, remains a vast hurricane with a large wind field of hurricane force winds, and will likely pummel the region until Saturday. Combined with intense rainfall and catastrophic storm surges, devastation is likely along coastal regions of all three states. Duke Energy, which serves North and South Carolina, anticipates extended outages for at least three million customers during Hurricane Florence.

As of 5 p.m. ET Thursday, the center of Florence was 100 miles east-southeast of Wilmington, N.C. and 155 miles east of Myrtle Beach, S.C. The hurricane has slowed to just 5 mph.

Other states likely to be impacted by flooding rains, storm surge, and winds are Maryland and Virginia.

Actual landfall of Florence is not expected until at least Friday afternoon, according to Neil Jacobs at the National Oceanic and Atmospheric Administration (NOAA).

Cable outages are often a result of power outages. If electricity goes out in an area, cable services will go as well, and remain unavailable until power is restored. If cable infrastructure is also damaged, service won’t return when electricity does and outages should be reported to the cable company. Traditional landline service is powered independent of the electric grid. Report any service outages to the telephone company.

If infrastructure is severely damaged, it could take several weeks to restore electric, phone, and cable service after a major hurricane.

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