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Time Warner Cable to Boost Austin Broadband Speeds Up to 300Mbps as Competition Arrives

Austin is getting an upgrade just in time for competition with AT&T and Google.

Austin is getting an upgrade just in time for competition with AT&T and Google.

There is no market for super-fast broadband speeds, unless your competitor decides to offer them.

Time Warner Cable customers in Austin will benefit from major Internet speed increases that the company insists have nothing to do with its competition.

Google is planning to offer gigabit broadband in select neighborhoods and AT&T is delivering 300Mbps service to a limited number of Austin customers over its slowly expanding fiber network. Coincidentally, Time Warner Cable now plans to match AT&T’s current top speed of 300Mbps beginning this summer.

“Our Austin network allows us to implement the speed increases quickly, and since it’s a rapidly growing market where we know there is demand for faster speeds, we’re moving forward with this aspect right away,” a spokeswoman for Time Warner Cable wrote in an email to CED.

“These substantial speed increases mean Time Warner Cable Internet customers have incredibly powerful new choices for services and features to meet their needs,” said Kathy Brabson, area vice president of operations for Time Warner Cable in Central Texas. “In stark contrast to our competitors, upon completion of this short roll out phase, these faster speeds and choices will be available to every Time Warner Cable customer in every area we serve in the Austin market, not just select neighborhoods.”

Time Warner has also been furiously expanding its Wi-Fi service, available at no cost to Internet customers with Standard Internet or above. To date the company has installed more than 1,300 hotspots with another 1,000 scheduled for installation this year.

Residential Plans Current Speeds New Speeds
(Downstream/Upstream) (Downstream/Upstream)
Everyday Low Price 2×1 3×1
Basic 3×1 10×1
Standard 15×1 50×5
Turbo 20×2 100×10
Extreme 30×5 200×20
Ultimate 50×5 300×20

Along with Austin, the other areas that will get new speeds include Round Rock, Cedar Park, Leander, San Marcos, Elgin, Marble Falls, Lockhart, Bastrop, Fredericksburg, Taylor, Smithville, Wimberley, Liberty Hill, Lago Vista, Buda, Kyle, Elroy, and Lakeway.

Business Services customers in the area will also have access and can upgrade their service as the new plans are introduced starting this summer. TWC Business Services will introduce the new speed plans of 100 x 10, 200 x 20 and 300 x 20 as add-on options to its existing Wideband plans.

Current Standard Internet and above customers will receive new modems, likely produced by Arris or Technicolor. More information will be sent to customers as the launch dates approach. It is unclear if customers will have to pay to rent the new modems, will get to use them for free, and/or if they will be available separately for purchase.

Even Glenn Beck Isn’t Impressed with the Time Warner Cable-Comcast Merger

Phillip Dampier February 24, 2014 Comcast/Xfinity 9 Comments
Beck

Beck

Glenn Beck and his independent network TheBlaze are not happy about Time Warner Cable and Comcast merging operations and think it will concentrate too much power in the hands of a single entity that already ignores independent voices seeking a spot on the cable dial.

Beck left Fox News Channel to help start a new network — TheBlaze — that began as GBTV, an online streaming video operation. In the fall of 2012, the network, which airs more than 40 hours a week of new programming, secured exclusive carriage on Dish, the satellite television provider. Now that the exclusivity agreement has expired, TheBlaze management and viewers have launched a very vocal campaign to get the channel on cable systems across the country. The venture has been modestly successful with smaller cable operators like Buckeye Cablevision in Ohio and ETC Communications in Michigan. Beck’s network can also be seen on Cablevision’s lineup in the suburbs of New York City. But for most of the country, the only way to watch is to stream it online for $9.95 a month/$99.95 a year. Large cable systems have so far shown little interest in picking up the network.

“Comcast is one of the bigger pains in the neck for TheBlaze,” Beck told his radio listeners.

“Since launching the GetTheBlaze campaign, 50 small, midsized and major cable systems have begun carrying our network,” said TheBlaze CEO Chris Balfe. “These are the cable systems that must be responsive to their customers to survive. Monopoly type [multichannel video programming distributors] like Comcast and Time Warner Cable do not have a good history of listening to customers or supporting independent programmers whose content is in demand like TheBlaze. While we are skeptical that giving Comcast even more market power will benefit consumers, promote competition or lead to more diversity of voices, we will continue our successful campaign because eventually, even giants have to listen to what their customers want.”

theblaze_logo_2x“Look, the amount of decision makers, which is so surprisingly small in the industry in general, is potentially getting smaller,” Steve Krakauer, TheBlaze’s vice president of digital content told POLITICO. “Keeping up the fight is so important.”

Cable industry observers agree that life can be difficult for an unaffiliated independent cable network. Ovation found itself thrown off Time Warner Cable’s lineup for nearly a year because of a lack of original programming and miniscule ratings. But networks owned by studios like Universal or large broadcasting entities like Viacom stay, despite similar viewer response. Ovation had no leverage to compel continued carriage. Networks owned by larger companies often do, because they are packaged and sold to cable operators in a bundle. A cable company refusing to carry one low-rated cable network could be threatened with a much more expensive rate for the channels it does want or even face the loss of larger, must-have channels owned by the same company.

Polka

Polka

Beck isn’t alone being concerned.

The American Cable Association, a trade group that represents small and medium-sized cable operators, said it is carefully considering the potential impact of the merger on the cost of video programming sold to smaller operators.

“ACA has long acknowledged many problems in the pay-TV market, including the soaring cost of retransmission consent and sports networks and the record-setting number of broadcaster-imposed TV signal blackouts,” CEO Matthew Polka said in a statement. “ACA will be looking closely to see whether this transaction makes matters worse for small and medium-sized cable operators and their customers.”

He’s in Your Money: Former Time Warner Cable CEO Makes a Killing Dumping More of His Stock

Phillip Dampier February 20, 2014 Consumer News Comments Off on He’s in Your Money: Former Time Warner Cable CEO Makes a Killing Dumping More of His Stock

moneyWhile you wait by the mailbox for your next Time Warner Cable rate hike notice, retired CEO Glenn Britt just deposited another $4.3 million in his personal bank account after selling another 30,000 shares of the Time Warner Cable stock he received as part of his lucrative compensation package. Just last month, he dumped 129,600 shares for a cool $17.3 million.

Remarkably, the more shares he sells, the more stock he seems to accumulate. In January, Britt was left with 158,947 shares in Time Warner Cable. But after Tuesday’s sale, he now directly owns 177,542 shares, thanks to a very generous retirement package.

If Britt sold every remaining share he owns at this week’s stock price, he’d walk away with another $25.8 million.

His replacement Rob Marcus, on the job for less than two months, is also owed a $56 million golden parachute for selling off the company to Comcast.

 

 

Sen. Charles Schumer Recuses Himself from Consideration of Time Warner/Comcast Deal

Phillip Dampier February 19, 2014 Comcast/Xfinity, Consumer News, Public Policy & Gov't Comments Off on Sen. Charles Schumer Recuses Himself from Consideration of Time Warner/Comcast Deal
Schumer

Sen. Schumer

Sen. Chuck Schumer (D-N.Y.), who quickly praised Comcast’s $45 billion buyout of Time Warner Cable on speculation it would preserve jobs in New York has now recused himself from any further consideration of the merger after revelations emerged his younger brother is integrally involved in the deal.

The American Lawyer magazine named Robert Schumer, a partner at Paul Weiss, its “Dealmaker of the Week.” Schumer is leading the Paul Weiss law firm’s team advising Time Warner Cable on its sale to Comcast in a $45.2 billion all-stock deal.

“As Senator Schumer and his brother had never discussed the matter before, the piece in American Lawyer was the first Senator Schumer learned that his brother had worked on the deal,” said Max Young, a spokesman for Schumer, in a statement. “Now that he’s aware of his brother’s involvement, Senator Schumer will recuse himself from Congressional consideration of the matter to avoid any appearance of bias.”

Most of Sen. Schumer’s support for the deal surrounded a commitment he obtained from top Comcast lobbyist David Cohen to honor Time Warner Cable’s plan to add jobs to a commercial services call center opening in Buffalo. Schumer was integral in the effort to get Time Warner to locate the new call center at Compass East, the site of the former Sheehan Hospital on Buffalo’s east side. The call center is expected to employ 250-300 workers and add 150 jobs over five years.  With 1,000 Time Warner Cable jobs on the line in western New York and over 10,000 throughout the state, Schumer sought commitments from Cohen that Comcast would not slash jobs as part of more than $1 billion in cost savings expected from the deal. Cohen would only commit to honoring the jobs at the Buffalo call center and other job commitments already in the works.

Analysts expect Comcast will heavily cut middle management positions from Time Warner’s workforce and eliminate several customer care centers as part of the merger. Comcast’s massive “customer care” operation is heavily committed to offshore call centers staffed by low paid, English-challenged operators. Comcast’s poor customer service earned the company fines last summer in Seattle.

Schumer’s recusal is a blow to Comcast’s effort to win the deal’s approval in Washington, where the deal will face intense anti-trust scrutiny.

Robert Schumer told American Lawyer the deal was specifically structured to expect many of the regulatory questions.

“We obviously had to be confident that we believed the deal could get done,” he told the magazine. “There were significant negotiations around the contract terms involving the regulatory approvals, but obviously we were very comfortable with it.”

But family connections mean Sen. Schumer will not be among those championing the merger deal.

Google Fiber Proposes Major Expansion, But Continues to Ignore the Northeast/Mid-Atlantic

Google has proposed expanding its gigabit fiber network to nine metropolitan areas around the United States, but none of them include cities in the Mid-Atlantic and Northeast dominated by Time Warner Cable, Comcast, and Verizon FiOS.

google fiber

Altogether, the expansion project could bring fiber to the home Internet service to 34 new cities:

  • Arizona: Phoenix, Scottsdale, Tempe
  • California: San Jose, Santa Clara, Sunnyvale, Mountain View, Palo Alto
  • Georgia: Atlanta, Avondale Estates, Brookhaven, College Park, Decatur, East Point, Hapeville, Sandy Springs, Smyrna
  • North Carolina: Charlotte, Carrboro, Cary, Chapel Hill, Durham, Garner, Morrisville, Raleigh
  • Oregon: Portland, Beaverton, Hillsboro, Gresham, Lake Oswego, Tigard
  • Tennessee: Nashville-Davidson
  • Texas: San Antonio
  • Utah: Salt Lake City

Google’s Fiber Blog:

google fiberNow that we’ve learned a lot from our Google Fiber projects in Kansas City, Austin and Provo, we want to help build more ultra-fast networks. So we’ve invited cities in nine metro areas around the U.S.—34 cities altogether—to work with us to explore what it would take to bring them Google Fiber.

We aim to provide updates by the end of the year about which cities will be getting Google Fiber. Between now and then, we’ll work closely with each city’s leaders on a joint planning process that will not only map out a Google Fiber network in detail, but also assess what unique local challenges we might face. These are such big jobs that advance planning goes a long way toward helping us stick to schedules and minimize disruption for residents.

We’re going to work on a detailed study of local factors that could affect construction, like topography (e.g., hills, flood zones), housing density and the condition of local infrastructure. Meanwhile, cities will complete a checklist of items that will help them get ready for a project of this scale and speed. For example, they’ll provide us with maps of existing conduit, water, gas and electricity lines so that we can plan where to place fiber. They’ll also help us find ways to access existing infrastructure—like utility poles—so we don’t unnecessarily dig up streets or have to put up a new pole next to an existing one.

While we do want to bring Fiber to every one of these cities, it might not work out for everyone. But cities who go through this process with us will be more prepared for us or any provider who wants to build a fiber network. In fact, we want to give everyone a boost in their thinking about how to bring fiber to their communities; we plan to share what we learn in these 34 cities, and in the meantime you can check out some tips in a recent guest post on the Google Fiber blog by industry expert Joanne Hovis. Stay tuned for updates, and we hope this news inspires more communities across America to take steps to get to a gig.

Google does not guarantee every community will actually get the service, and a read between the lines makes it clear that a close working relationship between Google and city officials and utilities will be essential for projects to move forward. Bureaucratic red tape could be a fiber-killer in some of these communities, as could an intransigent utility fighting to keep Google fiber off utility-owned poles.

Google continues to completely ignore the northeastern United States for fiber expansion. Analysts suggest Google will not enter areas where fiber broadband service already exists, and this region of the country is home to the largest deployment of Verizon’s FiOS. Despite the fact Verizon has canceled further expansion, and large sections of the region have little chance of seeing a fiber upgrade anytime soon, Google seems more interested in serving the middle of the country and fast growing areas including North Carolina, Georgia, Phoenix and Texas. Its choice of San Jose obviously reflects the presence of Silicon Valley.

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