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Time Warner Cable: Our Condolences to Verizon if They Signed the CBS Deal We Rejected

Phillip Dampier August 28, 2013 Consumer News, Online Video, Video 5 Comments
witmer

Witmer

If what Time Warner Cable claims is true, the stalemate that has kept CBS content away from subscribers for four weeks may be less about the money and more about CBS’ desire to control your viewing experience.

Melinda Witmer, TWC’s chief video and content officer, reports CBS is demanding daunting new restrictions in their proposed renewal contract, including requiring customers to “register their television sets” with CBS before being able to turn them on.

Witmer said CBS’ demands also include new powers over DVR capabilities, which means CBS could possibly prevent customers from fast-forwarding through commercials or even block the recording and/or storage of certain programs without network permission.

“CBS announced that they signed a deal with Verizon (FiOS TV) and has suggested that they offered us the same deal Verizon just signed,” Witmer said. “All I can say is our condolences to Verizon if they signed the deal CBS put in front of us. I hope for Verizon’s sake that they didn’t sign that, but if they did I’m glad for us because we’ll compete that much better against them when we finish our deal.”

Cable operators are seeking expanded rights from programmers as customer viewing habits evolve. Among the most important are those that would allow online and on-demand streaming of programming to authenticated cable subscribers.

Time Warner Cable has invested considerable resources in its online viewing platforms for PC’s, smartphones, and tablets, providing most of the TWC lineup on those portable devices. But the service has been largely limited in-home viewing because the cable company is having trouble securing permission to stream most of that content for those on the go.

Time Warner Attempts to Placate Impacted Customers

twcAlthough Time Warner Cable is crediting customers for the loss of Showtime/The Movie Channel, blocked by the cable operator while the impasse continues, Time Warner is not giving any automatic refunds for the loss of CBS basic or broadcast programming and networks taken off the cable dial. CBS-owned Smithsonian TV is the most affected basic cable channel nationwide. Some customers who pay extra for Smithsonian as part of an added-cost HD Tier often known as “TWCHD Pass” have gotten service credits upon request.

Time Warner Cable is giving out free over-the-air antennas to customers in cities where local CBS-owned stations have been taken off the cable lineup.

Time Warner Cable has a limited quantity of free basic indoor antennas available for customers at TWC retail locations in Dallas-Ft. Worth, Los Angeles/Desert Cities, New York City, Milwaukee and Green Bay, Wisc. In addition, TWC has partnered with Best Buy in those cities to provide $20 toward the purchase of any in-stock broadcast antenna at select Best Buy store locations. The cable company has published a list of retail locations where antennas are available as long as supplies last. Limit one per customer and installation is your responsibility.

Radio Shack has also taken advantage of the situation by slashing prices on an AntennaCraft Amplified Omnidirectional HDTV Antenna, now available online for $37.49 – a 25 percent discount. Best Buy is supporting Time Warner Cable’s position in the CBS dispute. Radio Shack is not, telling customers its antennas make it easy to “cut the cable.”

Time Warner is appeasing tennis fans with enhanced coverage of the 2013 US Open Tennis Championship Series with a free preview of The Tennis Channel running Aug. 26 through Sept. 9.

The blackout is also keeping Time Warner Cable, Bright House, and Earthlink (supplied by either cable operator) broadband customers from watching CBS content online.

If you now receive this channel Here’s how your Time Warner Cable video service is impacted
CBS from NYC, LA, Dallas-Ft Worth, Boston, Chicago, Denver, Detroit, Pittsburgh -The CBS channel has been removed from your lineup
-CBS Primetime on Demand is now unavailable
-StartOver and LookBack services on all CBS-owned stations are unavailable
CBS from any city other than the ones listed above -CBS Primetime on Demand is now unavailable
-StartOver and LookBack services on local CBS affiliate stations are unavailable
Flix Flix is now unavailable
The Movie Channel The Movie Channel and The Movie Channel on Demand are now unavailable; TWC is providing replacement programming from Encore on a temporary preview basis–look in your guide for channel numbers.
Showtime Showtime, all its associated multiplex channels, and Showtime on Demand are now unavailable; TWC is providing replacement programming from Starz on a temporary preview basis–look in your guide for channel numbers.
Smithsonian Channel Smithsonian and Smithsonian on Demand are now unavailable

The Federal Communications Commission said it is trying to resolve the fee dispute from Washington.

“The commission is engaged at the highest levels with the respective parties and working to bring the impasse to an end,” Justin Cole, an agency spokesman, said in an e-mailed statement yesterday. “We urge all parties to resolve this matter as quickly as possible so consumers can access the programming they rely on and are paying for.”

But acting FCC chairwoman Mignon Clyburn also admitted the FCC has few powers to intervene and compel an agreement.

[flv width=”640″ height=”380″]http://www.phillipdampier.com/video/TWC Melinda Witmer on CBS Blackout 8-24-13.flv[/flv]

Time Warner Cable’s Melinda Witmer, head of the team negotiating with CBS, suggests the network is demanding unprecedented control over your viewing experience — a deal breaker for the cable operator.  (6 minutes)

Sell! Sell! Sell! – Wall Street Wants Cablevision Sold Yesterday

Phillip Dampier August 27, 2013 Cablevision (see Altice USA), Charter Spectrum, Competition, Verizon Comments Off on Sell! Sell! Sell! – Wall Street Wants Cablevision Sold Yesterday
forsale

Motivated seller?

Perennially rumored-for-sale Cablevision is getting new pressure to sell its cable systems to the highest bidder, thanks to an increasingly impatient Wall Street hoping to cash in on the next wave of cable consolidation.

Bloomberg News reports “time may be running out” for the suburban New York City cable operator, which has achieved its highest valuation in two years. The $4.8 billion enterprise founded 40 years ago by the Dolan dynasty has always fought to stay independent of larger media companies that have snapped up most of America’s cable landscape, but cracks are forming in the hard-as-concrete resistance to leave the cable business.

Many of America’s still-independent cable systems are watching their values increase as Wall Street speculators predict their days are numbered. Charter Communications, now under the influence of Dr. John Malone, is seen as the primary instigator of cable industry consolidation. Malone advocates fewer than five cable operators in the business, which means companies like Bright House, Cox, Mediacom, Cablevision, and even Time Warner Cable may have to go. Those that want to avoid the Malone consolidation treatment are starting to adopt an “eat or be eaten” mentality, opening the door to potential system acquisition wars in the days ahead.

Optimum-Branding-Spot-New-LogoCablevision has tried to avoid being picked off by the likes of neighboring Comcast or Time Warner Cable by trying (and failing) to go private in 2005 and 2007. Cablevision’s service area formerly extended well into western New York — especially in small communities and rural towns, before selling out to Time Warner Cable and retreating to its home base of Long Island, a few New York City boroughs, and parts of Connecticut and New Jersey.

Regardless of the nostalgia the Dolan family has had in the cable business, shareholders want maximum value for their Cablevision holdings, and that increasingly means selling the operation. Among the likely buyers: a deep-pocketed Time Warner Cable or Charter Communications, the latter willing to take on considerable debt to finance its acquisitions.

“You never say never,” said Cablevision CEO Jim Dolan in response to questions about a possible sale raised during a recent earnings conference call. But Dolan showed no signs of enthusiasm for a sale either.

Most analysts still expect Cablevision to demand a significant premium to sell. Retiring Time Warner Cable CEO Glenn Britt has steadfastly refused to overspend for acquisitions and the company has a history of dropping out of potential deals once prices rise. But Time Warner Cable’s cable properties are adjacent to Cablevision in New York, making a deal a natural fit. Comcast dominates New Jersey.

fishCablevision has recently taken steps that only make a sale more likely, shutting down ancillary businesses like Newsday Westchester, OMGFAST! — a start-up wireless broadband provider in Florida, and selling off Clearview Cinemas, AMC Networks, and reducing holdings in sports programming.

The biggest downside to a Cablevision buyout remains dealing with Verizon FiOS, which competes in most of Cablevision’s territory. The superior fiber network has forced Cablevision to spend on network infrastructure upgrades and cut prices, yet it is still losing customers to the phone company.

A buyout is unlikely to change much unless a company like Google decides it would like to enter the cable business and build an all-fiber network to compete, for now considered a far-fetched notion by most.

Why the interest in cable consolidation? Malone claims much-larger cable operators can stand toe to toe with programmers during negotiations and get better prices for programming and more leverage to move deals along.

Todd Lowenstein, a Los Angeles-based fund manager at HighMark Capital Management Inc., agrees with that assessment, telling Bloomberg the only ways to combat increasing costs for programming are blackouts or getting bigger.

“We’re at an inflection point,” Lowenstein said in a phone interview with the news service. “We’ve hit the upper limit of consumers’ willingness and ability to pay for cable. To get the upper hand, cable needs to scale up and get bigger — and fast.”

Ask DirecTV for Pricing Information, They Quietly Run a Score-Dinging Credit Check on You

Phillip Dampier August 27, 2013 AT&T, Comcast/Xfinity, Competition, Consumer News, DirecTV, Verizon 2 Comments
MYOB

MYOB

Asking about the cost of DirecTV could turn out more expensive than you think.

The Los Angeles Times found DirecTV a little more nosy than it should be, opening the door to identity theft and some minor credit damage from unwanted credit inquiries from the satellite provider.

As customers in southern California grow weary over Time Warner Cable’s dispute with CBS, some are shopping around for a better deal with another provider.

57-year old Los Angeles resident Michael Bell got more than he bargained for when he called DirecTV looking for some price quotes. Before the representative would answer, Bell found himself grilled for a lot of personal details that seemed irrelevant in response to a question about the price of HBO.

In addition to name, address, and type of residence, DirecTV wanted to know if Bell owned or rented his home.

“That stopped me,” Bell told the LA Times. “Why should he care? I told him I just wanted a price quote. He said we’d get to that. And then he asked for my Social Security number.”

That was T.M.I. for Bell’s tastes and he quickly hung up.

Requesting a Social Security number these days is a red flag, often giving warning the person asking is about to run a credit check on you.

credit dropSure enough, Robert Mercer, a DirecTV spokesman, explained the satellite provider pulls a credit report on every potential customer to determine their financial viability. DirecTV doesn’t want deadbeat customers, not after spending close to $900 to install satellite television in the average home.

If you don’t like it, you can pay DirecTV a $300 deposit and keep the number to yourself. The money is gradually refunded in the form of $5 monthly service credits each month you maintain service.

Cable companies are also notorious for running credit checks on customers, which can appear to other creditors as a request to extend credit. Too many credit inquiries can temporarily cut your credit score or worse, deny you credit.

AT&T and Verizon are also sticklers for good credit so expect them to run credit checks as well.

Time Warner Cable stands out among others for at least taking an interest in protecting customer privacy and preventing possible identity theft.

Dennis Johnson, a company spokesman, told the newspaper it can run a preliminary credit check with only the last four digits of a Social Security number and your date of birth.

Consumer privacy advocates argue that in the age of identity theft, nobody should be providing a Social Security number to anyone without a clear understanding it is being used to establish credit, open an account, or get earned retirement benefits. Consumers asked for a Social Security number for any other purpose should ask if they can avoid providing it or at least carefully scrutinize the request. If uncomfortable, simply end the conversation.

America’s Worst Rated Companies: Charter, Time Warner, Cox, Cablevision, Verizon, Comcast…

charter downNine of the ten lowest ranked firms in America are cable and telephone companies, according to a new report from research firm Temkin Group.

A poll ranking customer service at 235 U.S. companies across 19 industries found cable companies dead last, quickly followed by Internet Service Providers (often those same cable operators).

Participants were asked to rate their satisfaction with different companies on a scale of “1” (very dissatisfied) to “7” (completely satisfied). Not very many participants gave high marks to their telecommunications service provider. Temkin’s resulting net satisfaction score found familiar names in the cable and telephone business scraping the bottom.

America’s worst provider? Charter Communications, which managed an embarrassing dead last 22 percent satisfaction score for television service. Time Warner Cable managed second worst for television at 25%, followed by Cox and Cablevision’s Optimum service (both 28%). Bottom rated Internet service came from Qwest (now CenturyLink), Verizon (presumably DSL), and Charter — all scoring just 31%.

Oddly, Temkin’s survey participants gave top marks to the long-irrelevant AOL for Internet service, which may mean those dial-up customers don’t know any better. Highest marks in television service went to Bright House Communications, which ironically depends on Time Warner Cable for most of its programming negotiations.

temkin bottom rated

Most suspect the ratings show long-term customer dissatisfaction with endless rate increases, poor customer service and reliability, and lack of choice in an increasingly expensive television lineup.

The Temkin Group gathered its data from an online survey of 10,000 consumers in the U.S. during January 2013, all asked to rate their experiences with companies over the past 60 days.

Updated: Time Warner Cable Unveils 24/7 Live Streaming of NY1/NY1 Noticias for Customers

Phillip Dampier August 22, 2013 Online Video, Video Comments Off on Updated: Time Warner Cable Unveils 24/7 Live Streaming of NY1/NY1 Noticias for Customers

Ny1header-imgStarting today, Time Warner Cable customers can watch live streaming video of the company’s NY1 English and Spanish language channels on a redesigned website.

Customers across the country can view the New York City-based news channels by logging in with their TWC ID.

NY1 also announced their website’s video clips are now compatible with Apple iOS — an important consideration for iPhone and iPad users.

NY1 is one of several regional news channels operated by the cable operator. All of Time Warner’s local news networks are expected to be rebranded as “TWC News” starting later this year.

Updated 8/23: Time Warner Cable sent us a statement:

“Time Warner Cable customers in the New York City area will have access to the continuous live streams of NY1 and NY1 Noticias by signing in with their TWC ID username and password. Also, the news channel sites are now available for live streaming online for all Time Warner Cable video customers.”

[flv width=”534″ height=”320″]http://www.phillipdampier.com/video/NY1 NY1 Streamed Live 8-21-13.mp4[/flv]

NY1 reports their two news channels are now available for live streaming online for all Time Warner Cable customers.  (1 minute)

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