Da-Chief
07-22-2008, 09:40
http://i.dslr.net/urls/26/45226.gif (http://www.dslreports.com/shownews/Time-Warner-Cable-Stock-Takes-FiOS-Hit-96278)
Last week Verizon finally got full franchise authority (http://www.corpsman.com/shownews/96175) to deploy FiOS to NYC, something they've promised to complete by 2014. That's not particularly good news for Time Warner Cable. Since they've yet to deploy DOCSIS 3.0 and can't offer equivalent upstream speeds, that means they'll have to engage in price cuts. That makes investors sad. This week Jim "keep your money in Bear Stearns" Cramer says (http://www.thestreet.com/s/jim-cramers-stop-trading-not-the-time-for-time-warner/funds/stoptrading/10428719.html?puc=googlefi&cm_ven=GOOGLEFI&cm_cat=FREE&cm_ite=NA) Time Warner Cable is not ready for FiOS, and one analyst cut TWC's rating to a "sell" (http://www.alleyinsider.com/2008/7/time-warner-cable-not-well-prepared-for-verizon-threat-in-nyc-pali-cuts-to-sell-), even though the NYC FiOS network isn't even built yet:In NYC, Verizon will offer its typical "triple-play" package of cable TV, high-speed Internet access, and phone service for $99.99 per month, with a $69.99 introductory rate for the first six months. In Manhattan, Greenfield notes, TWC's cheapest comparable plan for current customers is $119.95 per month. Ignoring activation costs and taxes, Verizon's bundle comes in some $515 cheaper over a 24-month period -- though Greenfield notes that you can get a discount of $7-$30/month just by telling TWC you're considering switching.
Time Warner Cable's chief operating officer Landel Hobbs has stated (http://www.corpsman.com/shownews/95162) he thinks they're ready for FiOS, and will counter the technology by locking customers into "price for life" triple play bundle promotions. They also say NYC will be the first TWC market to see DOCSIS 3.0, but haven't stated when. Until then, they've taken to pretending they offer last mile fiber (http://www.corpsman.com/shownews/Time-Warner-Cable-Pretends-Cable-Is-Fiber-94845) and picking on the FiOS name (http://www.timewarnercable.com/nynj/competitive/default.html?CMP=BAC-NYNJ?Site=Weatherbug?Creative=FIOS). Probably a good idea to leave those caps at home (http://www.corpsman.com/shownews/Time-Warner-Cable-Using-Fine-Print-To-Hoist-Caps-On-Customers-96259).
It's kind of a losing proposition for any ISPs trying to please the stock jocks. Verizon took an absolute beating initially for investing so much money ($24 billion, to be precise) in last mile fiber, with some going so far to insist the company was "doomed (http://www.corpsman.com/shownews/80296)." Now investors are hammering Time Warner Cable for not keeping pace with the same service they were slamming a few years ago as being too ambitious.
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Last week Verizon finally got full franchise authority (http://www.corpsman.com/shownews/96175) to deploy FiOS to NYC, something they've promised to complete by 2014. That's not particularly good news for Time Warner Cable. Since they've yet to deploy DOCSIS 3.0 and can't offer equivalent upstream speeds, that means they'll have to engage in price cuts. That makes investors sad. This week Jim "keep your money in Bear Stearns" Cramer says (http://www.thestreet.com/s/jim-cramers-stop-trading-not-the-time-for-time-warner/funds/stoptrading/10428719.html?puc=googlefi&cm_ven=GOOGLEFI&cm_cat=FREE&cm_ite=NA) Time Warner Cable is not ready for FiOS, and one analyst cut TWC's rating to a "sell" (http://www.alleyinsider.com/2008/7/time-warner-cable-not-well-prepared-for-verizon-threat-in-nyc-pali-cuts-to-sell-), even though the NYC FiOS network isn't even built yet:In NYC, Verizon will offer its typical "triple-play" package of cable TV, high-speed Internet access, and phone service for $99.99 per month, with a $69.99 introductory rate for the first six months. In Manhattan, Greenfield notes, TWC's cheapest comparable plan for current customers is $119.95 per month. Ignoring activation costs and taxes, Verizon's bundle comes in some $515 cheaper over a 24-month period -- though Greenfield notes that you can get a discount of $7-$30/month just by telling TWC you're considering switching.
Time Warner Cable's chief operating officer Landel Hobbs has stated (http://www.corpsman.com/shownews/95162) he thinks they're ready for FiOS, and will counter the technology by locking customers into "price for life" triple play bundle promotions. They also say NYC will be the first TWC market to see DOCSIS 3.0, but haven't stated when. Until then, they've taken to pretending they offer last mile fiber (http://www.corpsman.com/shownews/Time-Warner-Cable-Pretends-Cable-Is-Fiber-94845) and picking on the FiOS name (http://www.timewarnercable.com/nynj/competitive/default.html?CMP=BAC-NYNJ?Site=Weatherbug?Creative=FIOS). Probably a good idea to leave those caps at home (http://www.corpsman.com/shownews/Time-Warner-Cable-Using-Fine-Print-To-Hoist-Caps-On-Customers-96259).
It's kind of a losing proposition for any ISPs trying to please the stock jocks. Verizon took an absolute beating initially for investing so much money ($24 billion, to be precise) in last mile fiber, with some going so far to insist the company was "doomed (http://www.corpsman.com/shownews/80296)." Now investors are hammering Time Warner Cable for not keeping pace with the same service they were slamming a few years ago as being too ambitious.
read comment(s) (http://www.dslreports.com/shownews/Time-Warner-Cable-Stock-Takes-FiOS-Hit-96278)
More...