1. This site uses cookies. By continuing to use this site, you are agreeing to our use of cookies. Learn More.

Cutting the Cord debate losing steam?

Discussion in 'DIRECTV General Discussion' started by Satelliteracer, Apr 19, 2011.

  1. jpl

    jpl Hall Of Fame

    Jul 9, 2006
  2. tulanejosh

    tulanejosh Godfather

    May 23, 2008
    I think you have confused the original intent of my post. I didn't intend to get into a debate about whether VZ or ATT were major players. You feel they are - i feel they are more regional... but that's fine. Agree to disgree.

    The main point was that they will react differently - and i think that's true whether they are considered major or not. And we can already see in their activities that this is more or less true.

    I go back to your qoute where you say that cables/telcos largely don't care if they are dumb pipes. I disagree. If they were, companies like Time Warner and Comcast wouldn't be preaching from the mountaintops about bandwidth caps and bitterly fighting net neutrality guidelines. if they were cool with becoming a pipe, they would open that sucker up to as much data as they could and scale back investment in video, especially if internet service is driving high levels of profitability. They haven't done that. What you have instead is TWC threatening to delay DOCSIS 3.0 deployments, and attempting to as recently as last year implement draconian bandwidth caps that are thinly veiled attempts to discourage you from consuming mass amount of video over their network - also known as protecting their core business. They also wouldn't be billing Netflix and its parnters (i.e. Level3) for increased network usage (comcast did this, look it up). And while Time Warner and Time Warner Cable are seperate companies now - they have a common philosophy/history, so when Jeff Bewkes rails on iptv and Neflix, you can feel pretty confident that TWC feels the same.

    In contrast - VZ (when time warner and comcast were publicly toying with caps) said they have no plans to cap usage because their network doesn't require it. Simple as that.

    There you have it - very different reactions from companies that play in the same space. You can choose to say its because VZ is more alturistic or more accepting of the future or whatever. That's fine. IMHO i feel its has a little more to do with the way their revenues are organized and the realities of their corp history.

    And for what it's worth - i think you are cherry picking data sets to draw conclusions. Time Warner lost customers - yet directv didn't. dish didnt. they grew. Why did one gain but the other didnt? I don't know, but i do know that becuase of that, you can't draw the conclusion that Time Warner losing video customers and an increase its internet customer base is indicative of greater take rates for an IPTV future. That's what this thread is about.

    Example - When i moved into my current house - i canceled Brighthouse cable, got Directv and signed up for Time Warner internet. Viewed through one lense - you could draw a conclusion that i'm not interested in TWC video products and only their internet. I must be cutting the cord. But when viewed in the larger context - you see that's not true.
  3. Shades228

    Shades228 DaBears

    Mar 18, 2008
  4. espaeth

    espaeth AllStar

    Oct 13, 2003
    It's interesting this article fails to identify the expiration of their streaming contracts as being one of the threats, especially when it is essentially the threat. Netflix got a sweetheart deal with companies like Starz to stream movies and is currently licensed at about 5% of what a network like HBO or Cinemax is charged to air the same movie -- those contracts all start coming to an end later this year.
  5. May 2, 2011 #285 of 289

    jpl Hall Of Fame

    Jul 9, 2006
    First, where did I say that cable/telcos didn't care if they were dumb pipes. I never said any such thing! I said that the industry is changing. There's very little separation between traditional cable and Verizon/AT&T anymore. Their business models are merging.

    Next, you talk about Verizon not imposing caps - that's correct. But what in the world does that have to do with this? All it means is that their fiber isn't over-provisioned, which is different than how traditional cable operates. Besides, AT&T just did impose caps on U-Verse.

    I don't think I misread what you wrote at all - there was a clear message that AT&T and Verizon aren't as beholden to video delivery as say Comcast so to them it's not as big of a deal if they lost video delivery. That's simply not true. Video is absolutely critical for them to justify the cost of rolling out FiOS and U-Verse.

    Both traditional cable and the telcos are merging, in terms of their core business. Cable is getting more and more of its money from non-video sources. The telcos are getting more and more of their money from video delivery.

    Finally, I'm not cherry-picking anything. Every major cable company has been losing video customers... quarter after quarter. But they've been gaining internet and voice customers which more than offsets the loss. And Dish, last I checked, has also been having trouble attracting customers. They had one or 2 quarters, in the last couple years, where they actually gained customers. DirecTV has been very successful at growing, that's true, and so has Verizon and AT&T.
  6. May 3, 2011 #286 of 289

    sigma1914 Well-Known Member DBSTalk Club

    Sep 5, 2006
    Allen, TX
  7. May 3, 2011 #287 of 289
    Tom Robertson

    Tom Robertson Lifetime Achiever DBSTalk Club

    Nov 15, 2005
  8. May 3, 2011 #288 of 289

    Satelliteracer Hall Of Fame

    Dec 6, 2006
  9. May 5, 2011 #289 of 289

    deweydm AllStar

    Sep 4, 2007
    We've had our account suspended since December. Called today to finally close it out, after over 10 years with directv. The only thing that's been a problem has been sports. Though with what's available via antenna, it hasn't been as bad as I expected. And I'm the only one in the household who cares about that, and it's a good excuse to hang out with friends at a bar on occasion, so....

    Starting to think it would be better for those apparently few who are giving up cable and satellite if they remain the exception. Cheap offerings seem to be getting better, not worse. If netflix, hulu, whatever incite a backlash from the producers to the point they won't license content reasonably, maybe we'll have to go back. Doubt it. But who knows how things will play out long term. If we run out of things to watch without cable or satellite, I'll definitely post re our return to directv. ;-)

Share This Page