here is an article showing the success verizon is having in the tampa area.
TAMPA - Verizon Communications Inc.'s multimillion-dollar gamble to launch cable-TV service in the Tampa Bay area appears to be paying off.
Based on current sales data, the telecommunications company projects it will sign up 5,000 customers in June, spokesman Bob Elek said, with about 1,200 customers having signed up during the week of May 22.
At that pace, Verizon could sign up more than 100,000 customers in two years and take a substantial share of the cable-television market in the Bay area, likely pushing down cable-TV rates.
Verizon continues to build its network throughout the region and has put enough cable in the ground to reach 140,000 customers with TV service. The company began construction on a cable network in 2004 and expects to move into more neighborhoods rapidly.
Verizon is in a battle for market share with Bright House Networks, the dominant cable-TV provider in the region.
"The take rates are very impressive to say the least," Yuanzhe Cai, a cable-TV analyst with Dallas-based Parks Associates, said of the rate at which Verizon is signing up customers.
Something to keep in mind, Cai said, is that Verizon is entering markets nationwide that often had only one cable company operating a de-facto monopoly. As a result, any new cable provider stands a fair chance at signing up customers.
"Verizon realizes what they are getting today may not be sustainable," Cai said. "Bright House has the advantage of being in more markets right now, but they need to really build up a customer retention program because anyone who is not loyal is going to switch."
Verizon's sign-up pace also could rise because its new customers have been coming only from neighborhoods where Verizon has finished building a cable-TV network: Temple Terrace and parts of Tampa, unincorporated Hillsborough County, Pasco County and Manatee County.
Bright House has about 248,000 cable subscribers in Tampa and unincorporated Hillsborough County, according to city and county documents.
Bright House officials declined to comment on how many customers they are losing to Verizon or how many they are signing up a week.
Verizon's progress pleases local governments that approved its plans and hoped the new competition would drive down cable-TV rates and improve service.
"They've been ramping up pretty quickly, and quite a few people are signing up with them initially," said Paula MacDonald, spokeswoman for Temple Terrace.
National Implications
Although important for the Tampa Bay area, Verizon's progress at winning over customers is also being watched nationwide in the cable-TV and media industries because this area is among the first where Verizon started selling its cable service.
Verizon is spending several billion dollars nationwide to build a fiber-optic network that handles combined cable, phone and Internet service, so investors are watching how quickly that investment will pay off with cable subscriptions and TV advertising revenue.
What's more, cable customers are more likely to sign up for a bundle of services, such as telephone and high-speed Internet service. Last month, Verizon told investors that about 80 percent of cable customers sign up for bundled package deals.
With trends such as that, research company IDC of Framingham, Mass., predicts the market for bundled services will grow from 45 million U.S. households now to more than 84 million in 2010.
Sizing Up The Competition
Verizon said it does not track where its new customers are switching from, though executives have said they expect many customers will defect from Bright House and satellite providers such as Dish Network and Direct TV.
Cable packages are not directly comparable between Bright House and Verizon because each company bundles different channel lineups.
The standard digital package from Bright House costs $58.45 per month with a digital cable box. A roughly comparable package from Verizon costs $43.90 to $53.95 per month, depending on features on the cable box, such as a digital videorecorder or high-definition picture.
Each company offers a range of discounts if customers sign up for other services, such as telephone or high-speed Internet access.
Lesley Zajac of Tampa recently switched from Bright House to Verizon for Internet and cable service.
"So far so good, although I did miss OLN [Outdoor Life Networks] and the hockey playoffs," Zajac said. She also switched to Verizon's upgraded telephone service.
Alan Midkiff of Brandon also switched to Verizon last month.
"The picture is much better. We have more channels, and we are saving almost $20 a month," he said.
Others aren't interested in switching.
Glenn Genereux of Tampa plans on staying with Bright House.
"Not only do I feel the pricing of the bundled services are good, I have cable, Internet and phone [together]. But I like the fact that this is a locally operated company that has local customer service if I need it."
Predicting The Pace
Bright House, meanwhile, isn't taking the competition lying down. The company is marketing heavily to retain customers and is offering its own package deals. The company often will offer discounts to customers who threaten to switch to Verizon.
However, Phil Leigh, president of Tampa consulting group Inside Digital Media, said: "Verizon's getting a pretty good penetration rate with these numbers. It's a matter of survival for them because other cable companies can sell telephone service, too."
Verizon's sign-up pace also could rise as it connects neighborhoods to the network. The 5,000-per-month rate only represents neighborhoods where Verizon has completed building its fiber-optic network - a project that is under construction across the region.
The company also hasn't fully entered Pinellas County.
Last month, Verizon Southeast Region President Alan Ciamporcero told the Tampa City Council that he hoped for more than 30 percent market share in the area in the coming years.
"If that's all we get, I'm going to be in trouble, frankly," Ciamporcero said. "So I expect to blow right through 30 percent in a couple years."
CUT YOUR BILL
New cable competition in the Bay area is making it easier to strike a good deal. Here's how:
•Threaten to switch. No matter your provider - cable or satellite TV - call and say you're going to cancel your service unless you get a discount. Often, the company will give you one, but beware. It may call your bluff, and re-signing at a lower rate may mean signing a new contract.
•Bundle up. The best rates come when you buy more than one service from the same company. The total bill can look large, but it may cost less than separately buying telephone, Internet and cable service.
•Note: You might not be locked into your current contract. Many contracts lock the cable company into a set rate but don't lock customers into staying.
COMPARING COSTS
Cable packages are not directly comparable because each company bundles different channel lineups. Discounts also apply for adding services such as Internet and telephone.
Bright House
Its standard digital package costs $58.45 per month with a digital cable box.
Verizon
Its roughly comparable package costs $43.90 to $53.95 per month, depending on features on the cable box, such as a digital videorecorder or high-definition picture.
http://www.tbo.com/news/nationworld/MGBG6RD5FOE.html
TAMPA - Verizon Communications Inc.'s multimillion-dollar gamble to launch cable-TV service in the Tampa Bay area appears to be paying off.
Based on current sales data, the telecommunications company projects it will sign up 5,000 customers in June, spokesman Bob Elek said, with about 1,200 customers having signed up during the week of May 22.
At that pace, Verizon could sign up more than 100,000 customers in two years and take a substantial share of the cable-television market in the Bay area, likely pushing down cable-TV rates.
Verizon continues to build its network throughout the region and has put enough cable in the ground to reach 140,000 customers with TV service. The company began construction on a cable network in 2004 and expects to move into more neighborhoods rapidly.
Verizon is in a battle for market share with Bright House Networks, the dominant cable-TV provider in the region.
"The take rates are very impressive to say the least," Yuanzhe Cai, a cable-TV analyst with Dallas-based Parks Associates, said of the rate at which Verizon is signing up customers.
Something to keep in mind, Cai said, is that Verizon is entering markets nationwide that often had only one cable company operating a de-facto monopoly. As a result, any new cable provider stands a fair chance at signing up customers.
"Verizon realizes what they are getting today may not be sustainable," Cai said. "Bright House has the advantage of being in more markets right now, but they need to really build up a customer retention program because anyone who is not loyal is going to switch."
Verizon's sign-up pace also could rise because its new customers have been coming only from neighborhoods where Verizon has finished building a cable-TV network: Temple Terrace and parts of Tampa, unincorporated Hillsborough County, Pasco County and Manatee County.
Bright House has about 248,000 cable subscribers in Tampa and unincorporated Hillsborough County, according to city and county documents.
Bright House officials declined to comment on how many customers they are losing to Verizon or how many they are signing up a week.
Verizon's progress pleases local governments that approved its plans and hoped the new competition would drive down cable-TV rates and improve service.
"They've been ramping up pretty quickly, and quite a few people are signing up with them initially," said Paula MacDonald, spokeswoman for Temple Terrace.
National Implications
Although important for the Tampa Bay area, Verizon's progress at winning over customers is also being watched nationwide in the cable-TV and media industries because this area is among the first where Verizon started selling its cable service.
Verizon is spending several billion dollars nationwide to build a fiber-optic network that handles combined cable, phone and Internet service, so investors are watching how quickly that investment will pay off with cable subscriptions and TV advertising revenue.
What's more, cable customers are more likely to sign up for a bundle of services, such as telephone and high-speed Internet service. Last month, Verizon told investors that about 80 percent of cable customers sign up for bundled package deals.
With trends such as that, research company IDC of Framingham, Mass., predicts the market for bundled services will grow from 45 million U.S. households now to more than 84 million in 2010.
Sizing Up The Competition
Verizon said it does not track where its new customers are switching from, though executives have said they expect many customers will defect from Bright House and satellite providers such as Dish Network and Direct TV.
Cable packages are not directly comparable between Bright House and Verizon because each company bundles different channel lineups.
The standard digital package from Bright House costs $58.45 per month with a digital cable box. A roughly comparable package from Verizon costs $43.90 to $53.95 per month, depending on features on the cable box, such as a digital videorecorder or high-definition picture.
Each company offers a range of discounts if customers sign up for other services, such as telephone or high-speed Internet access.
Lesley Zajac of Tampa recently switched from Bright House to Verizon for Internet and cable service.
"So far so good, although I did miss OLN [Outdoor Life Networks] and the hockey playoffs," Zajac said. She also switched to Verizon's upgraded telephone service.
Alan Midkiff of Brandon also switched to Verizon last month.
"The picture is much better. We have more channels, and we are saving almost $20 a month," he said.
Others aren't interested in switching.
Glenn Genereux of Tampa plans on staying with Bright House.
"Not only do I feel the pricing of the bundled services are good, I have cable, Internet and phone [together]. But I like the fact that this is a locally operated company that has local customer service if I need it."
Predicting The Pace
Bright House, meanwhile, isn't taking the competition lying down. The company is marketing heavily to retain customers and is offering its own package deals. The company often will offer discounts to customers who threaten to switch to Verizon.
However, Phil Leigh, president of Tampa consulting group Inside Digital Media, said: "Verizon's getting a pretty good penetration rate with these numbers. It's a matter of survival for them because other cable companies can sell telephone service, too."
Verizon's sign-up pace also could rise as it connects neighborhoods to the network. The 5,000-per-month rate only represents neighborhoods where Verizon has completed building its fiber-optic network - a project that is under construction across the region.
The company also hasn't fully entered Pinellas County.
Last month, Verizon Southeast Region President Alan Ciamporcero told the Tampa City Council that he hoped for more than 30 percent market share in the area in the coming years.
"If that's all we get, I'm going to be in trouble, frankly," Ciamporcero said. "So I expect to blow right through 30 percent in a couple years."
CUT YOUR BILL
New cable competition in the Bay area is making it easier to strike a good deal. Here's how:
•Threaten to switch. No matter your provider - cable or satellite TV - call and say you're going to cancel your service unless you get a discount. Often, the company will give you one, but beware. It may call your bluff, and re-signing at a lower rate may mean signing a new contract.
•Bundle up. The best rates come when you buy more than one service from the same company. The total bill can look large, but it may cost less than separately buying telephone, Internet and cable service.
•Note: You might not be locked into your current contract. Many contracts lock the cable company into a set rate but don't lock customers into staying.
COMPARING COSTS
Cable packages are not directly comparable because each company bundles different channel lineups. Discounts also apply for adding services such as Internet and telephone.
Bright House
Its standard digital package costs $58.45 per month with a digital cable box.
Verizon
Its roughly comparable package costs $43.90 to $53.95 per month, depending on features on the cable box, such as a digital videorecorder or high-definition picture.
http://www.tbo.com/news/nationworld/MGBG6RD5FOE.html
