Pipeline Publishing, Volume 5, Issue 10
This Month's Issue:
Cableco vs. Telco: Content is King
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Access Technology Rumble:
Cableco vs. Telco

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However, a quick look at aspects of one of Comcast's latest advertising campaigns confirms that cable is not content to sit idly by while telcos reap the majority of the SMB and Enterprise reward. In television spots I've seen in Chicago (and I'm sure are airing elsewhere), Comcast's Business Class services (including video, voice, and data) are being touted as a way to maximize efficiency and lower costs.

A look at Comcast's website reveals solutions for Small, Medium, and Large businesses. Comcast is by no means alone among cable providers in this push. After all, while the demands of service are higher in the business space, it's too large a pool of potential subscribers to ignore. Furthermore, now is an ideal time for cablecos to release this messaging, as nervous businesses are looking to cut costs and reevaluate expenses, so a potentially lower communications bill may be just the bait needed to lure enterprise and SMB customers their way.

“It would take a very significant investment in network infrastructure for cable companies to become players in the enterprise market.”


Bridges asserts that AT&T (and, by implication, perhaps other widespread Tier 1 Telcos) is far better equipped for the enterprise market than cablecos. “Our global network and broad portfolio of enterprise services – including wireless and wireline voice and data, network consulting and integration, hosting and application services, digital media, unified communications, security, business continuity, and telepresence – make AT&T the ideal solution provider for enterprises.”

Elak went one step further when asked if cablecos have what it takes to compete in the enterprise space. “It would take a very significant investment in network infrastructure for cable companies to become


“Enterprise customers are always looking for choice,” said Mahoney. “The large customers that RCN Metro serves can not rely upon a single provider and need to utilize multiple carriers to ensure that their network is resilient. The company started as being the "smart alternative to the status quo", but recently our clients have stated that we are their primary provider for services and the incumbent carrier has now taken the secondary role.”

“Cox pioneered the delivery of business class services from cable,” said Grabert. “We have made significant inroads in serving small- to medium-sized businesses in our footprint and today we have numerous big wins with larger regional businesses (e.g. regional health systems, education…).” He contends that this is a trend that's upward-bound. “Cable will continue to win commercial business away from the telcos and Cox Business has been the fastest growing aspect of Cox’s overall business – growing revenue at approximately 20% per year.”


players in the enterprise market,” he said. “We do not see that happening.”

Natural Edge:
Players from each segment have strengths that are specific and pronounced, in many ways. Some of these strengths are due to company history and philosophy, and others are outgrowths of specific technologies.

When asked about the strengths of their specific access technologies, responses (of course) varied.

“Cable companies are not all the same so each brings its own points of differentiation,” said Grabert. “Cox is particularly known for our outstanding customer care and operational excellence. As strong advantage we hold is our ability to move quickly and innovatively to meet the needs of business customers in our markets. We have excelled in reaching out to

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