By Tim Young
In approaching the topic of IPTV, it can be all-too-easy to focus primarily and exclusively on the Tier One operators. It's the AT&Ts, BTs, and Verizons of the world that get the telco-TV press (though it's really Free (Iliad Group), FT, and PCCW that should get the press, as they've gotten some serious uptake). Still, there are more than a few Tier 2/3 companies out there providing excellent service to committed subscribers.
One such company is California-based SureWest.
Founded in 1914 as the Roseville Telephone Company, SureWest is still headquartered in Roseville, but changed its name in the early part of this decade. The name change is adequate, as they serve more than just Roseville these days. They are an ILEC in a number of communities in the Sacramento area, and have additional offerings ranging farther out in CA and, due to the acquisition of Everest Telecom, a presence in the Kansas City market, as well.
It's a much smaller company than many, but it has a fairly large stable of loyal IPTV customers.
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More than a few Tier 2/3 companies out there are providing excellent service to committed subscribers. |
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Still, SureWest has a number of advantages many telcos can't boast.
One advantage is the result of another company's failure. Back in the bubble days, a company called WINfirst had big dreams. They rolled out a massive fiber network and set up a gargantuan operations base in a former jet repair facility. From this 187,000 sq. ft. center, they managed a strictly FTTH empire.
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SureWest's IPTV offering started in 2004, and, according to SureWest's Director of Strategic Technologies, Carl Murray, the service has exper ienced steady growth over time. In addition, SureWest was the first IPTV provider to launch HDTV service.
What challenges does a company like SureWest face? One is a matter of public perception. "The bar," says Murray, "is what the cablecos have." Because the public-at-large perceives cable as the de facto market leader in video, IPTV providers are forced into a less-than-desirable "me-too" role. While the quality and price point may be the same or better with IPTV, cable still remains the first choice for many consumers who fail to consider a telco a viable option for video service.
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And then the bubble burst.
SureWest purchased WINfirst out of bankruptcy and was able to leverage the assets of the ambitious company to deliver cutting edge services over nice fat pipes.
In addition to the WINfirst assets, SureWest has another advantage: Scale. "I can't stress enough the advantage of smaller scale in getting a service like our IPTV to market," says Murray. "When we were planning our IPTV rollout, there were four of us around a table, planning everything."
This is possible because SureWest enjoys a market in which they are the ILEC, and their
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