As the global pay-TV market grows, Telco-TV and satellite TV continue to sap away subscribers from cable TV operators, according to the latest report from Infonetics Research. The market grew 2 percent since the second half of 2012 to $110 billion. Based on revenue, DirecTV was the market leader in the first half of 2013.
Around the world, telecom operators are outcompeting legacy cable companies in the video business. According to Jeff Heynen, principal analyst for broadband access and pay TV at Infonetics Research, in a recent press release, "Telco IPTV operators AT&T, China Telecom, and Deutsche Telekom continue to enjoy strong growth in new subscribers and ARPU [average revenue per user], showing that competitive providers with differentiated services can successfully steal share away from incumbent cable operators."
The success of Telco-TV can be traced to numerous innovations, adds Heynen. "Whether it's an improved user interface, multi-screen video, or even DVR services, there are marked differences that have allowed telcos to grow their subscriber bases at a time when others aren’t.”
Vendor lock-in is no fun for CSPs, nor is it something that consumers enjoy. In fact, it can negatively impact the customer experience. Who wants a device that isn't easily portable to another network?
In order to erase this potential pain point, the leading MNOs in the US have joined to approve a standard method for unlocking mobile devices. The news comes from CTIA-The Wireless Association, which advocated for the standard.
In a statement posted on the CTIA website last month, President and CEO Steve Largent wrote:
“We are pleased to announce AT&T, Sprint, T-Mobile, U.S. Cellular and Verizon Wireless agreed to adopt a voluntary set of six principles for unlocking of consumers’ mobile phones and tablets. We will recommend that this set of principles be included in the CTIA Consumer Code for Wireless Service, in accordance with CTIA’s bylaws. Once they have been adopted, the companies will move quickly to implement these principles. We believe this agreement will continue to foster the world-leading range of devices and offerings that Americans enjoy today.”
Device unlocking will become standardized, but that doesn't mean all devices will work on all networks. “Devices that work on one provider’s network may not be technologically compatible with another wireless provider’s network,” cautioned Largent.
C Spire Wireless, once known as the regional wireless operator Cellular South, is rounding out one heck of a year. The nation's largest privately held MNO has made some significant public announcements. Last October, the company announced plans to build a $20 million data center that will open its door to a variety of new service offerings. On December 11, C Spire scooped up Callis Communications, a cloud-based communications provider based in Alabama.
Hu Meena, president and CEO of C Spire, commented on the impact of the Callis purchase in an official announcement. “In addition to the cloud-based solutions available today, we plan to provide a greatly expanded and comprehensive suite of world-class cloud based computing and enterprise application solutions from our new state-of-the-art tandem of data centers.”
C Spire also announced an ultra-high-speed fiber roll-out, with plans for 1 Gbps (gigabits per second) service to residents in nine Mississippi cities.
"There’s a tremendous amount of excitement in each of these communities and a strong desire to be among the first to receive the 1 Gig Internet service to the home,” said Meena in another December press release. “We’re looking forward to bringing tomorrow’s technology to these Mississippi communities today because we know that this service has the power to transform communities into hubs for technology investment and economic growth.”
The cutting edge broadband will be available in select areas for $80 a month, which is competitively priced against 1 gig service offered by Google Fiber, and substantially cheaper (and faster) than the top high-speed broadband tiers offered by fiber providers like Verizon FiOS or AT&T U-verse.