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June 19, 2008

Love is 50mbs FIOS Data for Working From Home, etc.: Hear That AT&T?

Analysis of: Verizon Takes 50-Mbit/s FIOS to the Masses | www.lightreading.com
This analysis is solely the work of the author. It has not been edited or endorsed by GLG.
Analysis By:
Joseph Upton, Pres/CEOJoseph Upton
Pres/CEO, Kabel-X USA
Implications: AT&T's Uverse is doing well, people are buying it, and VOILA!  Along comes VZ overbuilding T, AND selling 5 times the AT&T data speed to customers.  This puts CATV MSOs and AT&T/Qwest and anyone else not doing FTTP in a quandry.  Do they continue to build hybrid fiber-copper systems or hybrid-fiber coax systems or move in the fiber all the way direction to the home/premise?

Analysis: Darn that Verizon. NO, just kidding! They are easy to love these days, with this referenced article on 50 mbs data to the FIOS masses, overbuilding AT&T in TX, and continuing to grow the FIOS take rate.  Even Wall Street appears to nod positively in their direction and they are seemingly being endorsed as having picked the right technology to maintain their business in the face of CATV MSOs offering HFC-based everything (voice, data, video).  Scaling the 50 mbs data offering, appears to be an easy thing for Verizon to provision, so what is up their technical sleeves next?  AT&T and the CATV MSOs have to be thinking it is time to step up the competitive pace.  In a recent article in Cable Digital News, titled, "Fighting FIOS With Fiber", the CATV MSOs are "exploring, testing, or even deploying various fiber plant extensions in their markets."  So, we should all thank Verizon for stirring the pot and improving markets that needed improving.  Yea for VZ!


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