Summary
1. As we said back in the summer of 2007, Cablevision was working hard to meet Verizon's challenge. 2. The MSO has obviously succeeded. 3. The other cable TV firms could learn a lesson in being more proactive.
Analysis
“Cablevision's [SMB] initiatives are [not] its only secret sauce.” Strategic deployments of fiber to the premises have also instrumental in keeping it in the game. Before Verizon even got business in Cablevision’s territory, the MSO was building up a defense. Comcast and Time Warner Cable initially hoped for the best and/or assumed that the RBOC would not be that much of a threat. Apparently, they could not envision a bunch of Bell heads being able to sell video content in meaningful quantities. But just as in war, one should never take an opponent for granted.
On a separate subject, Cablevision’s purchase of Newsday last year is likely to be advantageous for the long term. Newsday has become an institution in Long Island, an important area for the MSO – in which it continues to fight hard to keep.
