Summary
1. In general, Verizon’s executives have been somewhat surprised by the number of demands by landlords in New York City when the service provider offers FiOS to them.
2. Clearly, the building owners have all of the bargaining power in the negotiations.
3. Their residents already have cable TV and high-speed Internet.
2. Clearly, the building owners have all of the bargaining power in the negotiations.
3. Their residents already have cable TV and high-speed Internet.
Analysis
Verizon has found a number of ways to make the landlords in NYC happy. Sometimes they are simple things like making sure the color of the crown molding (to hide the wires) matches that of the walls. Verizon is also willing to offer complimentary lines and reductions in the cost of T1s to the business offices of these developments. Moreover, televisions in the lobbies or the offices of these buildings have been provided as well.
Another method of getting into the good graces of the building owners is to coordinate the installation of fiber with their renovation plans. Nevertheless, it really does not make too much of a difference to them because the RBOC agrees to repair everything anyway.
For more information on this topic, please see the latest issue in our Fiber-To-The-Premises Network Strategies Monthly, “New York City FTTH MDU Outlook.” The report can be purchased directly from GLG.
Another method of getting into the good graces of the building owners is to coordinate the installation of fiber with their renovation plans. Nevertheless, it really does not make too much of a difference to them because the RBOC agrees to repair everything anyway.
For more information on this topic, please see the latest issue in our Fiber-To-The-Premises Network Strategies Monthly, “New York City FTTH MDU Outlook.” The report can be purchased directly from GLG.
Samuel Greenholtz consults with leading institutions through GLG
Analyses are solely the work of the authors and have not been edited or endorsed by GLG.
