& cplSiteName &

U-verse Picks Up the Pace

Raymond McConville
TelcoTV News Analysis
Raymond McConville
9/5/2007
50%
50%

AT&T Inc. (NYSE: T) says it's just signed its 100,000th customer to the U-verse fiber-to-the-node TV service. (See U-Verse Hits 100K.)

That's a nice pickup for a service that struggled out of the gate with rollout delays, cost miscalculations, and a mere 3,000 subscribers to speak of at the end of 2006. (See AT&T Lowers U-verse Goals Again and AT&T Hits Lowered U-verse Goal.)

U-verse ended the first quarter of 2007 with 13,000 subscribers. Customers nearly quadrupled to 51,000 by the end of the second quarter and have nearly doubled again since.

UBS AG analyst John Hodulik thinks the fourth quarter will be even bigger. "We had projected that 4Q will be a big quarter for U-verse, with over 100K new installs. With over 80K in 3Q, this could prove conservative," he writes in a research note today.

This recent success should "eliminate overhang from speculation regarding [any] DISH acquisition and FTTH strategy change," Hodulik writes.

AT&T expects to be installing U-verse in 10,000 homes per week by the end of this year, which would represent roughly 120,000 new subscribers per quarter. Based on today's milestone and some quick long division, the company is doing roughly 6,250 installations per week since the end of the second quarter, which would give it about 125,000 subscribers by the end of the third quarter.

AT&T spokesman Wes Warnock says the company is still "absolutely on track" to reach its goal of 10,000 adds per week this year.

By comparison, FiOS TV from Verizon Communications Inc. (NYSE: VZ) had 515,000 subscribers at the end of the second quarter.

In addition to the milestone announcement, AT&T unveiled some interactive features that will become available later this month, including customized weather, stock, traffic, and sports information; a yellowpages.com plug-in; and Yahoo Games on the TV screen.

AT&T has talked about other interactive features such as the whole-home DVR, sharing content across three screens, and viewing your Yahoo photos on your TV.

U-verse runs on AT&T's IPTV infrastructure. Verizon is running FiOS TV as a digital cable-like RF service but has announced plans to move everything over to IPTV. (See Verizon: HD VOD Is Coming.)

— Raymond McConville, Reporter, Light Reading

(17)  | 
Comment  | 
Print  | 
Newest First  |  Oldest First  |  Threaded View        ADD A COMMENT
Page 1 / 2   >   >>
rbrand@nortelnetworks
50%
50%
rbrand@nortelnetworks,
User Rank: Light Beer
12/5/2012 | 3:03:11 PM
re: U-verse Picks Up the Pace
Glad to see that LightSpeed is accelerating its deployment. But Ray, you need to compare apples and apples. While you report SBC/ATT's numbers for uVerse connections as 100K to FiOS TV at 515K, those are not necessarily the same services. According to wikipedia (http://en.wikipedia.org/wiki/U... u-verse is a group of offered services which may include video while FiOS TV is definitely a video service along with Internet etc. The Verizon FiOS only connects exceed 1000K. And what is the ATT retention rate for TV? If you subscribe to the uVerse users group, there is still a lot of dissatisfaction over HDTV quality on VDSL2. This same generic issue came up in the last DSL Forum BoF session.
Raymond McConville
50%
50%
Raymond McConville,
User Rank: Light Beer
12/5/2012 | 3:03:10 PM
re: U-verse Picks Up the Pace
I am comparing apples to apples. The AT&T announcement indicates that the company has signed up 100K U-Verse TV customers.

Dissatisfaction over HDTV quality on VDSL2 is a completely different story but you're absolutely right about the concern. AT&T will have to rely on advances in compression technology to continue to deliver more HD content. So far, it sounds like they're doing okay, but we'll see how long that continues.

I dont know what the retention rate is for U-Verse TV, but I imagine with most customers likely locked into to at least a year long contract, it'd be very low regardless of their satisfaction with the service.
Ben Crosby
50%
50%
Ben Crosby,
User Rank: Light Beer
12/5/2012 | 3:03:06 PM
re: U-verse Picks Up the Pace
One minor catch Ray, I'm guessing that when you say "it'd be very low regardless"... in your third para, you mean that the churn rate would be low, and the retention rate would be high ?

Also in terms of apples-to-apples, you have provided subscriber counts for FIOS and IPTV.

I noted from uverse.att.com that the U200, U300 and U400 services all come with 3 "receivers" or IP STBs per subscriber. Since FIOS is more traditional overlay TV, I assume the receiver count is a little more difficult to obtain.

Inferring from public information the fact that there may be as many as 300k STBs deployed on U-verse is worthy of note.

Cheers !
Raymond McConville
50%
50%
Raymond McConville,
User Rank: Light Beer
12/5/2012 | 3:03:02 PM
re: U-verse Picks Up the Pace
Yes, I did in fact mean that churn rate would be low. This is what happens when things that I write go up on the site without being copy edited.
rjmcmahon
50%
50%
rjmcmahon,
User Rank: Light Beer
12/5/2012 | 3:03:01 PM
re: U-verse Picks Up the Pace
My neighbors are getting u-verse TV service. It looks like it's good enough for them.
Raymond McConville
50%
50%
Raymond McConville,
User Rank: Light Beer
12/5/2012 | 3:03:00 PM
re: U-verse Picks Up the Pace
Well then I guess that settles the argument
rjmcmahon
50%
50%
rjmcmahon,
User Rank: Light Beer
12/5/2012 | 3:02:59 PM
re: U-verse Picks Up the Pace
Well then I guess that settles the argument

I assume that's some sarcasm. ;-)

It makes the point that building out yet another broadcast network will only satisfy the neighbors. It won't be any good for the rest of us but T and the neighbors will argue it's more than good enough. (Maybe the neighbors should be able to choose my furniture as well as the digital consumer electronic devices I'm allowed to use?)

Or better yet let's figure out how to build new networks that support unicast at modern bandwidth capabilities. Neither FiOS nor U-verse need apply as these technologies and business models are a waste of everyone's time.
mgardner750
50%
50%
mgardner750,
User Rank: Light Beer
12/5/2012 | 3:02:58 PM
re: U-verse Picks Up the Pace
I've had U-verse through a FTTH connection for 2 months and am about ready to switch back to satellite for TV.

The TV service is like subscribing to a beta service that has glitches. The DVR resets itself at least once a day taking 5 minutes to get back where you can watch TV. The DVR software by Microsoft can best be described as bug free as Vista and as user friendly as DOS 1.0 is to MAC OS X. Why they donGÇÖt do the little things like putting shows into folder instead of having a list of 100 shows to slowly page through is beyond me. Simple things that TVIO does so well are missing.

The picture quality is very good on SD but they compress the HD too much for football. You get blocking on the images.

The service has a lot of potential, but if they donGÇÖt get the DVR to stop resetting, I will switch.
Raymond McConville
50%
50%
Raymond McConville,
User Rank: Light Beer
12/5/2012 | 3:02:58 PM
re: U-verse Picks Up the Pace
Yes, sarcasm is in fact my second language.

Are you saying that there's no way T's IP network or VZ's (when they eventually move everything over to IP) can support unicast?
Raymond McConville
50%
50%
Raymond McConville,
User Rank: Light Beer
12/5/2012 | 3:02:58 PM
re: U-verse Picks Up the Pace
I assume you live in a greenfield community then if you're on FTTH. You'd have to assume that they're going to work through some of the software glitches as it is a first generation service and bugs are inevitable. That is interesting though that you say the picture quality on HD is bad for football, (half the reason to have HD in the first place) especially given that you're on a FTTH connection.

I'd never pay for satellite TV though. We have it here in the office and every time it rains, we have problems with the picture.
Page 1 / 2   >   >>
Educational Resources
sponsor supplied content
Educational Resources Archive
From The Founder
Either we perform a complete 'factory reset' on the way the telecom industry creates and deploys virtualization, or we face the consequences.
Flash Poll
Live Streaming Video
Charting the CSP's Future
Six different communications service providers join to debate their visions of the future CSP, following a landmark presentation from AT&T on its massive virtualization efforts and a look back on where the telecom industry has been and where it's going from two industry veterans.
LRTV Custom TV
The Urgency of Commercial 5G Services

4|26|17   |     |   (0) comments


The progress of 5G has been closely monitored in the industry. At the 2017 Brooklyn 5G Summit, the sense of urgency for a commercial 5G launch had started to surface among operators.
Women in Comms Introduction Videos
How Diversity Helps Comcast Mirror Its Customer Base

4|26|17   |   2:55   |   (0) comments


Diversity brings innovation, creative ideas and a way to reflect the broad spectrum of your customer base, Comcast Director of Customer Experience Jenelle Champlin says.
LRTV Huawei Video Resource Center
Mobile Operators & Video

4|25|17   |     |   (0) comments


Ovum's Ed Barton discusses the latest mobile operator strategies for mobile video.
LRTV Custom TV
Infinera Introduces Instant Network

4|20|17   |     |   (1) comment


Mike Capuano, vice president of marketing at Infinera, discusses the advancement from Instant Bandwidth to new Instant Network capabilities, which include Bandwidth License Pools, Moveable Licenses and Automated Capacity Engineering (ACE).
Women in Comms Introduction Videos
Vodafone's Eubank on Sponsors, Mentors & Moving On Up

4|19|17   |   4:25   |   (0) comments


Vodafone America's Head of Operations Kimberly Eubank breaks down the difference between a sponsor and a mentor and shares why both made a big difference in her career.
LRTV Custom TV
NYC Auto Show: Are We Smart Yet?

4|18|17   |     |   (0) comments


The auto industry is facing some big transformations as electric vehicles, autonomous technology and connected cars are seen as the future of the industry. During the much-anticipated NY international auto show, there was an emergence of new technology and mobility service on the show floor. Aside from performance, brands like Lincoln, Hyundai, Honda, Mercedes and ...
LRTV Huawei Video Resource Center
The Impact of Video

4|18|17   |     |   (0) comments


David Mercer from Strategy Analytics discusses the impact of video on current strategies.
LRTV Custom TV
Pardeep Kohli Discusses Network Transformation & the Market Opportunity for the 'New' Mavenir Systems

4|13|17   |     |   (0) comments


In a brief discussion at MWC 2017, Heavy Reading analyst Adi Kishore talks to Pardeep Kohli, CEO, Mavenir Systems about the creation of the 'new Mavenir' and some of the key challenges facing operators in today's market. A key theme of the discussion centers around operator need for software-only, virtualized solutions and how they will need to adapt to ...
Women in Comms Introduction Videos
Tech Maverick Shares Her Tips for Gender Inclusivity

4|12|17   |   7:28   |   (0) comments


Wendy Hall Bohling, a corporate escapee, author and gender exclusivity consultant, tells her story of sexism, bias and progress along the road to gender equality in the workforce.
LRTV Huawei Video Resource Center
Huawei at MWC 2017

4|11|17   |     |   (0) comments


At Mobile World Congress 2017, the biggest mobile industry gathering of the year, Huawei showcased its new innovations and solutions with the theme "Open Road," which focuses on cloud, 5G, operation transformation, videos and consumer-oriented products. Its campaign has been recognized by three awards given by GSMA.
LRTV Custom TV
China Telecom NFV Infrastructure on RSD

4|6|17   |     |   (0) comments


Lynn Comp, senior director of market development of Intel, is joined by Chong Zhang, storage engineer at Inspur and Ou Li Yan, architect for technology strategies of China Telecom, for a discussion of what NFV brings.
LRTV Custom TV
Nokia's IMPACT Software Demo

4|6|17   |     |   (0) comments


Khamis Abulgubein of IoT market development at Nokia demonstrates IMPACT (intelligent management platform for all connected things), a software solution with a horizontal approach to managing any device on any application.
Upcoming Live Events
May 15-17, 2017, Austin Convention Center, Austin, TX
May 15, 2017, Brazos Hall - Austin, TX
May 15, 2017, Austin Convention Center - Austin, TX
June 6, 2017, The Joule Hotel, Dallas, TX
All Upcoming Live Events
Infographics
With the mobile ecosystem becoming increasingly vulnerable to security threats, AdaptiveMobile has laid out some of the key considerations for the wireless community.
Hot Topics
Surprise! AT&T Markets 4G Advances as '5G Evolution'
Dan Jones, Mobile Editor, 4/25/2017
Did Verizon Outbid AT&T for Straight Path?
Dan Jones, Mobile Editor, 4/25/2017
First Year TIPs the Scale Toward Success
Denise Culver, 4/24/2017
Verizon: Small Biz in Cybercrooks' Crosshairs
Carol Wilson, Editor-at-large, 4/27/2017
Like Us on Facebook
Twitter Feed
BETWEEN THE CEOs - Executive Interviews
One of the nice bits of my job (other than the teeny tiny salary, obviously) is that I get to pick and choose who I interview for this slot on the Light Reading home ...
TEOCO Founder and CEO Atul Jain talks to Light Reading Founder and CEO Steve Saunders about the challenges around cost control and service monetization in the mobile and IoT sectors.
Live Digital Audio

Playing it safe can only get you so far. Sometimes the biggest bets have the biggest payouts, and that is true in your career as well. For this radio show, Caroline Chan, general manager of the 5G Infrastructure Division of the Network Platform Group at Intel, will share her own personal story of how she successfully took big bets to build a successful career, as well as offer advice on how you can do the same. We’ll cover everything from how to overcome fear and manage risk, how to be prepared for where technology is going in the future and how to structure your career in a way to ensure you keep progressing. Chan, a seasoned telecom veteran and effective risk taker herself, will also leave plenty of time to answer all your questions live on the air.