Light Reading
In his TelcoTV keynote, Verizon's Robert Mudge says the service will play a key role in the company's 'borderless lifestyle' strategy

Verizon/Redbox Combo Set for Q4 Breakout

Jeff Baumgartner
LR Cable News Analysis
Jeff Baumgartner
10/24/2012
50%
50%

LAS VEGAS -- Telco TV 2012 -- The streaming and DVD rental subscription service being developed by Verizon Communications Inc. (NYSE: VZ) and Redbox Automated Retail LLC is in the beta phase, and the companies are on track to launch it commercially before the end of the year, Verizon President of Consumer and Mass Business Robert Mudge said during his keynote here Wednesday.

"We will be in the market in the fourth quarter. Quite frankly, this has been a heavy lift," Mudge said.

The coming service -– called Redbox Instant by Verizon –- represents a "prudent step with over-the-top," Mudge said. It will be a standalone subscription offered outside the FiOS sphere, so it will be available to any U.S. consumer with a broadband connection, making it a direct competitor to Netflix Inc. (Nasdaq: NFLX). (See Verizon & Redbox Boot Up Web Video Service and Verizon & Redbox Target Netflix .)

The winner, he said will be "the provider that can give the consumer any of those [video] choices at a reasonable price." Verizon and Redbox, by the way, have not revealed what they'll be charging.

The Redbox deal ties into an overarching strategy around what Verizon calls the borderless lifestyle (the main subject of Mudge's talk) that will enable access all apps and services to all devices, at home or on the go, via a mix of wired and wireless connectivity.

Mudge shared the results of new consumer research (something Verizon calls the FiOS Innovation Index) that found that 39 percent of U.S. adult consumers already fall into this "borderless" demographic. And it appears to be a highly sought-after group for advertisers, with 48 percent of the group making more than $75,000 a year and 51 percent being college graduates. Those figures were based on a Verizon-commissioned survey of 2,292 adults conducted Sept. 7-12.

That all means that "establishing a strategy for converged innovation for products and services is imperative" for service providers, Mudge said. It's become so important, he pointed out, that Verizon Wireless and its cable partners have created an innovation joint venture that will develop blended apps and services that can be delivered on wired and wireless networks. (See Verizon Wireless: Cable’s New BFF.)

But the demands on the network to support the notion of a borderless lifestyle "will continue to be staggering," Mudge said.

That will, of course, put more stress on wireless networks, but the wired home networks will also be called on to carry a bigger load. Verizon launched two high-end Quantum FiOS tiers (300Mbit/s and 150Mbit/s) in June, and the company has already been getting some consumer interest in them, indicating that they're more than just flashy marketing ploys. Mudge said he was pleasantly surprised to learn that 7 percent of the subscribers calling in were asking about the 150Mbit/s Quantum tier. (See FiOS Speeds & Prices Take a Quantum Leap .)

— Jeff Baumgartner, Site Editor, Light Reading Cable



(2)  | 
Comment  | 
Print  | 
Newest First  |  Oldest First  |  Threaded View
Jeff Baumgartner
50%
50%
Jeff Baumgartner,
User Rank: Light Beer
12/5/2012 | 5:18:39 PM
re: Verizon/Redbox Combo Set for Q4 Breakout


that would offer a more meaningful metric... you have to wonder how many ask and then get sticker shock on the price.  But VZ's high end tiers are still less expensive than the similar tiers Comcast is trying out in some FiOS markets. JB

JohnVoda
50%
50%
JohnVoda,
User Rank: Light Beer
12/5/2012 | 5:18:39 PM
re: Verizon/Redbox Combo Set for Q4 Breakout


It is interesting that "7 percent of the subscribers calling in were asking about the 150Mbit/s Quantum tier" but I'd be much more interested to learn what percentage are willing to pay for the speed.  Is the target market heavy gamers and online movie viewers?  How large is that?

Flash Poll
From The Founder
It's clear to me that the communications industry is divided into two types of people, and only one is living in the real world.
LRTV Custom TV
Using Service Quality to Drive WiFi Monetization

10|22|14   |   6:51   |   (0) comments


Live from the SCTE conference: Heavy Reading's Alan Breznick explores the forces shaping the WiFi opportunity in an interview with CableLabs' Justin Colwell and Amdocs' Ken Roulier.
LRTV Custom TV
Distributed Access Architectures – 2

10|21|14   |   8:51:00 AM   |   (0) comments


ARRIS CTO Network Solutions Tom Cloonan discusses why many if not most MSOs will continue with integrated CCAP, while addressing why some are also looking at two futuristic, distributed access architectures: Remote PHY and Remote CCAP.
LRTV Custom TV
Distributed Access Architectures – 1

10|21|14   |   9:01   |   (0) comments


SCTE Sr. Director of Engineering Dean Stoneback discusses the pros and cons of distributed access architecture (DAA) and its various forms, which range from basic Remote PHY to full CMTS functionality in the node.
LRTV Custom TV
The WiFi Road to Riches – 2

10|21|14   |   3:58   |   (0) comments


ARRIS Senior Solution Architect Eli Baruch talks about how MSOs can enable public and community WiFi through 1) outdoor access points, 2) businesses seeking to offer WiFi to customers, and 3) residential WiFi gateway extensions.
LRTV Custom TV
The WiFi Road to Riches – 1

10|21|14   |   10:15   |   (0) comments


SCTE Director of Advanced Technologies Steve Harris discusses WiFi deployments, drivers, challenges and advances, including 802.11ac, carrier-grade WiFi, community WiFi, Hotspot 2.0, Passpoint, WiFi-First and voice-over-WiFi.
LRTV Custom TV
Advantech Accelerates 100G Traffic Handling

10|17|14   |   7:56   |   (0) comments


Paul Stevens from Advantech explains why handling 100GbE needs a whole new platform design approach and how Advantech is addressing the needs of equipment providers and carriers to give them the flexibility and performance they will need for SDN and NFV deployment.
LRTV Huawei Video Resource Center
Holland's Imtech Traffic & Infra Discusses Huawei's ICT Solution and Services

10|16|14   |   4:49   |   (0) comments


Dimitry Theebe is from the business unit at Imtech Traffic & Infra which delivers communications solutions for transportations. His partnershp with Huawei began about a years ago. In this video, Theebe speaks more about this partnership and what he hopes to accomplish with Huawei.
LRTV Huawei Video Resource Center
Huawei's Comprehensive Storage Solutions Vital for SVR

10|16|14   |   6:16   |   (0) comments


SVR Information Technology provides cloud services for academic and special sectors. With Huawei's support, SVR and Yildiz Technical University has established Turkey's largest and most advanced High Performance Computing system. CSO Ismail Cem Aslan talks about what he hopes Huawei's OceanStor storage system will bring for him.
LRTV Huawei Video Resource Center
Mexico's Servitron's Impression of Huawei at CCW 2014

10|16|14   |   6:35   |   (0) comments


Servitron is a network operator in Mexico that has been in the trunking industry for the past 20 years. Its COO, Ing. Ragnar Trillo O., explains at Critical Communications World 2014 that his company has been interested in the long-term evolution of LTE technology and its adoption for TETRA.
LRTV Huawei Video Resource Center
Building a Better Dubai

10|16|14   |   2:06   |   (0) comments


Abdulla Ahmed Al Falasi is the director of commercial affairs, a telecommunications coordinator for the government of Dubai. Their areas of service span across multiple industries, including police, safety, shopping malls and more. In this video, Abdulla talks about his department's work with Huawei.
LRTV Huawei Video Resource Center
Huawei Lights Up Malaysia Partner Maju Nusa

10|16|14   |   1:59   |   (0) comments


Malaysia's Maju Nusa is an enterprise partner to Huawei in networking, route switches and telco equipment. At this year's Critical Communications World in Singapore, CTO Pushpender Singh talks about what Huawei's eLTE solutions mean to his company and for Malaysia.
LRTV Custom TV
Evolving From HFC to FTTH Networks

10|15|14   |   2:19   |   (0) comments


Cisco's Todd McCrum delves into the future of cable's HFC plant, examining how DOCSIS 3.1 and advanced video compression will extend its life and how the IP video transition will usher in GPON and EPON over FTTH.
Upcoming Live Events
October 29, 2014, New York City
November 6, 2014, Santa Clara
November 11, 2014, Atlanta, GA
December 2, 2014, New York City
December 3, 2014, New York City
December 9-10, 2014, Reykjavik, Iceland
February 10, 2015, Atlanta, GA
June 9-10, 2015, Chicago, IL
Infographics
WhoIsHostingThis.com presents six of the world's most extreme WiFi hotspots, enabling the most epic selfies you can imagine.
Hot Topics
Is Health the Killer App for the IoT?
Jason Meyers, Senior Editor, Gigabit Cities/IoT, 10/22/2014
Drones Hover Over the IoT Sector
Jason Meyers, Senior Editor, Gigabit Cities/IoT, 10/23/2014
Analysts Warn of Major NFV Gaps
Carol Wilson, Editor-at-large, 10/22/2014
Roku Raises $25M, But for What?
Mari Silbey, Independent Technology Editor, 10/23/2014
AT&T: Merger Review Halt Won't Hurt Us
Alan Breznick, Cable/Video Practice Leader, 10/23/2014
Like Us on Facebook
Twitter Feed