& cplSiteName &

FCC Indulges Netflix CEO

Jeff Baumgartner
LR Cable News Analysis
Jeff Baumgartner
4/17/2012
50%
50%

Another round in the bout between Reed Hastings and Comcast Corp. (Nasdaq: CMCSA, CMCSK) over the MSO's streaming video policies kicks off today's cable news roundup.

  • The Federal Communications Commission (FCC) is monitoring Comcast's streaming video policies on the Xbox 360 amid recent complaints from Netflix Inc. (Nasdaq: NFLX) CEO Reed Hastings that Comcast is violating the Commission's network neutrality rules, reports The Wall Street Journal. Hastings is ticked that using the Xfinity TV app on the gaming console will not count toward a customer's monthly broadband usage cap. But FCC rules allow MSOs to give special treatment to traffic traveling via its private IP network, as Comcast says it is doing in this case. (See Netflix CEO Keeps Whining About Comcast and Comcast's Xbox App Raises Net Neutrality Concerns.)

  • Tablet owners do about 15 percent of their TV show viewing on the devices, making tablets the clear in-home viewing alternative to big screen TVs, reports Multichannel News, citing a study of 2,500 consumers who own tablets that was commissioned by Viacom Inc. (NYSE: VIA), which owns networks such as MTV and Nickelodeon. The findings come into play as MSOs continue to pipe on-demand and a limited lineup of live, linear TV feeds to tablets and other portable devices.

  • Level 3 Communications Inc. (NYSE: LVLT) has more than doubled the capacity of its content delivery network (CDN) in anticipation of rising demand for bandwidth-intensive services such as streaming video. The upgrade boosts the company's CDN capacity to more than 5.6Tbit/s, up from the 2.15Tbit/s it put into place in late 2010, about the time Level 3 inked a deal with Netflix and sparked a network neutrality debate with Comcast. (See Comcast: Level 3 Balks at Trial Offer .)

  • OptiComm Co. Pty. Ltd. will use two Docsis 3.0-qualified cable modem termination system (CMTS) models from Casa Systems Inc. to power a wholesale hybrid fiber/coax (HFC) network it's deploying in Australia. The resulting "open access" network will provide links up to 100Mbit/s and enable partners to deliver IP video and other bandwidth-intensive services.

  • Synacor Inc. has cut a deal to build an authenticated TV Everywhere Web portal for MetroCast Communications, an MSO that serves parts of New Hampshire, Connecticut, Maryland, Virginia, Mississippi, South Carolina and Pennsylvania.

  • OfficeDrop has launched a white-label, cloud-based storage service tailored to MSOs and ISPs, offering more competition for Mozy, which has deals with cable operators such as Cox Communications Inc. and Comcast. (See Comcast Picks Mozy for Online Backup.)

    — Jeff Baumgartner, Site Editor, Light Reading Cable

    (8)  | 
    Comment  | 
    Print  | 
  • Newest First  |  Oldest First  |  Threaded View        ADD A COMMENT
    AESerm
    50%
    50%
    AESerm,
    User Rank: Light Beer
    12/5/2012 | 5:36:16 PM
    re: FCC Indulges Netflix CEO


    Capacity has doubled, but L3 says that CDN remains steady at only 2% of its core network services revenue. It expanded reach via Global Crossing, a deal that closed last Oct.

    ibarrera
    50%
    50%
    ibarrera,
    User Rank: Light Beer
    12/5/2012 | 5:36:16 PM
    re: FCC Indulges Netflix CEO


    Comcast is playing with a double edge sword. The moment they are allowed that game, it's very likely AT&T goes with the same game. And I see that other than customers and neutrality, the clear looser would be Comcast, given they have no wireless mobile service.


    So the moment this game is allowed to Comcast, very likely Verizon and AT&T will eat them alive. I don't know why they haven't thought about it.

    Jeff Baumgartner
    50%
    50%
    Jeff Baumgartner,
    User Rank: Light Beer
    12/5/2012 | 5:36:14 PM
    re: FCC Indulges Netflix CEO


    I've asked Comcast to offer more info on how they are doing this technically  from the start to the finish line, but I believe they are using their own CDN to handle streaming on the Xfinity TV app.  And some evidence of that popped up when I had some trouble signing on when it was first launched, as I got some "Xfinity servers not available" messages.  But i'm also curious how it's done from the edge, and if the Xfinity TV app traffic to the Xbox 360 is on the same bandwidth set aside for best effort HSD and is prioritized for this managed service, or if they're carving out another channel for this purpose.  I'll keep digging on it, but if the pressure keeps up and the FCC is forced to do some sort of probe just to see what's going on then the tech details will certainly show up in the filings.


    And I also wonder if Hastings would be complaining so much about this if Comcast didn't launch Streampix, its new subscription-based video streaming service. JB

    Flook
    50%
    50%
    Flook,
    User Rank: Light Beer
    12/5/2012 | 5:36:14 PM
    re: FCC Indulges Netflix CEO


    Regarding Comcast v. Netflix, FCC says it's ok for Comcast to stream because the video traffic is on its private IP network. I could be wrong, but from the subscriber to the network edge, is it still a "private" IP network?

    DCITDave
    50%
    50%
    DCITDave,
    User Rank: Light Beer
    12/5/2012 | 5:36:12 PM
    re: FCC Indulges Netflix CEO


    If Netflix traffic doesn't have to compete with Xfinity for bandwidth (since it is being transported via a different network, allegedly), and nothing is being blocked, what's the harm to Netflix?

    ibarrera
    50%
    50%
    ibarrera,
    User Rank: Light Beer
    12/5/2012 | 5:36:10 PM
    re: FCC Indulges Netflix CEO


    Seems to me the harm is that Comcast control the caps at their will.


    So I bring more questions:


    First, why they claim it's because the traffic is internal, but connecting to other Comcast customers still counts against my cap?


    Second, why anyone sign with Netflix, for a service Comcast provides, and given their contractual links to networks, probably have even more content?


    Third, wouldn't bundling services imply that Comcast can provide the same service for an imaginary smaller amount to its customers until Netflix goes out of business?


    I personally see more issues, perhaps because I don't like Comcast much, or Internet caps for that matter. And particularly, I don't like how ISP's are making their core service, more lucrative by imposing imaginary limits to charge customers more.

    AESerm
    50%
    50%
    AESerm,
    User Rank: Light Beer
    12/5/2012 | 5:36:10 PM
    re: FCC Indulges Netflix CEO


    The question that Dan Rayburn at Streaming Media is asking seems on point: How many Netflix subscribers are going over their caps? Seems fair. In any case, you've got to be streaming a lot to break 250 GB.

    ibarrera
    50%
    50%
    ibarrera,
    User Rank: Light Beer
    12/5/2012 | 5:36:09 PM
    re: FCC Indulges Netflix CEO


    And what I say is that it sounds fine and all, until Comcast comes with a new pricing scheme similar to those from AT&T, and rolls out "cheaper" plans with lower caps, bundled with their service.


    I know it's not happening yet, but why always the customers have to take the pre-emptive strike?


    At some point I was consuming 150G on average per month, synchronizing data,  consuming multimedia and sharing a lot of my personal pictures/videos with family overseas. What's to harm Netflix? Limited plans that won't fit consumers demands, but will fit Comcast profits.

    From The Founder
    Kicking off BCE 2017, Light Reading founder Steve Saunders lays blame for NFV's slow ramp-up and urges telecom to return to old-fashioned standards building and interoperability.
    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 Interviews
    CenturyLink: Let's Get Past SD-WAN Hype

    6|23|17   |   04:02   |   (0) comments


    Technology becomes a "shiny object" unless it's properly focused on solving business needs for enterprise customers, says Bill Grubbs, network solutions architect for CenturyLink. He explains to Light Reading why SD-WAN deployments have to be tailored to specific needs – and more.
    Women in Comms Introduction Videos
    Infinera's Sales Director Paints Tech's Big Picture

    6|21|17   |   4:14   |   (1) comment


    Shannon Williams, Infinera's director of sales, shares how she achieves work's many balancing acts -- between her role and the broader company, today and tomorrow's tech and more.
    LRTV Custom TV
    SD-WAN Innovation & Trends

    6|20|17   |     |   (0) comments


    Versa CEO Kelly Ahuja discusses with Carol Wilson the current status and trends in the SD-WAN market, Versa's innovation around building a software platform with broad contextualization, and the advantages that startups can bring to the SD-WAN market.
    LRTV Interviews
    Ovum's Dario Talmesio on 5G in Europe

    6|20|17   |   02:16   |   (0) comments


    At 5G World 2017, Dario Talmesio, principal analyst and practice leader on Ovum's fixed and mobile telecoms European team, explains the emerging trends amongst European operators as they prepare for 5G.
    LRTV Custom TV
    Putting Power on a Pedestal

    6|19|17   |     |   (0) comments


    ARRIS's John Ulm says a major accomplishment of SCTE•ISBE's Energy 2020 program is increased focus on power cost and consumption, including inclusion of energy requirements in operators' RFPs and RFIs.
    LRTV Custom TV
    Gigabit Access: The Last-Mile Pipe for All Future Services

    6|19|17   |     |   (0) comments


    A Gigabit access platform being deployed today must be able to deliver all types of services to an increasing number of devices. A non-blocking architecture is necessary to support the ever-increasing growth in bandwidth demand. The Huawei Gigabit access solution is based on a distributed design that is fully scalable to deliver a unprecedented performance.
    LRTV Custom TV
    Key Factors to Successfully Deploy an SD-WAN Service

    6|19|17   |     |   (0) comments


    As service providers transition their SD-WAN solution from trials and limited deployments into production at large scale, there are important considerations to successfully operationalize these solutions and realize their full potential, without adding complexity, introducing uncertainty or disrupting current business operations. Sunil Khandekar, CEO and Founder ...
    LRTV Custom TV
    IoT Solutions: Rational Exuberance

    6|19|17   |     |   (0) comments


    IoT solutions are morphing from hype into viable business opportunities. Huawei has the platform and ecosystem support to help carriers successfully address new business opportunities in the IoT space.
    LRTV Custom TV
    Realizing ICN as a Network Slice for Mobile Data Distribution

    6|19|17   |     |   (1) comment


    Network slicing in 5G allows the potential introduction of new network architectures such as Information-centric Networks (ICN) as a slice, managed over a shared pool of compute, storage and bandwidth resource. Services over an ICN slice can benefit from many architectural features such as Name Based Networking, Security, Multicasting, Multi-homing, Mobility, ...
    LRTV Interviews
    Ovum's Mike Roberts on 5G Uptake

    6|19|17   |   04:08   |   (0) comments


    Mike Roberts, research director for Ovum's service provider markets group, explains why he has boosted his 5G subscriptions forecast.
    LRTV Interviews
    AT&T's Hubbard on Intersection of SD-WAN & MPLS

    6|15|17   |     |   (0) comments


    Rick Hubbard, SVP of Network Product Management for AT&T Business Solutions, discusses how AT&T's approach to SD-WAN fits in with its overall virtualization strategy, explains how SD-WAN can improve enterprise customers' use of the cloud and addresses the intersection of SD-WAN and MPLS.
    Telecom Innovators Video Showcase
    Keep Connected IoT Devices Under Control With Allot

    6|15|17   |     |   (0) comments


    Allot AVP of International Pre-Sales, Daniel Keidar, explains how communications service providers can protect infrastructure and service availability from flooding attacks caused by malfunctioning or bot-infected devices connected to their network.
    Upcoming Live Events
    October 18, 2017, Colorado Convention Center - Denver, CO
    November 1, 2017, The Montcalm Marble Arch
    November 1, 2017, The Montcalm Marble Arch
    November 30, 2017, The Westin Times Square
    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
    Netflix's Lesson in Culture Expectation Settings
    Sarah Thomas, Director, Women in Comms, 6/21/2017
    Kalanick Steps Down as Uber CEO
    Sarah Thomas, Director, Women in Comms, 6/21/2017
    BT Tech Chief Makes Plea to 5G Chip Vendors
    Ray Le Maistre, International Group Editor, 6/20/2017
    No Imagination: UK Chip Biz Goes Up for Sale
    Iain Morris, News Editor, 6/22/2017
    Like Us on Facebook
    Twitter Feed
    BETWEEN THE CEOs - Executive Interviews
    Following a recent board meeting, the New IP Agency (NIA) has a new strategy to help accelerate the adoption of NFV capabilities, explains the Agency's Founder and Secretary, Steve Saunders.
    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 ...
    Animals with Phones
    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.