Light Reading
A hearing on cable's co-marketing deals and AWS spectrum sales to Verizon Wireless is said to be on its way

Cable-VZ Wireless Deals to Face Senate Grilling

Jeff Baumgartner
LR Cable News Analysis
Jeff Baumgartner
2/1/2012
50%
50%

A bit more heat will soon be applied to a string of recent bundling and spectrum deals between Verizon Wireless and some of the nation's biggest cable operators.

Senator Herb Kohl (D-Wis.), who also serves as chairman of the Antitrust, Competition Policy and Consumer Rights subcommittee, announced Wednesday that plans for a hearing about the agreements between Verizon Wireless and Comcast Corp. (Nasdaq: CMCSA, CMCSK), Bright House Networks and Time Warner Cable Inc. (NYSE: TWC), are "well underway." Cox Communications Inc. has more recently joined in on a multifaceted deal that calls for the cable operators and the mobile carrier to bundle and promote their respective services and, separately, to sell their Advanced Wireless Services (AWS) spectrum licenses to Verizon Wireless for a combined $4 billion.

Comcast and Verizon Wireless have the co-marketing piece of it up and running in three markets. Further down the road, the MSOs have an option to resell Verizon Wireless services under their own brands. (See Comcast, VZ Wireless Bundle Up in the Bay .)

Kohl did not set a specific date for the hearing, but it will likely take place sometime after Feb. 23, which ends the Presidents' Day recess, reports The Washington Post.

Why this matters
The specter of a Senate hearing isn't a huge surprise, but the line of folks wanting to examine the competitive impact of the deals continues to lengthen. The Federal Communications Commission (FCC) 's comment cycle is underway, with petitions to deny due Feb. 21, and oppositions due March 2. The Antitrust Division of the U.S. Department of Justice is also probing the deal.

The MSOs involved in the deal have already agreed to provide the FCC with confidential details about the service-bundling component in order to keep the Commission's review on task. They insist, however, that the information they share in that part of the deal should have no bearing on the agency's review of the AWS spectrum sale.

For more
Read up on the deal.



— Jeff Baumgartner, Site Editor, Light Reading Cable

(7)  | 
Comment  | 
Print  | 
Newest First  |  Oldest First  |  Threaded View
kaps
50%
50%
kaps,
User Rank: Light Beer
12/5/2012 | 5:43:46 PM
re: Cable-VZ Wireless Deals to Face Senate Grilling


Grilling? This hearing will probably be more like a light saute where everyone gets to say what a wonderful thing it is that "market forces" are at work making commercial agreements without any necessary government intervention.


Now if someone wants to ask questions about collusion and agreements not to compete so that the pie can be split up without those nasty price wars, well then the temperature might rise. But what lawmaker has the guts to do that when the loss of campaign contributions would be the reward?


Any heroes for the consumer in an election year? Bueller?

kaps
50%
50%
kaps,
User Rank: Light Beer
12/5/2012 | 5:43:46 PM
re: Cable-VZ Wireless Deals to Face Senate Grilling


Grilling? This hearing will probably be more like a light saute where everyone gets to say what a wonderful thing it is that "market forces" are at work making commercial agreements without any necessary government intervention.


Now if someone wants to ask questions about collusion and agreements not to compete so that the pie can be split up without those nasty price wars, well then the temperature might rise. But what lawmaker has the guts to do that when the loss of campaign contributions would be the reward?


Any heroes for the consumer in an election year? Bueller?

Jeff Baumgartner
50%
50%
Jeff Baumgartner,
User Rank: Light Beer
12/5/2012 | 5:43:45 PM
re: Cable-VZ Wireless Deals to Face Senate Grilling


Heh, good one.  Will be interested to see what panel they put together. The Comcast-NBCU hearings were entertaining, anyway. But, you're right, the tone of the statement would not have me quaking in my boots yet...but I still think some rather pointed questions will be posed here.. JB


 


Statement of U.S. Senator Herb Kohl on Verizon and Cable Company Deals

February 1, 2012

 

Plans are well underway for a hearing to examine the impact of Verizon’s spectrum purchase from a number of cable companies and a separate marketing agreement to cross-sell each other’s products.   The subcommittee carefully examines questions about competition in the wireless and video markets, with the ultimate goal of protecting consumers and reducing their cable and cell phone bills, and these deals are no exception.


 

AESerm
50%
50%
AESerm,
User Rank: Light Beer
12/5/2012 | 5:43:44 PM
re: Cable-VZ Wireless Deals to Face Senate Grilling


I kinda think those market forces deserve a salute. FiOS and Xfinity (and the other cable video services) continue to compete where they are in the same market. Where they're not, VZ Wireless and Xfinity et al. can pair up. I'm not smelling too much opportunity for collusion here, though my olfactory nerves may be less sensitive than others. 

Jeff Baumgartner
50%
50%
Jeff Baumgartner,
User Rank: Light Beer
12/5/2012 | 5:43:44 PM
re: Cable-VZ Wireless Deals to Face Senate Grilling


I'm just waiting for these guys to put their marketing where their mouths are  and  launch a cable-Verizon Wireless blitz in a FiOS territory and really put this purported separation to a true test.  Bay Area is AT&T'ville, and I don't recall there being much of a FiOS presence in Seattle and Portland.  It'll happen, but i'm not too surprised that they started off in FiOS-free markets. JB

steve q
50%
50%
steve q,
User Rank: Moderator
12/5/2012 | 5:43:40 PM
re: Cable-VZ Wireless Deals to Face Senate Grilling


If this does go in to the state's that verizon have there fios. I only see the end to verizon. Comcast will make changing to the way verizon will provide there service to those people that like to keep the fios service. Everything is going the way of the internet and the wireless is still slow and need more work. It is good for the cellphone market but not for the home user where they like to have speed and the fios is still the best out there.

jayja
50%
50%
jayja,
User Rank: Light Beer
12/5/2012 | 5:43:38 PM
re: Cable-VZ Wireless Deals to Face Senate Grilling


I think I saw a separate article about VZW-CMCST co-marketing in the Bay Area that said they would not offer their co-marketing deals in areas where VZ provides wireline service.

steve q
50%
50%
steve q,
User Rank: Moderator
12/5/2012 | 5:43:36 PM
re: Cable-VZ Wireless Deals to Face Senate Grilling


True but what will happen if the cust is trying to get verizon fios service and can not will cable try to move in  under the verizon wireless brand.If verizon wireless start to push out the new wireless ont will that stay only with the wireless or be part of the cable-vzwireless deal.

Educational Resources
sponsor supplied content
Educational Resources Archive
Flash Poll
Wagner’s Ring
Data Centers Drive Telcos Into the Future

8|28|14   |   2:20   |   (2) comments


Data centers are at the heart of key trends driving telecom -- network virtualization, the drive for increased agility, and the need to compete with OTT providers.
LRTV Custom TV
Why SPs Should Consider Cisco's EPN

8|27|14   |   5:40   |   (0) comments


Sultan Dawood from Cisco discusses Cisco's EPN, which enables SPs to build agile and programmable networks delivering new network virtualized services using Cisco's Evolved Services Platform (ESP).
LRTV Huawei Video Resource Center
Huawei’s Showcase @ Big Telecom Event 2014

8|26|14   |   2.56   |   (0) comments


SoftCOM is Huawei's framework for telecom business and network transformation. Haofei Liu, Solution Marketing Manager, Carrier Business Group, Huawei, showcases Huawei's SoftCOM architecture in this video.
LRTV Huawei Video Resource Center
Huawei @ BTE 2014: Director of Integrated Solutions on SoftCOM & NFV Monetization

8|26|14   |   4.43   |   (0) comments


Libin Dai, Director of Integrated Solutions, Carrier Business Group, discusses Huawei's SoftCOM and NFV monetization. Huawei believes that NFV monetization should be service-driven rather than network-driven, and that operators should have network transformation, service transformation and a compatible and collaborative ecosystem in place in order to deploy NFV.
LRTV Huawei Video Resource Center
Huawei @ BTE 2014: Director of US NFV Lab on CloudEdge & the Future of NFV

8|26|14   |   4.06   |   (0) comments


Sean Chen, Director of US NFV Lab at Huawei, discusses Huawei's new approach to NFV in open collaboration. Huawei believes that through Proof of Concept tests, it could help operators learn and communicate with the industry more effectively. Sean believes that successful implementation of NFV should have its values reaching to end users and discusses how Huawei's ...
LRTV Huawei Video Resource Center
Huawei's Highlights @ Big Telecom Event 2014

8|26|14   |   3.34   |   (0) comments


At the Big Telecom Event in Chicago Huawei showcases its high-level strategy, the SoftCOM architecture, which helps operators reduce the cost of ownership of their network infrastructure and generate additional revenue in the ICT service environment. Huawei showcases over 30 pilot programs from across the globe, focusing on the industry-leading commercial ...
LRTV Custom TV
VeEX – Live from the Show

8|21|14   |   5:58   |   (0) comments


An overview of VeEX Test and Measurement solutions including TX300S multi-service test set with VeExpress cloud-based management system, UX400 universal modular platform supporting 100G testing, and the redesigned RXT modular platform.
LRTV Custom TV
Transitioning CE 2.0 Networks Into the SDN & NFV Era With Telco Systems

8|19|14   |   5:19   |   (0) comments


Telco Systems' Ariel Efrati (CEO) and Moshe Shimon (VP of Product Management) discuss virtualization and how the company's new Open Metro Edge solution utilizes the SDN and NFV concepts to accelerate and orchestrate service delivery through its innovative product portfolio and software applications.
LRTV Custom TV
NFV Myths: Is NFV Still Several Years Away?

8|11|14   |   1:13   |   (0) comments


Some say that NFV (network functions virtualization) is still several years away from being implemented on mobile operator networks. This isn't the case. Operators can get started on their paths to NFV now, as this short video from Skyfire shows.
LRTV Custom TV
A New Security Paradigm in SDN/NFV

7|28|14   |   02:54   |   (0) comments


Paul Shaneck, Global Director Network Solutions for Symantec, discusses the evolving virtualized network, explaining how Symantec is leading the security discussion as it relates to SDN and NFV, and helping to ensure the network is protected and compliant.
LRTV Documentaries
Sprint's Network Evolution

7|24|14   |   14:59   |   (0) comments


Sprint's Jay Bluhm gives a keynote speech at the Big Telecom Event (BTE) about Sprint's network and services evolution strategy, including Spark.
LRTV Documentaries
BTE Keynote: The Software-Defined Operator

7|24|14   |   18:43   |   (1) comment


Deutsche Telekom's Axel Clauberg explains the concept of the software-defined operator to the Big Telecom Event (BTE) crowd.
Upcoming Live Events!!
September 16, 2014, Santa Clara, CA
September 16, 2014, Santa Clara, CA
September 23, 2014, Denver, CO
October 29, 2014, New York City
November 6, 2014, Santa Clara
November 11, 2014, Atlanta, GA
December 9-10, 2014, Reykjavik, Iceland
June 9-10, 2015, Chicago, IL
Infographics
A survey conducted by Vasona Networks suggests that 72% of mobile users expect good performance all the time, and they'll blame the network operator when it's not up to par.
Hot Topics
Rogers, Shaw Take Aim at Netflix
Mari Silbey, Independent Technology Editor, 8/26/2014
Utilities to Pump $11.2B Into Smart Grid – Study
Jason Meyers, Senior Editor, Utility Communications/IoT, 8/26/2014
Verizon Launches QR Code Security Solution
Carol Wilson, Editor-at-large, 8/26/2014
Fiber Revival at Deutsche Telekom
Iain Morris, 8/25/2014
M2M's In Fashion: Wearables Play the US Open
Sarah Reedy, Senior Editor, 8/25/2014
Like Us on Facebook
Twitter Feed