& cplSiteName &

Comcast, Level 3 Flex Ethernet Muscles

Alan Breznick
8/22/2014
50%
50%

Competing intensely in a still-expanding market, Comcast and Level 3 Communications are scoring the biggest gains among US Ethernet service providers this year.

Both Comcast Corp. (Nasdaq: CMCSA, CMCSK) and Level 3 Communications Inc. (NYSE: LVLT) picked up retail-port market share in the mid-year rankings of Ethernet service providers conducted by Vertical Systems Group . Comcast climbed two slots on the firm's US Carrier Ethernet Leaderboard to sixth place in the overall rankings since the end of last year, while Level 3 climbed one slot to eighth place.

Plus, both service providers stand to gain a lot more market share if their respective takeover deals go through as planned. Comcast's pending acquisition of Time Warner Cable Inc. (NYSE: TWC) would easily catapult the combined company into the one of the top five slots, given that TW Cable currently occupies fifth place in the rankings. At the same time, Level 3's pending purchase of tw telecom inc. (Nasdaq: TWTC) would easily transform that combined company into one of the nation's top three Ethernet providers, given that tw telecom already holds third place.

In turn, that could mean that one or both companies could challenge AT&T Inc. (NYSE: T) and Verizon Communications Inc. (NYSE: VZ) as the top two US Ethernet providers. Although Vertical Systems Group doesn't release actual market-share figures, the two big telcos have dominated the US Ethernet market for years.


Get the latest updates on the Ethernet services market by visiting Light Reading's Ethernet services content channel.


Comcast, which cracked the Leaderboard rankings of top nine Ethernet providers for the first time in 2013, leapfrogged Cox Communications Inc. and XO Communications Inc. to take over sixth place and slip in right behind Time Warner Cable, the leading MSO in the rankings. Over the last couple of years, Comcast's commercial services unit has been putting great emphasis on its Metro Ethernet services for small-to-midsized businesses (SMBs).

In its latest press release Thursday, for instance, Comcast announced that it has extended its all-fiber network to 10 New York towns and villages in the counties above New York City, enabling it to offer "multi-Gigabit Ethernet services" to "businesses, schools, hospitals and other organizations requiring more bandwidth, looking to network multiple locations together, or planning to connect their offices to a third-party data center." The MSO offers up to 10 Gbit/s of bandwidth over its network and three different classes of service.

Thanks in part to its push, Comcast racked up a record total of $965 million in commercial services revenue for the second quarter, putting it on track to approach the $4 billion mark for the year. In a blog post Thursday, Mike Tighe, executive director of data services for Comcast Business, wrote that Ethernet is "a key engine in that growth." Tighe noted that the MSO's "growth and success with Ethernet is largely driven by the fact that too many businesses have had to rely on T1s or DSL because they had no other option" until now. (See Comcast Seeks More X1 Magic.)

For its part, Level 3 also overhauled XO to take over eighth place in the rankings. As a result, XO, which had finished last year in seventh place, fell back two slots to ninth place on the Leaderboard.

— Alan Breznick, Cable/Video Practice Leader, Light Reading

(1)  | 
Comment  | 
Print  | 
Newest First  |  Oldest First  |  Threaded View        ADD A COMMENT
Atlantis-dude
50%
50%
Atlantis-dude,
User Rank: Light Sabre
8/25/2014 | 5:34:07 PM
Leased lines
How much of this market expansion is for the hybrid cloud model ?
From The Founder
Download our complete guide to de-risking NFV deployment in 2016, including:
  • An eight-step strategy to deploying NFV safely, based on input from the companies that have already started virtualizing their production networks.
  • Interviews with leading executives at Colt, AT&T, Deutsche Telekom, Cisco, Nokia, ZTE, Ericsson and Heavy Reading.
  • Flash Poll
    Live Streaming Video
    Prepping for the Future: Upskill U Explained
    During this short kick-off video, Doug Webster, Vice President of Service Provider Marketing, Cisco, and Light Reading’s CEO & Founder Steve Saunders give an overview of Upskill U.
    LRTV Huawei Video Resource Center
    Digital Operation Transformation Roundtable Wrap-Up

    5|6|16   |     |   (0) comments


    Industry leaders at the Digital Operation Transformation Summit give their final thoughts at the roundtable.
    LRTV Huawei Video Resource Center
    Peter Sany on Digital Transformation

    5|6|16   |     |   (0) comments


    Peter Sany gives his view on digital transformation at the DOT Summit in Barcelona.
    LRTV Huawei Video Resource Center
    James McQuivey on Digital Transformation

    5|6|16   |     |   (0) comments


    James McQuivey gives his view on digital transformation at the DOT Summit in Barcelona.
    LRTV Interviews
    Courting the Apartment Crowd

    5|6|16   |     |   (0) comments


    In this LRTV interview, AT&T's Adrian Cardwell details the changing dynamics of the MDU markets and explains how AT&T is pursuing apartment dwellers with GigaPower.
    LRTV Interviews
    Demand Surges for On-Demand Ads

    5|5|16   |     |   (0) comments


    Ed Knudson, VP, Product and Strategy at Canoe Ventures, discusses the rising appeal of VoD ads and the challenges on inserting ads dynamically in live TV programming.
    LRTV Custom TV
    Exclusive: Video Interview With Sckipio CEO David Baum

    5|5|16   |     |   (0) comments


    At his headquarters in Tel Aviv, G.fast visionary David Baum, CEO of Sckipio, provided an exclusive interview to Light Reading and showed how innovations in rate and reach, vector densities, fast reconnecting times and SFP-based residential gateways are expanding the potential of G.fast.
    Telecom Innovators Video Showcase
    Atrinet's NetACE – Migration to NFV & SDN With NetOps-Driven LSO

    5|4|16   |     |   (0) comments


    At Atrinet's headquarters, Ray Le Maistre sits down with Roy Silon to get an in-depth look into the company's focus and the secret recipe for their success.
    LRTV Huawei Video Resource Center
    Amsterdam ArenA, Powered by Huawei

    5|4|16   |     |   (0) comments


    Huawei's ICT solutions power the state-of-the-art Amsterdam ArenA, turning it into a smart stadium.
    LRTV Interviews
    Testing When There's No 'There' There

    5|4|16   |     |   (1) comment


    The benefits of SDN/NFV are well known, but the transition comes with some challenges, prominent among them is: how do you test a network that has been abstracted and has the potential to be endlessly reconfigurable? Light Reading was at NFV World Congress in Santa Clara, Calif., where we bumped into Mats Nordlund, CEO and co-founder of Netrounds, a Swedish ...
    LRTV Interviews
    Ditching the Slash & the Orchestration Wars

    5|3|16   |     |   (2) comments


    SDN and NFV have been inextricably bound with each other for so long that on a conceptual level, smooshing them together into one catch-all phrase – SDNFV – is now justifiable, according to Dan Pitt, executive director of the Open Networking Foundation (ONF). Light Reading spoke to Pitt at the NFV World Congress, where he explained that the next ...
    LRTV Custom TV
    ZTE TV Connect Highlights

    5|3|16   |     |   (0) comments


    ZTE gives us a tour of its booth and new products at TV Connect in London.
    LRTV Custom TV
    Deluxe's Unified Delivery Solution

    5|3|16   |     |   (0) comments


    Join Alan Breznick of Light Reading and visit the Deluxe booth at NAB! Here you'll find Deluxe's Unified Delivery Solution, OTT video, virtual reality, HDR, 4K and much more!
    Upcoming Live Events
    May 23, 2016, Austin, TX
    May 23, 2016, Austin Convention Center
    May 24-25, 2016, Austin Convention Center, Austin, TX
    September 13-14, 2016, The Curtis Hotel, Denver, CO
    December 6-8, 2016,
    June 16-18, 2017, Austin Convention Center, Austin, TX
    All Upcoming Live Events
    Infographics
    A new survey conducted by Heavy Reading and TM Forum shows that CSPs around the world see the move to digital operations as a necessary part of their overall virtualization strategies.
    Hot Topics
    Sprint CEO: Our Spectrum Is for 5G
    Dan Jones, Mobile Editor, 5/3/2016
    Amazon & Other 'Big 4' Cloud Providers Crushing Competitors
    Mitch Wagner, West Coast Bureau Chief, Light Reading, 4/29/2016
    Showdown at the OpenStack Corral
    Carol Wilson, Editor-at-large, 5/3/2016
    Upskill U Kicks Off IoT Lectures With Ericsson
    Kelsey Kusterer Ziser, Editor, 5/4/2016
    WiCipedia: 'Meternity,' Lemonade & Chores
    Eryn Leavens, Special Features & Copy Editor, 5/6/2016
    Like Us on Facebook
    Twitter Feed
    BETWEEN THE CEOs - Executive Interviews
    In this latest installment of the CEO Chat series, Craig Labovitz, co-founder and CEO of Deepfield, sits down with Light Reading's Steve Saunders in Light Reading's New York City office to discuss how Deepfield fits in with the big data trend and more.
    Grant van Rooyen, president and CEO of Cologix, sits down with Steve Saunders, founder and CEO of Light Reading, in the vendor's New Jersey facility to offer an inside look at the company's success story and discuss the importance of security in the telecom industry.
    Animals with Phones
    Sloth Mail Click Here
    Sloth mail -- somehow even slower than snail mail.
    Live Digital Audio

    Of all the tech companies in the Valley, Intel has made the most aggressive commitment to building a diverse and inclusive workplace culture. It's doing so by taking concrete, measurable steps, making a large financial investment and through a commitment to complete transparency about its progress. In this radio show, WiC Director Sarah Thomas will be joined by Shlomit Weiss, Intel's Vice President, Data Center Group, and General Manager of Networking Engineering, who will share with us why Intel is tackling this huge challenge, how and to what effect. She will also discuss her unique experiences leading development of Client SOC development in the past and today leading development of all of the chipmaker's silicon hardware for networking IPs and discrete devices and managing a team of 600 engineers across Israel, Europe and the US.