Cablevision Turns Up SMB Heat
Cablevision, which already targets large enterprise customers via its Optimum Lightpath unit, is now looking to juice up its SMB play, Optimum Business, with 30-day trial offers. (See Cablevision Launches SMB Tilt.)
Boiled down, SMBs that switch to Optimum Business's Internet and voice service, which rely on Docsis and PacketCable, will get a refund if they're not satisfied with both services during that initial period. Under the promotion, Cablevision is selling SMB voice and data packages for US$29.95 per month each to new customers during their first year with the MSO.
The move comes as cable continues to use business services as a growth engine and attempts to cut into turf typically dominated by the telcos.
The strategy has been paying off. Among major MSOs, Cox Communications Inc. , Time Warner Cable Inc. (NYSE: TWC) and Comcast Corp. (Nasdaq: CMCSA, CMCSK) each breached the $1 billion mark in total annual business services revenues for the first time in 2010. (See Cox Business to Break $1B Barrier , The Next Billion and Cable's $5B Biz Services Bonanza .)
At last check, Heavy Reading was predicting that the US cable industry was poised to generate more than $5 billion in commercial revenues in 2010. (See Cable's $5B Biz Services Bonanza .)
— Jeff Baumgartner, Site Editor, Light Reading Cable