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With the commercial services engine clearly slowing down, where will cable operators turn for new growth as new technologies like SD-WAN and 5G emerge?
For almost the past two decades, US cable operators have been counting on enterprise-focused services to supply a steady stream of new business customers, higher revenues and big profits as they have built a nearly $20 billion business.
But now both business customer and revenue growth are clearly slowing down. In fact, according to the latest figures compiled by CMG Partners for Light Reading, both annual customer and revenue growth have dipped into the single-digit percentages for the industry for the first time since research analysts started tracking this sector 15 years ago.
To be sure, the "commercial" sector is still growing at a healthy clip for US cablecos, with CMG projecting that the number of commercial customers will end up climbing about 7% to a total of 5 million this year, while 2019 revenues from business customers will rise 8% year-on-year to nearly $20 billion. Those gains are certainly nothing to sneeze at in an industry where 2% to 3% growth is often hailed as a big success.
But the cable industry's halcyon days of double-digit percentage growth in both commercial customers and revenues are definitely past. So, with cable operators facing continuing customer and revenue declines on the video side and increasingly reliant on broadband and commercial growth to offset those declines, the hunt is on new ways to foster further business services growth in the new decade.
That's where Light Reading's recently rebranded Cable Next-Gen Business Strategies conference comes in. Slated to take place in New York City on Tuesday, December 3, Cable Next-Gen Business Strategies is the premier independent conference focusing on how cable operators can spur fresh commercial growth with new technologies, services, products and tools. Now entering its 13th year, the conference will delve into the latest technological, operational and strategic moves by operators to carve out a bigger slice of the estimated $150 billion US commercial market.
Specifically, the one-day event will look at the hottest vertical markets for cable today; explore next-gen business services such as hospitality video, SD-WAN, industrial IoT, security and more; examine the potential of 5G wireless technology and CBRS spectrum; and discuss the impact of mounting fiber network builds on the commercial market. Keynoters and panelists will also address the pros and cons of competing in the enterprise market, among other things.
Now entering its 13th year, Cable Next-Gen Business Strategies is the premier independent conference focusing on how cable operators can spur fresh commercial growth through strategic business initiatives. Join us on December 3 in New York; all cable operators and other communications service providers get in free!
The speaking lineup will include:
Christian Nascimento, VP of Product Management at Comcast Business:
Satya Parimi, Group VP of Enterprise Data at Spectrum Enterprise;
Nader Famili, SVP of Technology and Planning at Connectivity Wireless Solutions;
Chris Boone, VP of Business Services at Cable One;
Glenn Calafati, VP of Commercial Products at RCN - Wave Broadband & Grande Business;
Jody Hagemann, Director of Product Management at Comcast Business;
Brian Rose, Senior Director, Product Development at Cox Business;
Kristi Salmon, Senior Director of Marketing, Business Services at Mediacom;
Chris Bastian, CTO at SCTE/ISBE;
Alex Moulle-Berteaux, COO at Starry Inc.;
Shrihari Pandit, President and CEO of Stealth Communications;
Stan Hubbard, Director of Communications & Research, MEF16 Program Director at MEF; and Todd Gore from the CBRS Alliance.
So please join us at the Westin Times Square Hotel on Tuesday, December 3 to learn what's next for the cable business services sector. Click here to register for the latest edition of Cable Next-Gen Business Strategies.
Hope to see you all in the Big Apple next week.
— Alan Breznick, Cable/Video Practice Leader, Light Reading
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