Cablevision

Link

by Steven Spohr

Summary

Cablevision_Logo

Source – Cablevision.com

Founded in 1973, Cablevision Systems Corporation is a leading telecommunications company that primarily offers television, phone, and Internet services to millions in the NY metropolitan area. Initially serving a mere 1,500 customers on Long Island, Cablevision has since expanded to offer WiFi, a leading local newspaper, and business communications solutions to its over 3 million subscribers. Former properties include Madison Square Garden and Rainbow Media Holdings[1]

optimum_yellowdot_2__120906171458

Source – Optimum.com

Cablevision’s television, phone, Internet, WiFi, and business solutions all operate under the Optimum’ brand name. These include (but are not limited to) –

  • Optimum TV – exclusive home of News 12 Networks, a series of local news channels
  • Optimum Voice
  • Optimum Online
  • Optimum WiFi
  • Optimum Lightpath – a “leading provider of integrated business communications solutions that meets the needs of larger companies” [1]
225px-Newsday

Source – www.newsday.com/

Cablevision also owns Newsday Media Group, which runs two local papers. Newsday is a Pulitzer Prize-winning daily newspaper that has been in circulation since 1940. Over 70% of Long Island adults read Newsday, and its articles and reporting have won numerous awards and made it the top paper on Long Island. To provide the most local news possible, Newsday works closely with MSG Varsity (part of the News 12 Networks) to provide detailed coverage of local high school and college sports. amNewYork offers a quick read of city news and events. In addition to the papers, NMG owns Star Community Publishing, which producers weekly shopper publications in Long Island and Queens. It is the largest publisher of its kind in the Northeastern United States. [2]

Leadership

The Dolan family founded Cablevision and continues to lead the company today. Key personnel include [3]

charlesdolan

Charles Dolan – Founder and Chairman / Source – Sean Smith, The Boston College Chronicle

jamesdolan

James Dolan – Chief Executive Officer / Source – Al Iannazzone, Newsday.com

kristin-dolan

Kristin Dolan – Chief Operating Officer / Source – Variety.com

brian_g_sweeney

Brian Sweeney – President / Source – POST Online Media

Gregg-Seibert-

Gregg Seibert – Vice Chairman and Chief Financial Officer / Source – Business Wire

 

hratner-282x307

Hank Ratner – Vice Chairman / Source – The Madison Square Garden Company

 

Financials

CVC Stock 2014

A detailed map of Cablevision’s stock pricing in 2014. / Source – Yahoo! Finance

2014 has seen Cablevision’s stock (CVC) prices gradually increase throughout the year. Starting the year at $17.22/share, CVC stock stands at $20.32/share as of November 29th. February 3rd saw the year’s low of $15.85. Prices peaked in late July, mid-September, and late November. [4]

The following financial information is from Cablevision’s Third Quarter 2014 Results.

  • Net revenue increased 3.7% to $1.62 billion.
  • Cable advertising revenue grew 6.8%
  • Average Monthly Cable Revenue per Customer increased 5.7% to $154.50/customer/month. [5]

These figures represent a continued loss of subscribers for Cablevision across the board. Between satellite TV providers, rival phone companies, and the public’s shift to watching TV online, Cablevision’s audience is becoming fragmented. The company chose to increase its subscription rates in response to decreasing numbers, which is represented by the net revenue and AMCR/C increases. [6]

Recent News

The latter half of 2014 has been a busy one, with notable hirings, financial news, legal troubles, and more.

August 4th

August 4th saw Cablevision’s announcement that it has hired David Dibble as Chief Technology Officer, a newly-created role. Dibble is formerly of Yahoo!, and his hiring is part of Cablevision’s efforts to “become the premier connectivity provider in the market, delivering a peerless customer experience”. [7]

November 7th

A New York Times article revealed a major legal proceeding against Cablevision. The National Labor Relations Board has charged Cablevision CEO James Dolan with “illegally threatening to deny company technicians in Brooklyn a pay increase unless they voted to quit their union”. The NLRB also charged Cablevision itself with “illegally [undermining] the union’s representation of those workers by sponsoring a nonbinding poll to determine whether they wanted to leave their union”, while some workers reported they were being ‘spied on’ during the vote. Federal law states that such a vote can only be conducted by the labor board, not the company. CEO Dolan fired back, calling the NLRB “a tool of Big Labor” and questioning the validity of its findings. The case is ongoing, and Cablevision has stated it will appeal to federal courts, if necessary. [8]

dolanmand

CEO Dolan has plenty of reasons to be frustrated, especially with his ongoing legal troubles with the National Labor Relations Board. / Source – ESPN.com

November 11th

Cablevision teamed up with Time Warner Cable to release the first ever “New York Television Audience Insights Report”. The report sampled the 3.5 million subcribers of Cablevision and TWC in the New York area, which is half of the TV homes in the region. Its aim was to help advertising and marketing departments and companies get better value out of their advertising purchases. Some key findings include –

  • 74% of all TV programming watched was outside of traditional TV ‘prime time’ (8-11PM).
  • On average, a subscriber will only watch 25 channels in a month.
  • a whopping 90% of all viewing comes from a mere 100 channels. [9]

These new insights will help create better statistics for TV viewership and aid advertisers in spending money more efficiently.

November 18th

New York City Mayor Bill de Blasio announced that the city is planning an extensive new WiFi network across the five boroughs. The project, dubbed LinkNYC, would provide not only free WiFi, but also no-cost domestic calling and video chat. The 10,000 hotspot system would replace the city’s decaying network of archaic payphones and operate completely with money generated through advertising. Projected to cost around $200 million, LinkNYC would bring in over $500 million over the next twelve years, according to city officials.

This announcement led some to think Cablevision’s Optimum WiFi network would be threatened by this new, massive competition. Cablevision officials have not only dismissed these musings, but have actively worked with New York City on a number of initiatives, possibly including LinkNYC itself. [10]

Mayor-Elect De Blasio Makes Announcement

Mayor de Blasio’s ambitious project looks to dramatically improve WiFi services within the five boroughs. / Source – PIX 11

November 22nd

The Lewisboro Ledger revealed that Cablevision has a new deal with the town of Lewisboro (Westchester County). The deal, which primarily concerns franchising fees, has a number of key improvements –

  • Over $270,000 in new franchising fees are expected in 2015.
  • Free cable would be provided to 16 municipal and school buildings, including the public library.
  • New offers would include a senior discount for those aged sixty-five and older.
  • Town Board meetings would become available for live-streaming.
  • The town’s parks and baseball fields will become WiFi-equipped. [11]

November 25th

Kids video-on-demand network Kabillion announced a carriage deal with Cablevision. Kabillion, which is the only independently-owned VOD network ranked in the Top 10 Kids Free On Demand list, will now reach over 50 million homes nationwide. The deal is beneficiary to Cablevision too, as Kabillion reports views exceeding 65 million in 2014. [12]


Bibliography

  1. http://www.cablevision.com/about/index.jsp

  2. http://www.cablevision.com/local/newsday.jsp

  3. http://www.cablevision.com/about/leadership.jsp

  4. http://finance.yahoo.com/echarts?s=CVC+Interactive#%7B%22range%22%3A%221y%22%2C%22scale%22%3A%22linear%22%7D

  5. http://www.cablevision.com/pdf/news/110614.pdf

  6. http://online.wsj.com/articles/cablevision-subscriber-losses-offset-by-price-increases-ad-sales-1415284257

  7. http://www.cablevision.com/pdf/news/080414.pdf

  8. http://www.nytimes.com/2014/11/08/nyregion/labor-board-says-cablevision-chief-tied-raises-to-vote-against-a-union.html?_r=0

  9. http://www.fiercecable.com/story/twc-and-cablevision-team-quarterly-nyc-dma-reports/2014-11-11

  10. http://www.fiercecable.com/story/competition-cablevision-nyc-launches-ambitious-public-wi-fi-project/2014-11-18

  11. http://www.lewisboroledger.com/15707/cablevision-renewal-to-benefit-town/

  12. http://www.cedmagazine.com/news/2014/11/kids%E2%80%99-vod-network-kabillion-lands-deal-with-cablevision

Spotify

By Hannah D Friedland
[1]

[1] Spotify’s Logo

THE SPOTIFY STORY:

[6] The most updated visuals of the Spotify application on thee platforms

[2] The most updated visuals of the Spotify application on thee platforms. Users have an on-demand stream of music on their computer, mobile device, tablet, and home entertainment system.

Spotify is a music streaming service that puts users in control of 20 million licensed songs [3]. Spotify was launched in Sweden in 2008 and came to America in 2011.

Spotify is financially a private company that offers over 20,000 new songs each day from major and independent labels including EMI, Warner Music Group, Universal, & The Orchard [3]. Artists earn royalty when their music is played, and there are over 24 million active users currently in 55 markets [3].

There are two revenue streams, free, which is “powered by advertisers” and premium for $9.99 monthly with extra features including no ads, offline, and high-quality audio [3].

TEAM SPOTIFY:

[2] Spotify Founders- Daniel Ek & Martin Lorentzon

[4] Spotify Founders- Daniel Ek & Martin Lorentzon

Chief Sales, Marketing, and International Growth Officer- Jeff Levick

[5] Chief Sales, Marketing, and International Growth Officer- Jeff Levick

 

[5] Chief Content Officer & Managing Director USA- Ken Parks

[6] Chief Content Officer & Managing Director USA- Ken Parks

[7] Head of Content- Steve Savoca

[7] Head of Content- Steve Savoca

 

 

 

 

 

 

 

 

 

INSIDE SPOTIFY:

Social Media Merges with Music- Songs, playlists, and albums can be shared on the Spotify application through the "Send To" message option, or users can "post to feed"  to their Facebook timeline, Twitter, and Tumblr within the Spotify application. ARROW

Social Media Merges with Music- Using the “send to”, or “post to feed” options users can message music to friends and post music to their Facebook timeline, Twitter, and Tumblr within the Spotify application. Source:  Spotify

 

Spotify gives its users the option to connect with their social media Facebook, Twitter, and Tumblr accounts. Users can create collaborative playlists, share music, view friends music and more which provides for ample music discovery and publicity for the company on social media platforms. There is also a private session users can activate.

 

 

Two other elements that Spotify includes are apps and Discover. While these apps add dimension to the Spotify journey, Discover is essentially a constantly updated news feed.

Discover- Spotify's "news feed" feature on the desktop application, artists are recommended, concerts nearby are posted, friends listening habits are shown all based on listening habits the user has shown. Source: Spotify

Discover- Spotify’s “news feed” feature on the desktop application. Updates with releases, playlists, artists recommendations, concerts nearby are posted, friends listening habits are shown all based on listening habits the user has shown. Source:  Spotify

COMPETITORS:

Spotify is a strong contender, but it’s competing neck and neck with Rdio, Pandora, Rhapsody, Google Play Music, and Beats on price, catalogue, platforms, and features [8]. Beats Music entered the competitive on-demand music market in January [9], and is Spotify’s biggest challenger.

Beats vs. Spotify

[10] Beats Music vs. Spotify- The two streaming services are extremely similar with the same catalogue size, the discovery element, and price.

Beats entry in the market put Spotify in “go-mode”.

SPOTIFY’S SITUATION:

Competitor streaming services are continually emerging. With more choices presented to consumers, Spotify has responded by shifting their focus to partnerships, acquisitions, customer satisfaction, and updated product development. The formula is to attract users to Spotify, engage with users, and retain them.

Partnerships

Last.fm

Last.fm is a music recommendation service. In January, Spotify and Last.fm teamed up to bring a beneficial on-demand playbar to Last.fm’s website. This makes it possible for Last.fm users to internally play the entire Spotify catalogue on Last.fm’s website [11].

The collaboration works in both companies favor. Last.fm users have a fuller experience with the power, “to play whatever you want by whoever you want directly on Last.fm” [12]. In addition, Spotify’s catalogue incorporation provides a huge presence and Last.fm users conveniently have motivation to signup for Spotify to take advantage of the essential music player.

The Last.Fm playbar

The Last.Fm Spotify playbar at the bottom of Last.Fm’s website. Source:  Lastfm.com

SoundHound

Spotify also joined forces with SoundHound for the “Add to spotify” feature on its iOS application in February. SoundHound is a popular music-recognition app, similar to Shazam. Banded together, SoundHound is now more interactive. After linking accounts, with the tap of a button users can automatically generate Spotify playlists of recognized songs without leaving SoundHound’s app [13]. 

Source:  SoundHound & Spotify

Hitting the “Add to Spotify” button automatically turns songs discovered on SoundHound into a Spotify playlist. Source:  SoundHound & Spotify

The mutually-beneficial relationship brings life to identified songs through Spotify playlists on SoundHoud, and the incentive to use the button will drive users to subscribe to Spotify while giving them presence on a music app [14].

Coachella

On top of that, Spotify was presented with an amazing opportunity to have presence on site at Coachella as the Official Digital Music Partner of the Coachella Music and Arts Festival in California in April. The Spotify Social tent was an on-site air-conditioned tent that offered relaxation pods, chargers, a “Mosaic Photo Booth” that uses your Spotify account to generate a picture out of your most played album art, and art from artist Apex [15].

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[16] The Spotify Social tent, that capped at 150, gave people an air conditioning experience filled with music, more battery power, art,  and a Mosaic Photobooth that puts your face on album covers based on your Spotify listening habits.

#WeWereThere was Spotify’s digital interactive strategy at Coachella to “connect, collect, share.” Implanted in every RFID wristband was the power to capture the experience by checking in and collecting custom Spotify curated playlists. The “My Coachella Story” digital snapshot let individuals create memories of their festival concert experiences with playlists gathered [16]. This collaboration not only transformed Coachella goers into premium users, but also created a special experience and built relationships by reliving the festival on Spotify.

[15] “My Coachella Story”- an example of a digital snapshot that shoes distance traveled, the path taken, playlists, artists seen etc. To participate users needed to simply connect their wrist band with their Spotify accounts, look for check ins at the festival, use the wristband to collect playlists and then after generate their digital card and share it with family and friends.

Sprint

Lastly, Beats launched with an AT&T package family plan deal. Rumors are circulating about Spotify planning to bundle with the #3 U.S. mobile carrier, Sprint [17] in April. This partnership will give Sprint customers a free trial. Customers will be able to pay for Spotify directly through their Sprint Accounts, which will help Spotify secure a greater market share and Sprint secure more data plans. Sprint and Spotify will announce the details on April 29th at a New York Event [18].

Acquisitions

In efforts to boost the “discovery” element, Spotify acquired The Echo Nest in March [19]. The Echo Nest is a music intelligence company that examines listening behavior and makes musical recommendations. Spotify paid $100 Million, with 90% Spotify equity [20]. The Echo Nest previously powered Rdio and Rhapsody, both of which ended their deals, deeming its technology invaluable to their operations right after Spotify acquired [21]. This potentially puts Spotify in the position to take The Echo Nest away from competitors.

Combing the two companies gives The Echo Nest a bigger audience and catalog, while Spotify, now with music-discovery data, will improve recommendation’s.

Customer Satisfaction

With intentions to obtain more paying users Spotify has updated its business model. In January the company announced free music shuffling on iOS with a catch, non-premium users ads play in between every few tracks [22]. In February, Spotify added the “repeat one” feature [23]. Repeat one grants users the option to repeat a single track over and over [24]. These highly requested changes illustrate that Spotify cares about users.

Working with a college students budget, Spotify slashed the premium $9.99 monthly rate to $4.99 in March [25]. They partnered with SheerID to validate eligibility. This price change is valuable because college students represent an important key demographic in streaming use [26]. This differentiates Spotify from other streaming services like Rdio and Beats that charge $10 monthly.

Unique Product Development

Competition among streaming services leads Spotify to completely redesign its user interface layout on all platforms. Spotify rolled out a sleek modernized look on April 2nd. This major design update was the first since its launch in 2008, and to keep current it was a smart move [27].

Spotify’s New Look Video [28] 

The new dramatic, dark color scheme highlights important buttons, includes circular images for people, and features square album shapes [29]. The browse tab is revised and categorized between top lists, releases, news, and moods. “Your Music”, a collection of users saved albums, songs, and artists is a new addition [30]. The Your Music addition mimics iTunes library and it is comparable to Rdio’s “collection” feature. It helps users save, organize, and browse through their favorite music. The new layout feels unified and balanced, and should attract new users [31].

WHATS NEXT FOR SPOTIFY:

Spotify is headed in the right direction, but with downloads declining, new rival services like YouTube, Apple, and Amazon that have huge user bases are joining the streaming market [32].

Being active puts Spotify in the forefront, which looks great for Investors. It is rumored that an IPO is in Spotify’s near future. Though the company has declined all comments, a job advertisement for an “External Reporting Specialist” has been posted on their website and LinkedIn [33]. Their future looks competitive but successful.

Sources: 

1. Spotify’s Logo 2014, Spotifypress.com, RT: 4/04/2014

2. Spotify’s Application on Three Platforms, Spotifyblog.com, RT: 4/01/2014

3. Spotify Press Fast FactsPress.Spotify.com,  RT: 4/01/2014

4.The Founders of SpotifyPress.Spotify.com, RT: 4/01/2014

5.Spotify’s Chief Sales, Marketing, and International Growth OfficerPress.Spotify.com, RT: 4/01/2014

6. Chief Content Officer & Managing Director USA,Press.Spotify.com, RT: 4/01/2014

7. Head of ContentPress.Spotify.com, RT: 4/01/2014

8. “And The Winner Is… Best Music On-Demand Streaming Service”Cultofmac.com, 2/18/2014, RT: 4/07/2014

9. “Beats Music Is Here”, Beats Music Blog 1/16/2014, RT: 4/08/2014

10. “Beats Music vs. Spotify: Can Dr. Dre outmix the king of streaming”, Digital Trends, 1/27/2014, RT: 4/07/2014

11. “Last.fm Bands up with Spotify to offer on-demand tracks”, CNET, 1/29/2014, RT: 4/04/2014

12. “Did Someone Say On Demand?”Last.fm Blog, 1/29/2014, RT: 4/04/2014

13. “SoundHound Launched “Add to Spotify”, Business Wire, 2/21/2014, RT: 4/07/2014

14. “SoundHound Now Lets You Easily Add Your Discovered Music to Your Spotify Playlist”appdevice.com, 2/24/2014, RT: 4/07/2014

15. “Coachella here we come” Spotify News, 4/7/2014 RT: 4/14/2014

16. “Spotify’s Coachella #WeWereThere Campaign: High Tech and Sweet, Sweet Air Conditioning”Billboard, 4/11/2014, RT: 4/14/2014

17. “Sprint and Spotify Plan to Partner Up”, recode.net, 4/11/2014, RT: 4/14/2014

18. “Spotify, Sprint Plan Music Bundle To Be Unveiled This Month”, Billboard, 4/12/2014, RT: 4/14/2014

19.“Spotify Acquires the Echo Nest”, Billboard, 3/06/2014, RT: 4/02/2014

20. “Spotify Acquired Music Tech Company The Echo Nest in A $100M Deal” , TechCrunch, 3/07/2014, RT: 4/07/2014

21. “Rhapsody Kills its Echo Nest partnership following Spotify acquisition”, Venturebeat.com, 3/21/2014, RT: 4/09/2014

22. “Spotify’s free shuffle mode arrives on iPhone”, The Verge,1/08/2014, RT: 4/02/2014

23. “Repeat One”, Spotify News Blog, 2/07/2014, RT: 4/08/2014

24. “Spotify users can now repeat the same song over and over and over again”, Hypbot, 2/10/2014, : 4/02/2014

25. “Spotify Offers 50% Student Discount”, Hypbot, 3/25/2014, RT: 4/02/2014

26. “Spotify introduces 50% discount for college students”, Los Angles Times, 3/25/2014, RT: 4/07/2014

27. “The Good, The Bad, The Less Ugly: Taking Spotify’s New Redesign For a Test Drive”, Billboard, 4/03/2014, RT: 4/04/2014

28. Spotify Paints It Black with New Look, YouTube, 4/01/2014, RT: 4/06/2014

29. “Spotify’s biggest redesign ever brings long awaited Collection view”, The Verge, 4/02/2014, RT: 4/07/2014

30. “Spotify paints it black with new look”, Spotify News, 4/02/2014, RT: 4/08/2014

31. “Spotify beautifies”, CNET, 4/02/2014 RT: 4/08/2014

32. “Spotify faces challenge from Internet giants before IPO” New York Post, 3/30/2014, RT: 4/14/2014

33. “Spotify seeks to hire U.S. filings expert as bankers eye IPO” Reuters, 2/17/2014, RT: 4/14/2014

Time Warner Cable

By Tim Wright
-Image Courtesy "Lazy Tech Guys"

-Time Warner Cable Logo.  Image Courtesy “Lazy Tech Guys” [17]

Time Warner Cable, Inc.

1 Time Warner Center
New York, NY 10019-8016
212-484-8000

About the Company

Time Warner Cable, Inc. is a media company providing cable, phone, and Internet services to 29 states and over 15 million customers.  These services are provided in different packages with arrangements of the cable, phone, and Internet services in different price tiers.  Time Warner Cable, Inc. provides its services to both homes and institutions [1].

Cable
Time Warner Cable, Inc. distributes a number of television plans and packages, spanning from basic with 20 channels to digital with over 200 channels.  Certain packages offer Digital Video Recording services and pay subscription services such as HBO.  Pricing varies for the packages depending on the number of channels and services [2].

Internet
Time Warner Cable, Inc. offers Internet services that span from 2Mbps to 50Mbps, allowing a range of basic Internet usage to plans that can accommodate large homes with multiple Internet-ready devices [3].

Phone
Time Warner Cable, Inc. offers a number of voice packages.  An unlimited domestic plan is offered for a monthly rate, as well as basic and premium international plans [4].

Key Executives [5]

Image courtesy

-Glenn A. Britt
Courtesy of Time Warner Cable [18].

Glenn A. Britt
Chairman & CEO

1374779036992

-Robert D. Marcus
Courtesty of Time Warner Cable [19].

Robert D. Marcus
President & COO

1370961847282

Arthur T. Minson, Jr.
Courtesy of Time Warner Cable [20].

Arthur T. Minson, Jr.
Executive VP & CFO

Competitors

Time Warner Cable, Inc.’s primary competitors in the cable industry are AT&T, Inc., Comcast Corporation, and Dish Network Corporation.  Competition became a serious issue for Time Warner Cable after it lost over 300,000 subscribers during the month long CBS blackout [6].

Ownership History

The 1968 founding of the American Television and Communications (ATC) set the foregrounds for Time Warner Cable, Inc.  In 1989, Time Inc. and Warner Cable merged to become Time Warner, Inc.  In 1992, a merger between ATC and Warner Cable was announced, creating Time Warner Cable.  In 2009, Time Warner Cable and Time Warner, Inc. separated.  NewWave Communications and Insight Communications were acquired by Time Warner Cable, Inc. in 2011 and 2012, respectively [7].

Financials

2013 has been a successful year for Time Warner Cable.  Stock prices fell in February and March, going as low as $84.75 but have remained steadily above $100.00 since the end of July.  A noticeable valley in stock prices occurred between August and September, when Time Warner Cable had its conflict with CBS, prompting a large loss in subscribers.  Stock prices saw an increase in early October and have remained consistent throughout November, showing a rebound from the discrepancy [8].

Quarterly data has ranged from $5.5 Billion to $5.6 Billion in 2013, and current stocks suggest this trend will continue in the fourth quarter.  This forecast means a total revenue of roughly $22 Billion in 2013, showing on par results with the 2012 revenue of $21.3 Billion and surpassing the 2011 revenue of $19.7 Billion, marking a successful year for Time Warner Cable [9].  However, due to the CBS conflict, Time Warner Cable is now expecting only a 3-3.5% increase in revenue for 2013 as opposed to the initially projected 4-5% [10].

In The News

  • The CBS and Time Warner Discrepancy

CBS ad concerning Time Warner blackout.  Image Courtesy CNN Money

CBS ad concerning Time Warner blackout. Image Courtesy CNN Money [21]

The retransmission agreement between CBS and Time Warner Cable, Inc. ended in June of 2013, and the failure to reach a new agreement after numerous deadline delays resulted in the station being blacked out in eight markets across the United States on August 2nd [11].  CBS was seeking more compensation from Time Warner Cable due to the high ratings of its programming.  An agreement was reached and CBS was reinstated in the markets on September 2nd, 2013.  The beginning of the regular NFL season caused urgency in reaching an agreement, as both sides wanted to reap advertising benefits [11].  Over the course of the blackout, Time Warner Cable lost over 300,000 subscribers, and also had to compensate pay-subscribers for different CBS owned stations, including Showtime [10].

  • Increasing Internet Speeds

Time Warner Cable router.  Image courtesy Hot Hardware.  [22]

Time Warner Cable router. Image courtesy Hot Hardware. [22]

Following the problematic CBS blackout, customers in the New York, Los Angeles, and Hawaii markets will have their Internet speeds increased. Those with the Ultimate Internet package will have speed doubled from 50 to 100Mbps through the rest of the year, while other markets will receive the increased speed throughout 2014.  The baseline Internet offering will also be doubled in speed, while maintaining its $14.99 price.  Customers with the existing baseline Internet package will receive the speed increases throughout 2014.  Time Warner Cable hopes to appease its remaining customers and bring back customers who cancelled their subscriptions with these speed increases [12].

  • IntelligentHome Service Expands

Intelligent Home display.  Image courtesy Time Warner Cable.  [24]

IntelligentHome display. Image courtesy Time Warner Cable [23].

Time Warner Cable’s 2011 project, IntelligentHome, finalized its national implementation in November.  The service allows for electronic control of several aspects of the home, including lights, temperature, and security.  A central, outlet connected device acts as the main control and mobile applications can be used to access IntelligentHome, allowing control from outside of the home.  The $99.99 installation and monthly fees below $40 are looking to revolutionize home security and efficiency.  Time Warner Cable entering into the emerging home automation market and creating all encompassing deals with Internet and cable can result in a brand makeover [13].

  •  Al Jazeera Distribution
Al Jazeera America logo.  Image courtesy American Thinker [24].

Al Jazeera America logo. Image courtesy American Thinker [24].

News source Al Jazeera America announced a distribution deal with Time Warner Cable in late October.  The channel initially launched in New York City and Los Angeles, as these are seen as key markets.  Al Jazeera America will be fully implemented in all of Time Warner Cable’s Markets by March of 2014.  Time Warner Cable viewed adding Al Jazeera America as an opportunity to replace Current TV, which was pulling in lackluster ratings.  The channel is currently attracting fewer than 25,000 viewers at any given time, but Time Warner Cable and Al Jazeera America are hopeful that it will follow a similar ratings trajectory of other news stations such as Fox News and MSNBC [14].

  • Samsung Galaxy Tablet Partnership

Time Warner Cable and Samsung Galaxy Promotion.  Image Courtesy Multi Channel [25].

Time Warner Cable and Samsung Galaxy Promotion. Image Courtesy Multi Channel [25].

With the 2013 holiday season approaching, Time Warner Cable has entered into a partnership with Samsung, offering new and old customers an opportunity to get a Samsung Galaxy Tablet.  By selecting or upgrading to particular cable and Internet packages, customers will receive a complementary tablet.  Samsung and Time Warner Cable are seeking a mutually beneficial relationship; Time Warner Cable is hoping to get more customers and upgrades by attaching the desired tablet to its packages, while Samsung is looking to be competitive with Apple in the tablet market.  Time Warner Cable is also looking to promote the idea of watching television on a tablet, whether inside or outside of the home through these packages, so tablets will come with the Time Warner Cable application already installed [15].

  • Streaming Deal With Discovery

Discovery Channel Logo.  Image courtesy of Hollywood Reporter [26].

Discovery Channel Logo. Image courtesy of Hollywood Reporter [26].

Time Warner Cable made an agreement with Discovery Communications that involves streaming the content of its numerous channels across new platforms including smartphones and tablets.  This may be implemented through Time Warner Cable’s official mobile application, or Discovery may potentially be launching its own applications.  Comcast entered a similar agreement with Discovery Communications, but solely with Discovery Channel, opening an opportunity for Time Warner Cable to gain a wider market than one of its major competitors.  The recent announcement from Nielsen that portable views will start to be accounted for in ratings was an extra incentive for both parties [16].

Sources

1.  Time Warner Cable: About Time Warner Cable

2.  Time Warner Cable: Digital Cable

3.  Time Warner Cable: Internet

4.  Time Warner Cable: Phone

5.  Time Warner Cable: Executives

6.  Hoovers: Competition

7.  Time Warner Cable: Ownership History

8.  Yahoo Finance: Stocks

9.  Yahoo Finance: Income Statement

10.  Reuters: Subscription Loss & Income Forecast

11.  USA Today: CBS Blackout Ends

12.  Uber Gizmo: Increasing Internet Speeds

13.  PC Mag: IntelligentHome Implementation

14.  NY Times: Al Jazeera Distribution

15.  Next iPhone News: Samsung Galaxy Deal

16.  Wall Street Journal: Discovery Distribution Deal

Image Sources

17.  Lazy Tech Guys – Time Warner Cable

18.  Time Warner Cable – Glenn A. Britt

19.  Time Warner Cable – Robert D. Marcus

20.  Time Warner Cable – Arthur T. Minson, Jr.

21.  CNN Money – Time Warner Ad

22.  Hot Hardware – Time Warner Cable Router

23.  Time Warner Cable – IntelligentHome Display

24.  American Thinker – Al Jazeera Logo

25.  Multi Channel – Time Warner Cable and Samsung Galaxy Deal

26.  Hollywood Reporter – Discover Channel Logo