Company spurs cable competition in communities
Verizon plans on attracting more than just cellular customers in the Capital District with its dive into television services.
Residents and businesses in the towns of Bethlehem and Guilderland and the villages of Colonie and Scotia can now sign up for Verizon’s FiOS offerings of TV, Internet and voice services after the unveiling on Friday, March 25. Verizon representatives said the company’s all-fiber-optic connection would provide consumers with unparalleled picture quality for TV programming and an Internet download speed to match. Verizon plans to take on the largest cable service provider, Time Warner, but didn’t call it out by name, only giving an obvious nod.
Starting today we are bringing FiOS TV to the Capital District, said Sam Caldwell, vice president of external affairs for Verizon. `The stranglehold that the cable companies have enjoyed in the cable TV space is over.`
In addition to the four municipalities mentioned, the New York State Public Service Commission is reviewing a franchise agreement for the City of Schenectady. The Town of Colonie’s franchise agreement is also under review by the NYSPSC after town officials approved the contract on Thursday, March 24. Verizon spokesman John Bonomo said the all-fiber-optic connection is how it can achieve its claims of better picture quality.
`With more towns and villages expected to come on board soon, Verizon FiOS will transform the landscape from cable TV service for years to come,` said Tracey Edwards, region president for Verizon.
The company has spent more than $1 billion on infrastructure investments in the region. FiOS is currently available to 23,000 people, with residents of Schenectady and Colonie to add 38,000 additional potential customers.
No specifics were given as to what communities Verizon plans to expand its FiOS TV to, but the pattern of deployment tends to branch off from surrounding communities with the service. Once a franchise agreement is approved, Verizon has five years to deploy the infrastructure to meet demands from all residents in the area. Before reaching out for an agreement locally, it starts building out into the prospective community.
`It is a very, very labor-intensive and capital-intensive initiative to deploy fiber optics to every home and every business location, every doorstep essentially in the area,` said Caldwell. `We are constantly looking for other opportunities for those that don’t have access to FiOS today, we can certainly offer them voice service and Internet service at very high speeds.`
Similar to Time Warner’s bundle deal, Verizon is offering a TV, Internet and phone package for $99.99 a month for the first year. New DVR boxes from the company provide 500 GB of storage space, which equals 60 hours of recorded HD programming or 300 hours of standard definition. There are also over 30 `FiOS Widgets,` which provide access to many popular social networking sites and online videos.
`Everything that competition brings with it is something we know customers are going to welcome,` said Caldwell. `We received innumerable questions from customers as to when FiOS TV is going to be here and we couldn’t be more excited to say that in fact it is here.`
A demo of the FiOS offerings by Al Vasso, manager of marketing for Verizon, showed the menu guide that can be used as full screen or half-screen. Channels are clustered together by groups and color coded in the menu. Vasso said customer feedback about the program search menu has been positive.
`Flex View` programming allows customers to rent or buy movies from their TVs, with 19,000 videos in the service, 70 percent of which are free to view. There are 3,300 videos in HD. Flew view purchases also allow customers to view content on their mobile devices and computers.
`When Verizon enters the market, it is proven the service experience goes up, and that is something we are excited about. Pricing is likely to come down and that is something we know customers are going to be excited about,` said Caldwell.
Mark Eagan, president and CEO of Albany-Colonie Regional Chamber of Commerce, spoke at the unveiling and said the Capital Region has become an emerging technology sector and is now recognized as such. He commended Verizon for spending $1 billion in fiber optic infrastructure.
`For so many of our residents, they have not had a choice, and we know that choice, not just in offerings, but also what it does to cost it is terrific for the Capital Region to now have that choice,` said Eagan.
With the technology available through Verizon FiOS, Eagan said he is glad he has children to help him out.
`Thank God I have a 9- and 11-year-old at my house that will be able to help me figure all of this out,` said Eagan.“