FCC Plans Road Trip to Keller

By Ted Hearn
MultiChannel News

2/3/2006 7:11:00 PM

http://www.multichannel.com/article/CA6304866.html


The Federal Communications Commission is going on a road trip next Friday 
to Keller, Texas, in an effort to highlight video competition between new 
entrant Verizon Communications Inc. and cable incumbent Charter 
Communications Inc.

The FCC's monthly open meeting will be held Feb. 10 in Keller, a suburb of 
Dallas. The meeting's agenda will include the release of the agency's 
annual cable-competition report.

The commission rarely leaves its Washington, D.C., headquarters to hold a 
meeting where policies are debated and votes cast. In early 2003, the 
agency held a public forum in Richmond, Va., leading up to the adoption of 
new and controversial media-ownership rules in June.

And in September, Martin moved the meeting to Atlanta for a status report 
on the health of telecommunications networks following Hurricane Katrina, 
which devastated the GulfCoast region.

Over the past decade, the cable report has documented a market that has 
grown increasingly competitive, capped by the rapid rise of 
direct-broadcast satellite carriers DirecTV Inc. and EchoStar 
Communications Corp., which serve 27 million subscribers combined.

But rising nominal cable rates have caused Verizon and AT&T Inc. to 
complain that DBS competition is insufficient and to ask Congress for 
regulatory relief through relaxed local-franchising requirements.

Verizon launched its Verizon FiOS TV video service in Keller in September. 
The company claimed that it has reached 21% penetration after four months 
and Charter has slashed its rates. Phone-company entry into cable had been 
tried before, but with little success.

"It is fitting that the FCC meet in the inaugural market of Verizon FiOS 
Internet and FiOS TV services," the regional Bell operating company said in 
a prepared statement.

"Keller is the first place where a phone company offered consumers a real 
choice to cable television," Verizon added. "After only a few months, 21% 
of our Keller landline customers have ordered FiOS TV. Those who stick with 
cable are benefiting, too, because prices dropped when Verizon entered the 
market.  That's competition, and consumers love it."


=================================================
George Antunes                    Voice (713) 743-3923
Associate Professor               Fax   (713) 743-3927
Political Science                    Internet: antunes at uh dot edu
University of Houston
Houston, TX 77204-3011         



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