Partnering, Bundling Can Stave Off Broadband Cord-Cutting

Mike Farrell — Tue, 13 Feb 2018 17:28:00 +0000

SAN ANTONIO, Texas – As the number of connected devices in the home expands, the threat of consumers cutting their broadband cord increases, but operators are not powerless in the battle to grow and retain customers, according to a session at the NCTC Winter Educational Conference here Tuesday (Feb. 13).

Parks Associates senior director of research Brett Sappington said that connected devices in the home have increased from just over eight in 2015 to 9.2 in 2017, and consumers are demanding higher and higher bandwidth to accommodate that equipment. At the same time, he said that about 12% of U.S. households are mobile-only.

Read More: Additional Coverage of the NCTC Winter Educational Conference

Sappington said the consumers most likely to go mobile-only aren’t surprising – they are mainly younger people who have been in their homes a short period of time. Price sensitivity is also an issue. Customers of the least expensive wireless services like Metro PCS and T-Mobile are more likely to go mobile-only (about 12% of Metro PCS and 11% of T-Mobile wireless customers say they would go mobile only, compared with 7% for AT&T and 5% for Verizon wireless customers).

As unlimited wireless plans and zero-rating for video continue to proliferate, so does the drive to go all mobile. But fixed service has speed, throughput and latency advantages over wireless, according to Sappington.

He added that loyalty for existing broadband subscribers is pretty high – about 50% of consumers that have both a fixed and mobile service say they will absolutely not switch, according to Parks Associates research.

Cable operators can continue to battle the mobile-only threat by doing what they have been doing in the past – partnering with wireless service providers, bundling services, providing access to OTT options and offering premium WiFi options.

“Bundling still works,” Sappington said, adding that operators have to “learn to live with mobile services, and how we can evolve or strategies to include the reality of mobile data in our packages.”

Sony Music to Produce Original Shows for Verizon go90

Mike Farrell — Wed, 06 Jan 2016 23:45:00 +0000

Sony Music Entertainment has entered into a multi-year video content agreement with Verizon’s go90 mobile-only service, including comedy and competition series and live concerts.

Initial shows in development for launch in 2016 are:

"Crashed" – a hidden camera comedy show created in partnership with Joel McHale's Free Period Productions where unsuspecting fans, to their surprise and delight, are "crashed" by their favorite celebrities in music, sports and comedy.

"Car Star" – a competition series focused on singing in the car that includes videos in which amateurs go head to head to win the coveted title of "car star."

A Live Festival – a multi-night musical concert series showcasing Sony Music artists shot live and featuring a mix of performances and artist interview segments.

"The intent of this partnership is to highlight cutting edge, emerging artists and rising stars," said Verizon senior vice president of consumer product and marketing Brian Angiolet in a statement. "With strong positioning in sports and original content, the music community is another key audience we are aggressively going after."

Verizon launched go90 last year as an ad-supported service offering prime-time shows, live music and sports, such as NFL football games for Verizon wireless subscribers.

At the Citigroup Internet, Media & Telecom Conference today in Las Vegas today, Verizon EVP and president product innovation and new business Marni Walden said that so far programming has focused on specific shows and short-form video, not networks, in keeping with go90’s millennial audience’s demands.

“[O]n go90, we had no interest in putting a whole network or a whole bundle,” Walden said. “It was more about individual shows, unique originals and making sure that we were catering to that group.”

She added that go90 also is expected to announce a deal with Warner Music, where the content provider will have an exclusive music widow on the service. That deal should be announced soon, she said.

"We are delighted to be partnering with Verizon to develop music-based original video content for the go90 platform," said Sony Music Entertainment head of original content Lee Stimmel in a statement. "Consumers are increasingly turning to mobile devices to watch web series and shows, and we are excited to offer them a diverse line-up of fun and highly engaging programs that provide an all new way to connect with their favorite music and celebrities."

In addition to new original programming from Sony Music, the agreement also covers a slate of previously announced programming (talk show Tawk with Awkwafina and extreme challenge series Hey USA_X) from Astronauts Wanted, the joint venture between MTV veteran Judy McGrath and Sony Music Entertainment.

Latest from Next TV in Mobile-only

Partnering, Bundling Can Stave Off Broadband Cord-Cutting

Sony Music to Produce Original Shows for Verizon go90