Altice and Paulson Co. are among the unannounced investors in Layer3 TV, the Denver-based, next-gen cable operator that has already raised about $100 million, according to Variety.

Layer3 TV declined to comment on its financing activities, but Variety noted that Altice’s investment comes way of its acquisition of Suddenlink Communications, though the publication said Altice and Layer3 TV  have “been quite cozy with each other for some time.” Altice, which closed its $17.7  billion purchase of Cablevision Systems last month, also declined to comment on its relationship with Layer3 TV.

Industry sources said there’s been some external interest in joining the investment mix at Layer3 TV, and that there could be some interest from those that bring strategic value to the emerging MVPD. Layer3 TV’s announced investors include Evolution Media Partners and North Bridge Venture Partners.

Layer3 TV has been tight-lipped about its specific go-to-market strategies, though it appears to have teamed up with Suddenlink for the trial of a service under the “Umio” brand in the MSO’s territories of Midland and Kingwood, Texas.

In addition to looking at deployments in which Layer3 TV could ride the distribution rights of another operator (such as it apparently did for the  Suddenlink trial), the emerging MVPD has also been developing its own pay TV service by locking in its own distribution deals with programmers and other content providers, per industry sources. Those multiple approaches would expand Layer3 TV’s deployment options.

Layer3 TV confirmed that it will “soon” launch service in the Chicago market, home to incumbent MVPDs Comcast, RCN and AT&T.

In addition to Chicago, Layer3 TV has been seeking “installation supervisor” positions in Houston, Denver and Alexandria, Va., which fuels speculation on other markets that Layer3 TV might be targeting for future service launches.

According to Variety, Layer3 TV intends to launch a service in Chicago under its own brand.

A lingering question is how Layer3 TV will get service into the home via the so-called “last mile.”

According to one industry source, one way Layer3 TV intends to do this is by securing capacity on the cable operator’s IP network paired with a revenue sharing agreement with that MSO. However, Layer3 TV, which has been marketing itself under “The New Cable” tagline, would in essence provide the market with a fresh, alternative pay TV provider to consider because Layer3 TV would be the one installing, operating and providing customer care for the service. Layer3 TV will use electric-powered BMW i3 vehicles in its service fleet.

Though Layer3 TV hasn’t said much about how it will price and market its services, its web site does shed some light on some of the features it will provide in its including no annual contracts, 4K-ready wireless set-tops, a lineup of more than 150 HD channels, personalized profiles for each viewer in the home, and a DVR that can record up to eight shows at once, with storage ranging from 1 terabyte to 3 TB. An image of the Layer3 TV remote also shows a button for a microphone, which suggests it will support voice navigation.

Layer3 TV CEO Jeffrey Binder told Wired earlier this year that Layer3 TV would be launching in Chicago and a “couple of other major cities on the East and West coasts.” The company also told the pub that it would forge deals with “large infrastructure companies” for the last mile links into customer homes.

Layer3 TV, the self-described “next generation” cable provider, is seeking an “installation supervisor” in a handful of U.S. markets.

Layer3 TV is currently looking to fill that positon in Chicago; Houston; Alexandria, Va.; and in its hometown of Denver. Layer3 TV also has an office in Boston, but does not appear to be seeking an installation supervisor there.

Per the job description, a Layer3 TV Installation Supervisor will be tasked with managing and training technicians (contractors and employees), performing in-home installation, cable modem provisioning and in-home cable and wireless networks. The job will also be good for candidates who know their way around DOCSIS, WiFi, and Multimedia over Coax Alliance (MoCA, technology that delivers IP video and other content over home coax lines at high speeds for applications such as whole-home DVRs).

The location of those jobs could fuel further speculation on which markets Layer3 TV will target in the early phases of its service deployment.

Layer3 TV, which will use electric-powered BMW i3 vehicles in its service fleet, has been offering its IP-delivered service under the “Umio” brand in a couple of its early test markets for -- Midland and Kingwood, Texas – also the territory of incumbent cable operator Suddenlink (now part of Altice).

In a recent company profile in Wired, Layer3 TV CEO Jeffrey Binder said the company would also be launching in Chicago and a “couple of other major cities on the East and West coasts.” Per that report, Layer3 TV’s offering will sell for $80 to $150 per month, depending on how many TVs are connected to the service.

The story also shed some more light on Layer3 TV service distribution strategy. It won’t deliver content into the home over-the-top, but will instead come in via managed IP connections, and lean on a distribution facility in the Denver along with a 12,000-mile fiber backbone that will link it to individual markets that Layer3 TV will serve. For the last mile link, Layer3 TV will forge deals with “large infrastructure companies.”

Layer3 TV is not commenting further about its service deployment plan.

Layer3 TV, the Denver-based “next-generation” cable operator, has been conducting service trials under the “Umio” brand in select markets, according to information about the service that has appeared online.

The Umio Web site, first spotted byVariety, sheds much more light on services that will run on Layer3 TV’s platform, which features a souped-up, 4K-capable, IP-connected device and access to an extensive lineup of video packages that include local broadcast networks and dozens of cable channels such as ESPN as well as premium offerings such as HBO, Starz and Showtime.

According to Variety, Umio has been testing the service in Midland and Kingwood, Texas, since December. Suddenlink Communications, now part of Altice Group, is the incumbent cable MSO in those markets. And it's not yet clear if Umio will compete with Suddenlink, or if there a business relationship between Layer3 TV, Suddenlink and the Umio offering that's being trialed.  

However, the Umio site lists a business address of 520 Maryville Centre Drive, Suite 300, St. Louis, Mo., the same address that’s listed for Cequel Communications Holdings, which was doing business as Suddenlink prior to the Altice deal. The web site's fine print also notes: "Umio is brought to you exclusively by SL3TV, LLC" which could suggest that providing a new IP-based infrastructure is a key component of Layer3 TV's strategy.  

Layer3 TV has not disclosed its go-to-market strategy, but multiple sources not associated with the company who claimed to have knowledge about its plans told Multichannel News last year that one strategy of the Denver-based startup is to deploy its platform in partnership with MVPDs that are seeking a next-gen, IP-based video offering, and that Layer3 TV's platform would leverage its partner’s distribution rights. Notably, the Umio site says the service being beta-trialed is “powered by Layer3 TV.”

Update: “Think of it as direct-to-consumer, but with MSO backing,” a source said last fall, adding that the service could start in an MSO’s footprint, but could conceivably expand under a “co-op” partnership between multiple MVPDs that provide service to multiple footprints, but assembled under a common marketing campaign. If multiple MVPDs were to get on board with that idea, it could drive some needed scale into their collective video business. “I think they [Layer3 TV] believe their opportunity really is to manage the TV business for operators that want to focus on high-speed data. They are really trying to do something positive for the industry,” the source said of the Denver-based firm.

There’s has been  some evidence suggesting that Layer3 TV will also operate under direct-to-consumer-looking business models. For example, there’s been evidence of new, energy-efficient fleet vehicles with Layer3 TV branding. Layer3 TV, which has raised more than $80 million, did drop somehints in a recent FCC filing indicating that it will operate as an MVPD. Additionally, cable programming and distribution vet Lindsay Gardner joined Layer3 TV’s as chief content officer last year, heading up a team that’s been looking to strike partnerships with cable networks, broadcasters, and other “compelling content creators and packagers.”

It also  was not immediately known what other markets are part of the Umio beta trials.

Layer3 TV didn’t respond for comment Friday. Suddenlink has been asked to comment if it has a business relationship with Layer3 TV or the Umio service being trialed in Texas.  But according to sources familiar with the trials, Umio kicked off trials in Q3 2015, and that the trials are currently over-subscribed, meaning there’s a waitlist to get access to the beta. Update: Suddenlink declined to comment.

Per the Umio web site, its service lets customers record seven shows while watching an eighth, and provides enough storage for 400 hours of HD video. The platform is also “4K-ready” (at 60 frames per second), and integrates social media to help users keep tabs on what’s trending.

Among other technical details, the platform features an integrated cable modem that “controls all data and IP video transport,” as well as 802.11ac WiFi, two voice lines, an internal speaker (for spoken interaction with remote service techs), voice control, near field communications (for easy device paring), internal storage (ranging from 1 terabyte to 4 TB), HDMI 2.0, two USB 3.0 ports, Bluetooth, and 1000 Mbps Ethernet (via an RJ45 connector).

Per information about the beta, consumers who receive an invite get 60 days of complimentary service, and can keep their current service during the trial. In turn, beta testers are expected to provide feedback. 

The sample lineup shows local broadcast  networks, premium channels, and dozens of national cable networks, including A&E, ESPN, ESPN2, FX, AMC, TBS, USA Network, We TV,  AXS TV, Turner Classic Movies, and an array of digital music channels from Music Choice.

This is the promotional video posted to the Umio site:

[embed]https://vimeo.com/137424631[/embed]

Layer3 TV opened its Denver headquarters in September 2014. It was founded in 2013 by cable industry vets Jeff Binder, the former CEO of Broadbus (sold to Motorola in 2006), and David Fellows, the former CTO at Comcast.