Cox Says It Will Apply Learnings From Previous Failures In New Wireless Venture
Cox Communications, which is the third-largest U.S. cable provider with 6 million customers, is making another go at launching wireless services next year, with previous failures still lurking in the shadows. Stephen Bye, VP of wireless at the cable giant, told RCR that the company has learned from its mistakes and that it’s determined to get it right. Most recently, Cox pulled out of its Pivot joint venture with Sprint (NYSE: S) along with Time Warner (NYSE: TWX) and Comcast (NSDQ: CMCSA). Perhaps, this time they’ll get it right, but Cox will face a lot of competition, as they and others race to launch quad-play services, offering TV, wireless, landlines and broadband.
Cox believes it can leverage the fact that it has a greater than 40 percent penetration with telephone service in its most mature markets. Bye: “We know a little something about how to compete. As a new entrant, we had the flexibility to ‘reinvent’ telephone plans in the marketplace. And now, with wireless, we have the flexibility yet again to introduce a simpler and better wireless offer…” Calling wireless an “offensive play” for the company, Bye said it plans to initially market wireless in its existing markets although coverage will be national. He said services will be offered on a standalone and in bundles, but declined to reveal pricing plans. Cox has previously said it will provide customers with special services that will give them access to TV shows on their phone and allow them to program DVRs and access content saved on their PCs. Bye reiterated the company’s goal to eventually upgrade to LTE technology, and downplayed the role the economy might take because: “one hallmark of Cox’s culture is our view toward the long-term with a focused, deliberate and disciplined strategy.”
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