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Cableco SMB Expansion Continues at Comcast

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Cableco SMB Expansion Continues at Comcast

December 07, 2017
By Paula Bernier
Executive Editor, TMC

Cable TV companies used to be all about delivering video content to consumers. Of course, they still do that today. But they’ve diversified their businesses.

That all started many years ago when cablecos added broadband internet access to their product portfolios, as they went head to head with telcos. Then the cablecos began introducing voice services. Once they had achieved triple play provider status, they started to look around for other customer target groups.

So they began selling services to small and medium businesses. And they have been able to capture enough market share that the telcos took notice. But this April blog suggests that the cablecos did so “by practically giving away services” and are painfully slow when it comes to price generation.

In any case, in discussing its Level 3 deal, telco CenturyLink (News - Alert) said it would now be in a better position to regain some of the SMB market share it lost following its earlier acquisition of telco Qwest.

Meanwhile, the cablecos continue to expand their SMB efforts. For example, just last month Comcast (News - Alert) Business was talking about the recent expansion of its fiber-based Ethernet network in Chambersburg, Pennsylvania. The network now reaches more than 20 additional businesses directly and can deliver up to 100 Gigabits-per-second of network capacity.

"This is among the most significant infrastructure investments our regional Comcast Business team has made across the Keystone Region, and we're proud to push our network deeper into Chambersburg to help the city's economic growth," said Toni Murphy, regional vice president for Comcast Business.

In may research firm IDC (News - Alert) issues a study indicating the cablecos are having a real impact in the SMB arena.

"Competition for telecom services is heating up across the SMB markets," says Jason Blackwell, research director of SMB Telecom Services at IDC. "Cable operators are putting pressure on telco competitors with high-speed internet services, forcing them to extend fiber deployments. This pressure will continue as DOCSIS deployments increase in 2017, pushing cable broadband speeds even higher and making legacy DSL connections less attractive for SMB customers."

Edited by Mandi Nowitz

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