Charter reportedly is in discussions with cable networks about developing an inexpensive streaming offering, according to a Wall Street Journal report.
The bundle, which would not include any major sports channels, would cost between $15 and $20 per month, and directly contradicts President and CEO Tom Rutledge's recent statements rejecting the idea of debuting an over-the-top video service.
That said, money talks. While Charter Communications doesn't want high-value service customers to choose a less revenue-generating OTT option, by shunning the market entirely Charter cuts itself off from those households uninterested in or unable to pay for traditional cable bundles.
This already appears to be happening: Last quarter, Charter lost about 100,000 video subscribers, according to its annual report. While most losses occurred in legacy Time Warner Cable markets, some subscribers dropped legacy Charter services, the company said.
Bolstering talk about Charter's potential OTT offering is recent news about the operator's pact with AMC Networks to distribute original AMC content. And Charter already has infrastructure in place to support OTT, the company said.
"Charter wants programmers to offer their content OTT. We have invested millions of dollars building an infrastructure that enables and encourages our customers to watch video online or OTT," the company said in a March 2016 SEC filing.
Charter declined to comment on the report, a spokesperson told Light Reading's Mari Silbey.
Under the White House plan, President Trump will dole out 80% of the allotted $50 billion for rural infrastructure – or $40 billion – directly to state leaders, letting governors pick from areas such as broadband, power generation, water facilities or transportation.
It will cost less than $20 billion to connect unserved US anchor institutions with fiber, a step that will deliver fiber-based broadband to 95% of the population, a cost analysis conducted for the SHLB Coalition said.
In a February 21 radio show, Jeremy Harris, director of subscriber solutions and experience at ADTRAN, will discuss how service providers can use SD-Access, virtualization, automation and other technologies to improve customer experience – thereby decreasing churn and boosting sales.