Carol Wilson (2.8.07)
http://telephonyonline.com/broadband/finance/qwest_earnings_iptv_020807/
Another take on Qwest's financial standing and IPTV investment.
The year 2006 was a milestone for Qwest Communications, as the company was able to post its first full year of earnings per share and net income in each of the four quarters, based largely on strong sales of data and Internet services.
Although they aren't agressively seeking out a video network, they are investing in their network. Qwest Chairman and CEO Richard Notebaert told financial analysts that “our facilities, our cable does not require a complete change-out in the last mile. ... We will follow a path where we will continue to upgrade the speeds and you have seen the investment we have made. Currently over 25% of our customers can get 7 Meg. We will continue to run fiber to the node, to the RT [remote terminal]. We are investing in increasing speeds and bandwidth. We aren’t following anybody when it comes to fiber-to-the-node. The RFPs, which were somehow made public, are part of the continuing effort to find if we can get a lower cost on the purchase of that fiber which we are and have been laying.”
“On IPTV, we are watching, we are learning, we are letting other people work the issue and we will benefit from their investment in future technology,” he said. “We believe that with time shift, that you can do on video and with the fact you can get content on demand – if you watch ’24,’, you can pull it down the next day, that’s all part of this.”
Showing posts with label Qwest. Show all posts
Showing posts with label Qwest. Show all posts
Wednesday, February 14, 2007
Qwest Treads Slowly in Fiber Rollout
Roger Cheng (2.8.07)
http://online.wsj.com/article/SB117090418422001834.html
Qwest is cautious to enter fiber market, allowing AT&T and Verizon to set the course. Many believe Qwest doesn't have the financial stability to make the upgrades necessary to be competitive against U-Verse and Fios.
AT&T and Verizon have poured billions of dollars into upgrading their systems to fiber. Verizon is spending $18 billion to connect many of its homes to the fiber-optic network. The company hopes to make FiOS TV service available to 18 million homes out of the 33 million homes in its landline operating area by the end of 2010.
AT&T is spending $4.6 billion to upgrade parts of its network with fiber-optic lines while using software to increase the speed of its network, enabling an Internet TV service called U-Verse. It hopes to make U-Verse available in at least 19 million homes by the end of next year.
Dan Yost, who runs product development and marketing for Qwest, said the company is working to replace copper lines with fiber ones in some markets, though he acknowledged the deployment was "not that extensive" in Qwest's 14-state operating territory.
Qwest has recently sold off assets giving them more financial flexibility to potentially put more dollars toward fiber investment; however for the time being they will still depend on DirecTV for television services and Sprint Nextel for wireless phone services. Most would agree that the push for more bandwidth will force Qwest to invest in upgrades regardless of their financial standing sooner than later.
http://online.wsj.com/article/SB117090418422001834.html
Qwest is cautious to enter fiber market, allowing AT&T and Verizon to set the course. Many believe Qwest doesn't have the financial stability to make the upgrades necessary to be competitive against U-Verse and Fios.
Depending on development area, Qwest's slower adoption of fiber will effect choices of service providers for developers. This also shows the increased spending on fiber for faster and greater content to meet and exceed future demand.
AT&T and Verizon have poured billions of dollars into upgrading their systems to fiber. Verizon is spending $18 billion to connect many of its homes to the fiber-optic network. The company hopes to make FiOS TV service available to 18 million homes out of the 33 million homes in its landline operating area by the end of 2010.
AT&T is spending $4.6 billion to upgrade parts of its network with fiber-optic lines while using software to increase the speed of its network, enabling an Internet TV service called U-Verse. It hopes to make U-Verse available in at least 19 million homes by the end of next year.
Dan Yost, who runs product development and marketing for Qwest, said the company is working to replace copper lines with fiber ones in some markets, though he acknowledged the deployment was "not that extensive" in Qwest's 14-state operating territory.
Qwest has recently sold off assets giving them more financial flexibility to potentially put more dollars toward fiber investment; however for the time being they will still depend on DirecTV for television services and Sprint Nextel for wireless phone services. Most would agree that the push for more bandwidth will force Qwest to invest in upgrades regardless of their financial standing sooner than later.
Tuesday, January 23, 2007
Cities fighting Qwest's bid for statewide video
Kimberly S. Johnson (1.17.07)
http://www.denverpost.com/headlines/ci_5033844
Local municipalities are fighting back against proposed legislation that would give Qwest a statewide cable-franchise agreement to offer video services.
The bill, being sponsored by state Rep. David Balmer, is expected to be introduced next week. Balmer, a Centennial Republican, has said the goal of the legislation is to increase competition. Arvada Mayor Ken Fellman said legislators should oppose the upcoming bill because it takes too much authority away from local cities and towns.
"The legislation is designed around streamlining the process around obtaining a franchise," said Chuck Ward, Qwest's state president. "This is a bill about bringing competition to the cable market in a faster manner than what we've been able to achieve so far."
Many Colorado officials feel that this bill is no way to create competition and that local franchise processes do not hinder competition.
Regardless, the authority of individual municipalities to control permits and other matters related to any new video network should be respected, Arvada Mayor Ken Fellman said.
Comcast also opposes the bill.
http://www.denverpost.com/headlines/ci_5033844
Local municipalities are fighting back against proposed legislation that would give Qwest a statewide cable-franchise agreement to offer video services.
The bill, being sponsored by state Rep. David Balmer, is expected to be introduced next week. Balmer, a Centennial Republican, has said the goal of the legislation is to increase competition. Arvada Mayor Ken Fellman said legislators should oppose the upcoming bill because it takes too much authority away from local cities and towns.
"The legislation is designed around streamlining the process around obtaining a franchise," said Chuck Ward, Qwest's state president. "This is a bill about bringing competition to the cable market in a faster manner than what we've been able to achieve so far."
Many Colorado officials feel that this bill is no way to create competition and that local franchise processes do not hinder competition.
Regardless, the authority of individual municipalities to control permits and other matters related to any new video network should be respected, Arvada Mayor Ken Fellman said.
Comcast also opposes the bill.
Tuesday, January 16, 2007
Qwest cable help push bill to bypass municipal franchise requirements
By Andy Vuong
/print_article.jsp?articleId=4996960&siteId=36
State Rep. David Balmer said Thursday he will introduce legislation that would allow Qwest to seek a statewide cable-franchise agreement.
Qwest currently has to seek franchise agreements with individual municipalities before it can offer video service to compete against cable companies such as Comcast. So far, the Denver-based company has reached agreements with only a few communities in Colorado.
Balmer, a Republican from Centennial, said the legislation is aimed at increasing competition. Balmer said he will introduce the bill "shortly" but has until the end of the month to do so.
The key issue between Qwest and individual municipalities has been network build-out requirements. City leaders want Qwest to offer its video service to every home, a requirement also placed on Comcast, the incumbent cable-TV provider in the metro area. Qwest wants the freedom to pick which neighborhoods it will offer its video service to.
The build-out requirement "is a barrier to competition," said Chuck Ward, Qwest's state president. He said Qwest shouldn't have to build out to every home, because it is the second entrant into the market.
"There is every opportunity for new entrants to enter the market today under the existing rules without any special franchising deals or special legislative loopholes," Comcast spokeswoman Cindy Parsons said.
Darryn Zuehlke, director of Denver's telecommunications office, said the Denver City Council insists that Qwest offer its service to every resident but is flexible on the time frame in which that requirement is met.
Some states, including California, have already passed statewide franchising legislation. Other states in Qwest's 14-state service territory will also likely see similar legislation this year, including Iowa, Minnesota, Utah and Idaho, Ward said. In addition, Qwest's Oregon president Judy Peppler has said a franchising bill will be introduced there this year.
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