Cable vs Telco: New Research

CABLE MODEM VS DSL: RIVALS SIDE-STEP BIG PRICE WARS SO FAR
[SOURCE: Kagen Research, AUTHOR: Mariam Rondeli]
Though the battle for broadband access subscribers is intense, there's no screaming price war between cable TV and telcos, and Kagan Research doesn't expect one in the foreseeable future. To others, this may be surprising because price wars erupt in most other corners of the digital landscape, such as telcos matching cable in consumer rates for video channels. What has emerged in broadband, however, is a two-tier marketplace. According to Kagan, the average price for broadband service was $39.45/month from the five top cable operators in Q1 2006 and $35.38 for four telcos. Cable systems have increased their download speeds to a maximum of 30 mbps, versus a 10 mbps top common just a year ago, to help justify premium broadband pricing. Telephone-wire based digital subscriber lines (DSL) generally have slower download speeds in the low-single-digits of Mbps—or million bits per second, a measure of transmission speeds. DSL is adding customers faster than cable modem broadband.
http://www.kagan.com/ContentDetail.aspx?group=5&id=216

CABLE-PHONE PLANS WIN FANS
[SOURCE: Wall Street Journal, AUTHOR: Jeffry Bartash jeffry.bartash@dowjones.com]
Although cable-TV subscribers have complained for years about customer service, they evidently are more upbeat about the phone-calling plans that their cable providers now offer. In its latest annual survey, market-research firm J.D. Power & Associates found that many cable companies are "outperforming traditional telephone companies in satisfying customers." The firm said cable companies this year rank the highest in customer satisfaction in five of six U.S. regions, compared with 2005, when cable companies ranked highest in just one region.
http://online.wsj.com/article/SB115274762163805136.html?mod=todays_us_personal_journal
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