Comcast CEO: 'Over-the-Top Economics Are Unproven To Us'

Despite the rise of virtual multichannel video programming distributors (MVPDs, or pay-TV) that can deliver services nationwide by going over-the-top, Comcast still believes that the most prudent business path is to grow its video subscriber base in-footprint. “We just fundamentally believe, for now, that our in-market footprint strategy is where we add the most value to consumers,” said Brian Roberts, Comcast’s chairman and CEO, echoing sentiments he shared in May at the INTX show in Boston (MA). “OTT economics are unproven to us,” he added. “It’s not clear that that’s the right strategy for us.” Comcast, however, is expanding the reach of its X1 technology platform outside its own footprint ostensibly through syndication/licensing agreements with multiple system operators such as Cox Communications and Shaw Communications, which plans to start rolling out X1-based set-tops later in 2016.