Cablevision (NYSE: CVC) lost 34,000 video subscribers in the fourth quarter, with its heavy competitive exposure to Verizon FiOS beginning to take a toll on the MSO's pay-TV customer base.
But don't look for Cablevision to continue offering discounts and promotions to compete with FiOS, which now operates in more than 50 percent of its New York/New Jersey footprint.
"We found out that we were pushing subscribers back and forth on a highly promoted basis," said Cablevision vice chairman Gregg Seibert, speaking Monday at the Deutsche Bank 2015 Media, Internet & Telecom Conference in Palm Beach, Fla. "I don't want to roll a truck to you every two years if you keep going back and forth to another provider … So we're getting rid of that lower quality, lower profitability base of subscriber."
Meanwhile, when asked about the company's new Wi-Fi data/phone service, Freewheel, Seibert said Cablevision has no plans to strike an MVNO deal.
"There really isn't the need for an MVNO, because we think voice will be one of the least used features of the phone," he said.
Seibert also called the Motorola Moto-G phones that provide the backbone of the Freewheel service an "end-of-life" device. He said an app will soon be sold that will enable iPhone and Android users to access the Freewheel Wi-Fi service.
For more:
- visit this Cablevision investor relations page
Related links:
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Cablevision loses 34K video subs in Q4, revenue up 3%