Cablevision sues Verizon, defends commercial targeting FiOS

Cablevision (NYSE: CVC) has filed its second advertising-related lawsuit against Verizon (NYSE: VZ) in the last five months, defending a TV commercial that claims Verizon's FiOS service partially relies on cable to deliver video and Internet into residences.

The suit, filed in a Manhattan federal court, comes after Verizon in April launched a proceeding before the Better Business Bureau's National Advertising Division, which challenged Cablevision's assertion that FiOS actually uses cable and is not "100 percent fiber. 

"Consumers deserve to make informed decisions based on facts, and Cablevision is asking the court to intervene to stop Verizon from attempting to continue to mislead the public," the company said in a statement.

Responding to Reuters, Alberto Canal, a Verizon spokesman, said the lawsuit demonstrated Cablevision's "appetite for confusing consumers." He also reasserted that Verizon's FiOS service operated on a 100 percent fiber-optic network.

"Since their network can't compete against FiOS, they resort to legal stunts, which we will challenge vigorously," he said.

In Cablevision's TV commercial, a narrator says, "Verizon claims they're all fiber optic. True or false? The answer is false."

Verizon asked the Better Business Bureau to stop Cablevision from making that claim.

Competition in the New York-area ISP and video market is especially fierce right now between FiOS and Cablevision, the latter of which has been steadily losing pay-TV subscribers to the IPTV service.

In January, Cablevision filed a lawsuit against Verizon in federal court for the Eastern District of New York, alleging that the telecom made false and misleading claims about the MSO's Wi-Fi service in ads.

For more:
- read this Cablevision press release
- read this Reuters story

Related links:
Cablevision confirms addressable advertising deal with Disney/ESPN
Desperate, white-hot M&A talk trumps idle chatter over skinny bundles, OTT at INTX
Cablevision's Dolan makes public TWC merger proposal at INTX
Cablevision sues Verizon alleging deceptive advertising claims about Wi-Fi superiority

Suggested Articles

Hulu with Live TV will raise the price of its base package by $10, bringing the cost up to $54.99 per month. The price change will kick in on Dec. 18.

As AT&T TV Now falls back in the pack, Sling TV and Hulu with Live TV have emerged as the co-leaders among virtual MVPDs in terms of subscribers.

Verizon's Stream TV device, for now, doesn't support Netflix.