Verizon FiOS set-top

Grade: C-

Not that long ago, Verizon’s Fios, along with AT&T’s IPTV product U-verse, were the hottest operators in the pay-TV ecosystem. In 2011, Fios added 701,000 IPTV customers, second only to U-verse’s 804,000. 

This was the period during which the telcos were taking huge chunks of market share from cable, with the pre-X1 Comcast losing 459,000 pay-TV customers in 2011.

Jump to present day and we find that Verizon has stopped growing. In fact, in the second quarter, the FTTH service lost 13,000 TV customers. 

Verizon hasn’t necessarily let its platform go to seed, somewhat recently using technology assets acquired from its purchase of Intel’s OnCue to create a new UI based around IP set-tops.

But Verizon seems somewhat ambivalent about linear pay TV.

In fact, in some Fios markets, Verizon has given up on trying to deploy Fios TV, instead partnering with Layer3 TV to have the Denver startup bundle Verizon landline broadband with Layer3’s premium video service.

Meanwhile, its efforts to get a virtual service off the ground have reportedly been delayed until the fall, with content negotiations slowed.

Verizon does score points for ranking first in this year’s American Customer Satisfaction Index ranking of pay-TV providers, with its score improving 1%. 


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