Pittsburgh City Council Approves FiOS Franchise - City council member 'almost guarantees' lower prices.
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Pittsburgh City Council Approves FiOS Franchise
City council member 'almost guarantees' lower prices.
06:42PM Tuesday Sep 15 2009 by Karl Bode
tags: Video · Fiber · competition · business · alternatives · cable · legislation · Politics · Comcast
The Pittsburgh City Council today voted unanimously (9-0) to give Verizon a FiOS franchise in the city, after the two sides haggled over local TV funding and the installation of a small local support center. The agreement requires that Verizon deploy FiOS to the entire city within six years, though such agreements generally include plenty of wiggle room for Verizon. Efforts to include an amendment that would have Verizon funding local public access TV failed, though Verizon will have to provide a local support center.

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While Verizon's been busy selling more rural, unprofitable markets, they've been on a bit of a tear lately signing citywide FiOS franchise agreements with major east coast cities, including New York City, Washington DC and Philadelphia. The push goes hand in hand with a new focus on apartment buildings, using new bendable fiber and smaller MDUs.

"I can almost guarantee you that we'll probably get better service, and you won't be stuck with such high bills," Councilwoman Tonya Payne tells Pittsburgh Post Gazette, suggesting she didn't study the issues before voting, given the telco lobbyist promise of lower prices created by TelcoTV entering a new market never seems to materialize.

In direct price to price comparisons, limited duopoly competition gives cable and phone companies the luxury of non-price competition -- which in turn allows them to raise individual service prices in concert. Still, Pittsburgh residents now get an option other than Comcast, and can either sign up for FiOS -- or threaten Comcast with cancellation in order to net lower long-term contract bundle pricing.

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TKJunkMail @ 15th Sep 06:39PM:
There is price competition - though thru special deals

It isn't true that there isn't price competition between telco and cable where they go head to head. The published rates may be similar, but you can play one off the other to cut special 1 or 2 yr deals to get reduced rates merely by threatening to switch providers. I have several friends who have played this game between Comcast & Verizon Fios. You don't even have to actually switch to get the savings.

So Pittsburgh residents will gain financially from the competition introduced to their city.
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ace111170 @ 15th Sep 06:40PM:
Ummm

:::waves to Pittsburgh from Cleveland::::

Hey! ::::cups hands over mouth::::

Lucky SOB's!!!

Maybe Cleveland will get..oh wait..nevermind, the Deathstar might be listening....
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JSRoman @ 15th Sep 07:15PM:
Another clueless politician

"I can almost guarantee you that we'll probably get better service, and you won't be stuck with such high bills," Councilwoman Tonya Payne

I hope a reporter sticks a mic in her face a year from now and asks her where are the savings.

Looks like politicians are clueless at local level and not just in Washington.
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»www.seabee.navy.mil

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hayabusa3303 @ 15th Sep 07:57PM:
Re: Ummm

said by ace111170 :

the Deathstar might be listening....
Deathstar waves back and says not in this life time.. :D
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freebird317 @ 15th Sep 07:57PM:
Re: Another clueless politician

said by JSRoman :

"I can almost guarantee you"
There is her wiggle room :)
--
Lead, Follow I do not care just get out of my way.

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Eat Me @ 15th Sep 09:21PM:
Re: Another clueless politician

No kidding.

Once the "evil cable monopoly" has been vanquished, guess who becomes the monopoly?
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old_wiz_60 @ 15th Sep 10:05PM:
no price improvement.

Prices will not go down, very simple. Politicians believe anything they are told when greased with money, drugs, or hookers, or all of the above.
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Mike @ 15th Sep 10:05PM:
Re: Another clueless politician

»www.douchebagreport.com/archives/1218

She actually made the douche bag report. I'm impressed.
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