Sanford C. Bernstein & Co. analyst Craig Moffett last week questioned the quad play-the idea that telcos and cable TV companies need to bundle voice, broadband Internet, TV service and wireless service-and more specifically the idea that wireless needs to be part of a bundle delivered by cable TV players. That's a knock on recent moves by cable TV companies, including Cox Communications's $500 million plan to invest in 700 Mhz build-out. Moffett said it is not clear that the cable guys can make a real difference or stake out any new ground in wireless, and he added that while bundles may reduce churn, their value is harmed by the discounts at which they are marketed.
Moffett does like Cablevision's approach to wireless, which includes a $300 million commitment to Wi-Fi combined with DOCSIS 3.0. It gives Cablevision an edge in part because the company's main telco competitor, Verizon Communications, has not pursued Wi-Fi. Moffett also had some harsh words for Clearwire's business plan.
Cox Communications wants to build its own wireless network
CFI Group said customers prefer telco bundles to cable bundles