Cablevision sues Verizon over FiOS ad

Cablevision (NYSE: CVC) is suing Verizon Communications (NYSE: VZ) in a Manhattan federal court claiming that its TV commercial that says Verizon's FiOS does not solely use fiber optic cable is truthful.

The lawsuit comes after Verizon filed a complaint with the Better Business Bureau's National Advertising Division over Cablevision's ad that says Verizon's 100 percent fiber optic service claim is not true because the service uses a regular cable inside the home.

In Cablevision's lawsuit, the company claims that Verizon is trying to create "public misconception" by distinguishing its FiOS cable TV and Internet service from Cablevision's Optimum Online service. The company also claims that Verizon advertises FiOS as a 100 percent fiber-optic network but that it almost always uses regular cable to deliver the service inside homes and to connect to cable modems and TV set-top boxes.

Cablevision told Reuters in a statement that the company is asking the court to stop Verizon from continuing to "mislead the public."

A Verizon spokesman, meanwhile, responded to inquiries from Reuters by saying that the lawsuit demonstrates Cablevision's "appetite for confusing consumers," and said that Verizon's FiOS service is a 100 percent fiber-optic network.

This isn't the first time Cablevision and Verizon have taken to the courts to settle their differences.  Earlier this year Cablevision filed a lawsuit against Verizon in federal court for the Eastern District of New York alleging that the telco made false and misleading claims about Cablevision's Wi-Fi service in ads. That lawsuit is still pending.

For more:
- see this Reuters article

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