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Cable operator Cox to launch cellphone service

Discussion in 'Wireless News' started by ComicalMoodyDan, Oct 27, 2008.

  1. ComicalMoodyDan

    ComicalMoodyDan Gold Senior Member
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    Cable operator Cox to launch cellphone service
    By David Lieberman, USA TODAY

    NEW YORK — Cox Communications (CCI) plans to rock the wireless phone business Monday by unveiling plans to launch cellphone service in the second half of 2009 that ultimately will make the No. 3 cable operator a rival of AT&T, (T) Sprint Nextel (S) and Verizon. (VZ)

    "We've spent $500 million buying wireless capacity in our markets," President Pat Esser says. "Now, we're going to turn it on."

    It's the most ambitious effort yet by a cable operator to bundle wireless phones with TV, Internet and land-line phone services. Operators have long seen cellphones as an important weapon to compete with AT&T and Verizon, which are rolling out TV services that compete with cable's core video business.

    Cable operators' efforts to forge alliances with Sprint stumbled over disagreements about marketing and service plans.

    Cox is betting that it can lure consumers with one-stop shopping and a lot of hand-holding for a cellphone service that neatly meshes with its other products.

    For example, subscribers will be able to use the phones to program home DVRs. They'll also be able to access e-mail and voice mail that they receive at home.

    "The network address book has been around for a long time, but it hasn't gotten beyond sophisticated users who take the time and effort to configure it," says Stephen Bye, Cox vice president of wireless.

    He says all Cox phones will include a network address book that automatically synchronizes with home PCs.

    Cox also says that subscribers will be able to watch TV shows, and possibly full-time channels, on their handsets. The company wouldn't say what video will be available, how much consumers will pay for cellphone service, which markets will get it first, or how long it will take before it's available in all its territories.

    Cox has 6.2 million residential and business customers scattered through 15 states, with major markets including San Diego, New Orleans, Las Vegas, Phoenix and Oklahoma City.

    Esser won't say how much Cox will spend to enter the wireless phone business, but notes that it likely will be at least as much as it spent to offer digital TV, broadband and wire-line phones.

    "We've done a ton of research, and we're confident that it will get the kind of market share that will produce a good return for Cox," he says.

    One of his first tasks is to negotiate deals with hand-set manufacturers. Phones initially will handle fast transmissions through Cox's and Sprint's 3G networks.

    Cox, which expects to eventually manage all aspects of its service, also will test faster 4G technologies that use the international Long Term Evolution (LTE) standard.

    "We were looking for a global standard that we could draft behind and get a lot of innovation to the market as quickly as possible," Esser says.

    Cable operator Cox to launch cellphone service - USATODAY.com
     
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  2. Joe912

    Joe912 New Member

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    I see in my area Cox has 700 mhz will be interesting to see how fast and where they roll out their service...
     
  3. JFB

    JFB Gold Senior Member
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  4. larry

    larry Sprint loyalist and former mod
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    Just an FYI, Cox was originally an affiliate of Sprint here in the West back in 1996-1999 when they built Sprint's original network in San Diego, Orange County, and Phoenix. Once in a while I will still see an old Cox PCS site ID label on one of Sprint's older cell sites here in Orange County. There are also still some Sprint towers that are FCC registered under the COX PCS name.
     
  5. bigsnake49

    bigsnake49 New Member

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    It's interesting that they will work with Sprint to develop their network. Will they work with Sprint when Cox moves to LTE? Will they extend their month to month business model to wireless? What about subsidized handsets? Will they offer fancy hadsets that they will then have to subsidize? Or will they go with reliable, bug-free handsets that might be a generation behind that they can get for cheap?
     
  6. MOTOhooligan

    MOTOhooligan Former Mobile Data Addict
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    Ugh...I despise Cox Communications. My cable internet was so horrible that I had to unplug my modem 8-10 times a day. They're also the only cable company in my town and they charge quite a bit.

    I am displeased to see they have 700 mhz here. Oh well, whatever.

    Thanks for posting this, Dan.
     
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  7. Matt

    Matt Twin girls!
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    I really don't know why more companies want to make this considerable investment to build networks from scratch. Scanning the article, I can already program my DirecTV DVR from my phone. It is a cool concept, but doesn't depend on my wireless carrier.
     
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  8. bigsnake49

    bigsnake49 New Member

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    Here is an excerpt from a more informative article found at the following URL:

    Cable Digital News - Services Software - Cox Wireless: Soup to Nuts - Telecom News Analysis

    .....................................................................

    3G and the road to LTE

    A big question on everyone's mind is how Cox plans to knit together the Advanced Wireless Services (AWS) spectrum it obtained in 2006 as part of the SpectrumCo joint venture, and the 700 MHz spectrum licenses it won more recently at auction... and how the MSO expects to apply them to its initial 3G and future 4G offerings. (See SpectrumCo Gets Licenses and Cox Waxes Wireless .)

    Bye says Cox will use its AWS spectrum to support a 3G network based on EV-DO Revision A. "We're on the CDMA track," he says, noting that also wants to see how it can use both the AWS spectrum and the 700 MHz spectrum for LTE field trials, which will get underway sometime in 2009.

    "LTE is an emerging technology. We'll be looking at the feasibility and how quickly we can move to commercialize it," Bye explains.

    At the same time, Bye believes 3G technology has plenty of legs left. "Interestingly enough, one third of handsets in the market today are 3G-capable, it's still sort of an emerging technology in terms of consumer adoption. But clearly we see a future in 4G."

    Cox isn't going into great technical detail yet about its 3G-to-4G migration plans, but Bye says the network is being built to enable as smooth a migration to LTE as possible.

    "We're trying to build a network as future-proof as you can with as much foresight that we have today," Bye says. Some upgrade paths, including the move from CDMA to WiMax "are not necessarily smooth transitions and require a significant amount of investment. We're trying to minimize that incremental step."

    New Sprint deal 'fundamentally different'

    Bye is quick to point out that the new agreement with Sprint looks nothing like the deal that Cox and other MSOs cobbled together to create the now-defunct Pivot experiment. (See MSOs Pivoting Away From Sprint JV.)

    Rather than a co-branded, shared service, Cox will have relative autonomy on the Sprint network, controlling the backoffice, customer service, product integration, branding, supported devices, packaging, and product plans.

    ...........................................................
     
  9. M in LA

    M in LA Mobile 28 Years Plus
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    I think Cox would be better served focusing on their cable services. Isn't that their bread and butter? With the economy being what it is right now, what makes them think they have a chance?

    Cox now has a minute presence in the L.A. area (Palos Verdes peninsula in L.A. County and Central and South Orange County). I believe it totals about 200,000 customers, versus 500,000 for Charter and over 2 million for Time Warner. In other words, their presence here will be negligible at best.

    Doesn't sound like a smart move to me.
     
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  10. UFO

    UFO Bronze Senior Member
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    I've been happy with Cox as a cable company and can understand the move. Their internet and tv here have been quite reliable. As far as the price, I got rid of Verizon FiOS because Cox worked out to be cheaper, and it's also less expensive than other family members served by Comcast. Verizon and AT&T with FiOS and U-Verse now offer wireless service, landline service, hi-speed internet, and television service. As time goes one, Verizon and AT&T are going to continue pushing bundles with wireless service on their wireless customers in populated areas and the cable companies are going to suffer more and more unless they're somehow able to bundle wireless with their own network or some sort of MVNO agreement with Sprint or T-Mobile.

    It really sounds like Cox is just trying to become the one-stop communications provider for their regional areas, similar to what Verizon and AT&T are doing nationwide as they roll out fiber to more areas and get into the tv/hi-speed internet business. The economy will soon turn around and Cox is a private business, so they must have the cash on hand or be in a profitable position to take on the needed debt. Now that they own the needed licenses, they only need to rent space on towers and place their equipment. Cox already provides data services to many cell towers (at least according to their data network advertising in my area), so their expenses may be a lot less moving forward than what the experts anticipate. I'd give their service a try providing that the regional Cox network is backed up by the other CDMA networks, Sprint and Verizon/Alltel.
     
  11. RadioRaiders

    RadioRaiders RF Black-Belt
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    What? They are building a CDMA network from scratch, changing tracks to LTE in a few years and then, merging with another operator who is evolving to WiMAX? :confused:

    Who's their CTO? I can't quite see his face in the press release photo...

    [​IMG]
     
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  12. bigsnake49

    bigsnake49 New Member

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    Where did you isee info about a merger? The onlything that I saw in that article is that they will use EVDO in the beginning probably on their 1700MHz spectrum (since there EVDO is already running on AWS but not on 700MHz yet). Then when LTE is stable and off the bleeding edge, they will implement it on 700MHz. Almost exactly the same migration path as Verizon.

    Sprint has not said what protocol they will be using on their voice network. My guess will be LTE, since they are very dependent on roaming and everybody else is going to LTE. The only way they're not going to LTE is if they implement WiMax on their SMR (IDEN) spectrum and expand their footprint.
     
  13. RadioRaiders

    RadioRaiders RF Black-Belt
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    ...not sure what is meant by "agreement", but I interpret that as some type of merger...

    Sprint is going the WiMAX path alone for 4G. I can't see them rolling out a second 4G network with LTE. If COX says they are going LTE, then they have to either build a LTE network from scratch, or then make another agreement/merger/whatever with someone else who is using LTE (ie: anyone but Sprint) That's why I see it as strange from a technical point of view. It would have made alot more sense to just start with a UMTS network if they want to go the LTE route eventually. To say "we're on the CDMA track" and "we see our future in LTE" in the same sentence is bizzare.
     
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  14. bigsnake49

    bigsnake49 New Member

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    Sprint is going WiMax on their 2.5GHz TDD spectrum. WiMax does not have an FDD profile yet, so they cannot use WiMax for their voice spectrum holdings (800SMR, 1900MHz). LTE does not have an TDD profile yet. What I would like to happen is for the LTE camp to adopt WiMax for the TDD profile and for WiMax to abandon their effort to come up with a FDD profile. Did you know that WiMax only specifies the bottom two layers (physical and MAC) of the 7-layer OSI stack? LTE is a lot more thorough. LTE is a natural for the current carrier oriented landscape. WiMax is great for what is basically wireless internet.
     
  15. RadioRaiders

    RadioRaiders RF Black-Belt
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    It's only a matter of time until WiMAX will open up in FDD and 700/1700 Mhz. I'm sure Sprint can push for 800/1900 if/when the time comes.

    http://www.wimaxforum.org/news/wimaxforum_fdd_may21_final.pdf

    The LTE camp is aiming to stomp out WiMAX altogether, so any "merging" of the technologies seems far-fetched. Sprint jumped in the WiMAX pool with both feet, with no mention of ever going the LTE path. Either they have to succeed with WiMAX or admit a failure and switch to LTE. Running any kind of mix of both of the systems would be really strange...but then these are the guys running iDen/CDMA/WiMAX so who knows :dunno:
     
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  16. bigsnake49

    bigsnake49 New Member

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    First of all, it's going to be Clearwire that is going to be running WiMax. While Sprint will own 51% of the JV, it will be it's own company. Sprint and the other participants can and will offer services as well under their own brands.

    Sprint itself will eventally move to LTE on both its 800 and 1900MHz holdings, but will take its sweet time. It has several other problems to take care first. First and foremost it has to stabilize its finances, finish rebanding both the 800MHz and band G of 1900MHz, finish building out Rev. A and QChat, buy out iPCS. Then it can worry about LTE. It does not have to make the decision right now. Maybe 3-4 years down the line but not right now.
     
  17. TelcomJunkie

    TelcomJunkie Bad Handoff Investigator
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    At least in SoCal, the few areas where Cox offers cable service (San Diego, Palos Verdes, Santa Barbara) are very tough areas for the cellular carriers to provide reliable indoor coverage. By utilizing their existing HFC infrastructure Cox will be able to provide superior coverage for both voice and data services to those markets. Also, by overlaying a wireless network on their plant, they can provide their core services, including TV and HSD to fixed customers wirelessly instead of having to install cables from the pole to the customer.
     
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