Attractively priced, but lacking any originality, Verizon's FiOS video offering, unveiled 9/22 in Keller, TX, has already prompted fierce and potentially costly battles between the telco and a local incumbent—Charter Comm. Price discounting may prove successful in gaining initial market share, but if telcos are serious about long-term profitability of their video offerings they should look at other ways to differentiate products to entice customers. Those who had hoped for innovative customer-friendly video packages noted the FiOS service looks much like traditional cable offerings. The main selling point appears to be the price—noticeably lower than comparable cable packages, but in line with EchoStar pricing.
展开▼
