Verizon to battle Time Warner cable monopoly

Queens residents could have a choice of cable TV providers this year, if telephone and internet service provider Verizon’s proposal to offer their “FiOS” fiber-optic cable TV service receives approval from the New York City Franchise and Concession Review Committee (FCRC).
The committee will hold a hearing on Tuesday, May 20, on the Verizon proposal. Public hearings are held for all “significant” concessions - that either have a term of 10 years or more, or will result in projected annual income to the city of more than $100,000 - that are awarded without competitive sealed bids.
The company, better known for its land-line and wireless telephone service, has been upgrading its “wireline” network to optical fiber, and has been offering high speed internet service as a competitor to the service also offered by TV providers. It filed its proposal with the city’s Department of Information Technology and Telecommunications (DoITT) on April 15.
“Verizon plans to offer choice and competition in the traditional monopoly cable TV market to all the residents of the five boroughs of New York City,” said Monica Azare, a Verizon senior vice president.
On April 29, DoITT accepted the proposal and advanced the plan to the FCRC. If the FCRC and the city approve Verizon’s proposal, it will be submitted to the New York Public Service Commission for confirmation.
Currently, only two companies provide cable service in separate and distinct parts of the city - Time Warner and Cablevision. This effectively leaves consumers with little or no competitive choice for their cable TV service. As of now, Time Warner is the only such operator serving Queens.
FCRC approval requires five of six votes from its appointed members - two representing the Mayor, one each representing the city’s Law Department, Office of Management and Budget and Comptroller, and one representative from each of the five borough presidents, who as a group cast one vote. They usually follow the opinion of the one representing the borough where the franchise or concession at issue is located.
Concessions awarded via sole source or any other non-competitive method, require two FCRC approvals, each with at least four votes.
“For too long, residents have been locked in to one provider for their cable TV entertainment,” Azare said, adding, “With an award of the first-ever citywide franchise, Verizon will be able to throw open the doors to competition, providing real choice and real value.”
Verizon has upgraded many areas of Queens to the fiber optic system, and according to the company, could be a “formidable competitor to cable and satellite, offering a broad range of all-digital programming, high-definition (HD) channels and access to more than 10,000 on-demand titles, 70 percent of which are at no additional charge.”
In an announcement, which hinted at confidence in final approval of the proposal, Verizon said they would announce a “rollout schedule for FiOS TV at a later time.”
The Queens communities where Verizon has already installed its all-fiber network are: Auburndale, Bayside, Bayside Hills, Bay Terrace, Belle Harbor, Breezy Point, Clearview, Douglas Manor, Douglaston, Far Rockaway, Floral Park, Fresh Meadows, Glen Oaks, Laurelton, Little Neck, New Hyde Park, Oakland Gardens, Rockaway Park, Rosedale, Springfield Gardens and Whitestone.