Their was a time when you had your home phone, your pay television provider, and your electric provider. This trinity of utilities and communication lasted for decades. Then, like the FOX network, along came the cellphone and it was more of an ‘and’ service vs. an ‘or’ service for more decades. Broadband came next (both through the Telco and the CATV provider), also an ‘and’ service for the first decade and a half. So like broadcast television the CW and Paramount network, we were up to 6 networks. The broadcast networks started consolidating. Now it looks like there is a sign the communication market is consolidating too.
If you read into this study, CATV is transitioning from an ‘and’ service to an ‘or’ service, and we are just now seeing the broadband attached to those CATV cables also transitioning to an ‘or’ service.
I find this very interesting for the purposes of this blog. I would have assumed that broadband buildouts are continuing at a rapid pace for many reasons, among them because of how many professionals need to telecommute. It would be an interesting day indeed if we could all telecommute through a smartphone connection. That would definately signal the end of investment into fiber to the rural parts of the country.
Maybe it’s time to reconsider that comcast stock position you have in your portfolio.
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