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First MSO enters business Ethernet market’s top 5

Wed, 08/22/2007 - 8:25am
Traci Patterson

Cox Business was the fourth-largest U.S. provider of retail business Ethernet services at mid-year 2007, marking the first time an MSO has reached the top tier, according to Vertical Systems Group.

Leading Cox Business were AT&T, with a 19.5 percent share of mid-2007 ports; Verizon Business, with a 15.8 percent port share; and Time Warner Telecom, with 13.7 percent port share. Verizon’s share was up 12.2 percent, and Time Warner Telecom’s increased 10.7 percent, compared with year-end 2006 results. And although AT&T placed first, the company’s share declined compared with the combined year-end 2006 shares for AT&T and BellSouth, which the company acquired in December.

Cox Business held an 8.9 percent share. Behind the MSO were Cogent Communications Inc., with an 8.6 percent share, and Qwest, in sixth place, with an 8.4 percent share.

“As anticipated, competition in the business Ethernet services market heated up during the first half of 2007, resulting in considerable port-share fluctuation,” said Rick Malone, principal at Vertical Systems. “The dense availability of low-cost metro services boosted share for many regional U.S. Ethernet providers, including MSOs. Additionally, the aggressive deployment of new fiber infrastructure for residential applications enabled broader accessibility of native Ethernet services for adjacent business sites.”

Other MSOs in the market were Bright House Networks, Charter Business, Comcast Business, Suddenlink Communications, SureWest and Time Warner Cable. Other mentionable companies in the market were Alpheus Communications, CT Communications, FiberTower, Level 3 Communications, Optimum Lightpath, RCN, Sprint Telecom, Sprint and XO Communications.

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