Last year, Cox Communications Inc. was left scrambling to get its own network up and running when Excite@Home declared bankruptcy. What could have been its darkest moment looks like it has turned into its finest hour.
The cabler has transitioned several hundred thousand customers and now has one million residential broadband customers. The one million customers are spread out over 23 markets in the United States.
Cox has been working feverishly to transition Cox@Home customers served by the Excite@Home network. The company says it has moved 600,000 @Home customers to its Cox High Speed Internet service in six weeks time. The service, which debuted in Dec. 2001, is delivered to residential subscribers via a self-managed IP network.
Cox currently offers three broadband Internet services - Cox High Speed Internet, Road Runner and Cox Express - to its residential customers, but the MSO is in the process of transitioning all customers to the Cox High Speed Internet. The company believes offering one service will enable it to better serve its customer base. Cox also is trialing home networking and tiering services.
Separately, Cox announced it has 500,000 digital telephone customers. The service was first introduced in Orange County, Calif. in 1997. "Less than five years after it was introduced, the service generated operating margins in the mid-twenty-percent range in 2001, and is expected to hit margins in the mid-thirties this year," says Jim Robbins, president and CEO of Cox.