Cablevision Optimum Voice

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Cablevision Optimum Voice

I couldn't help but get a kick out of this release from Cablevision from yesterday...


Cablevision Systems Corporation (NYSE: CVC) today announced that its Optimum Voice digital voice-over-cable (VoIP) service had surpassed the 250,000-customer milestone. The fastest-growing facilities-based VoIP service in the nation, Optimum Voice on average has been adding approximately 1,000 new customers per day within Cablevision's New York metropolitan area system.

"Optimum Voice has established itself as a value-priced and highly-reliable voice service in the New York metropolitan area, and the consumer response has been outstanding," said John Bickham, Cablevision's president of cable and communications. "Clearly, a diverse and growing base of customers have embraced the ability to make unlimited calls across the U.S. and Canada at one low price, while taking advantage of a growing list of innovative calling features."

I mainly take issue with the bolded parts. First, they claim they are the "fastest-growing facilities-based VoIP service in the nation". Ok, I'm not sure if I buy that, but OK, I'll take them at their word.

But then they BLEW IT when they said Optimum Voice has established itself as "value-priced", when in fact they charge one of the priciest monthly fees of any VoIP provider - $34.95/month!

On top of that, the press release claims that Cablevision announced that the standard monthly price for Optimum Voice would remain unchanged at $34.95 in 2005.

Wait a second here. Everyone else in the broadband VoIP world is in a price war and Cablevision isn't joining the party? What gives? I guess there 250,000 people who don't mind over-paying for phone service. It's the same old story...



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