Attention Entrepreneurs! Seeking a continuous source of subscriber revenue? Interested in competing in a business where demand for consumption is only growing? Then have I got an opportunity for you. Because cable companies are fearful that their triple play business model is reducing to a pipe only world, they are seeking to clamp down on broadband usage by their current customers. "With companies like Netflix and Hulu threatening their subscription-cable business, companies including AT&T, Comcast and Charter no longer want to aid the competition by offering consumers all-you-can-eat broaband." And logically it makes sense, only it doesn't satisfy the consumers' need for more streaming. Charging on a per bit cost is reminiscent of the days when phone companies charged per minute for calls.
So who could ideally get into this business to compete with cable and provide consumers with an alternative broadband company. I have a couple suggestions. First would be for the utility companies to consider broadening their business. Electric, gas, and water companies already reach out to every home in their community. Using existing relationships and local service, they could build out a wired and wireless grid to offer competing broadband coverage.
Mobile phone companies could also offer more streams to homes and build out a WIFI platform in their communities. And lastly, let's build out a national WIFI network. No doubt, a subscription model could open up an ad sales opportunity as well bringing an additional revenue stream into the equation.
Clearly the cable companies have something at risk, with cord cutters and cord shavers scaling back their subscription for broadband access only. Offering an "all you can eat model" only hurts the cable subscription business structure. But there are consumers who only want broadband access, inexpensive and accessible. Hence a new business ripe for the taking requiring some capital expenditure to get it off the ground. Good luck. I'd love to help start it.
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