“The introduction of telco TV services by companies such as Verizon and AT&T, coupled with stiff competition from satellite TV service providers, is forcing US cable TV operators to develop new revenue streams, while at the same time, trying to hang on to their existing video subscribers, ” notes Mike Paxton, In-Stat analyst.

Recent research by In-Stat found the following:

• According to survey respondents, 84% of cable systems currently have 750 MHz or more of available bandwidth.
• With the exception of increasing the number of available 6-MHz channels for HD video services, most cable systems plan to keep their channel allocations for video services relatively static over the next 12 months.
• OCAP-enabled cable set top boxes are just starting to be deployed in cable systems across the country. According to the survey respondents, only 26% of the cable systems have deployed OCAP-enabled set top boxes.
• The take-rate for cable modem service continues to grow. According to survey respondents, 42% of their cable TV subscribers now subscribe to cable modem service.
• Fifty-four percent of the cable systems stated that a telephone company was already offering telco TV video service in their cable TV service area footprint. This metric underlines how quickly telco TV services have expanded in the US.

The research, “US Cable TV Operator Survey: Competition Reshapes the Industry ” (#IN0703671MBS), covers the US cable TV market. It is based on the results of a recent survey of 50 US cable TV systems across the country. The cable operators were asked over 60 questions about their current systems. These questions covered information about their existing video, data, and voice services, plans for introducing services in the next year, their current cable system capabilities, service bundle packages, and about the current investment and competitive environments.