Comcast

two-guys-hated-using-comcast,-so-they-built-their-own-fiber-isp

Two guys hated using Comcast, so they built their own fiber ISP


Brothers-in-law use construction knowledge to compete against Comcast in Michigan.

Two young men stand outside next to service vans with a logo for Prime-One, the Internet provider they founded.

Samuel Herman (left) and Alexander Baciu (right), founders of Prime-One. Credit: Prime-One

Samuel Herman (left) and Alexander Baciu (right), founders of Prime-One. Credit: Prime-One

Samuel Herman and Alexander Baciu never liked using Comcast’s cable broadband. Now, the residents of Saline, Michigan, operate a fiber Internet service provider that competes against Comcast in their neighborhoods and has ambitions to expand.

“All throughout my life pretty much, I’ve had to deal with Xfinity’s bullcrap, them not being able to handle the speeds that we need,” Herman told Ars. “I lived in a house of 10. I have seven other brothers and sisters, and there’s 10 of us in total with my parents.”

With all those kids using the Internet for school and other needs, “it just doesn’t work out,” he said. Herman was particularly frustrated with Comcast upload speeds, which are much slower than the cable service’s download speeds.

“Many times we would have to call Comcast and let them know our bandwidth was slowing down… then they would say, ‘OK, we’ll refresh the system.’ So then it would work again for a week to two weeks, and then again we’d have the same issues,” he said.

Herman, now 25, got married in 2021 and started building his own house, and he tried to find another ISP to serve the property. He was familiar with local Internet service providers because he worked in construction for his father’s company, which contracts with ISPs to build their networks.

But no fiber ISP was looking to compete directly against Comcast where he lived, though Metronet and 123NET offer fiber elsewhere in the city, Herman said. He ended up paying Comcast $120 a month for gigabit download service with slower upload speeds. Baciu, who lives about a mile away from Herman, was also stuck with Comcast and was paying about the same amount for gigabit download speeds.

$80 for gigabit fiber, unlimited data

Herman said he was the chief operating officer of his father’s construction company and that he shifted the business “from doing just directional drilling to be a turnkey contractor for ISPs.” Baciu, Herman’s brother-in-law (having married Herman’s oldest sister), was the chief construction officer. Fueled by their knowledge of the business and their dislike of Comcast, they founded a fiber ISP called Prime-One.

Now, Herman is paying $80 a month to his own company for symmetrical gigabit service. Prime-One also offers 500Mbps for $75, 2Gbps for $95, and 5Gbps for $110. The first 30 days are free, and all plans have unlimited data and no contracts.

“We are 100 percent fiber optic,” Baciu told Ars. “Everything that we’re doing is all underground. We’re not doing aerial because we really want to protect the infrastructure and make sure we’re having a reliable connection.”

Each customer’s Optical Network Terminal (ONT) and other equipment is included in the service plan. Prime-One provides a modem and the ONT, plus a Wi-Fi router if the customer prefers not to use their own router. They don’t charge equipment or installation fees, Herman and Baciu said.

Prime-One began serving customers in January 2025, and Baciu said the network has been built to about 1,500 homes in Saline with about 75 miles of fiber installed. Prime-One intends to serve nearby towns as well, with the founders saying the plan is to serve 4,000 homes with the initial build and then expand further.

“This is our backyard”

Herman and Baciu’s main competition in their initial build area is Comcast and Frontier’s DSL service, they said. So far, they have built only to single-family homes, but they plan to serve multi-unit residential buildings, too.

“We started building in an area that’s a lot more rural,” where people have fewer options than in more densely populated areas, Herman said. “This is our home, this is our backyard, so we take this build very, very seriously.”

Baciu, who is 29, said that residents seem excited to have a new Internet option. “It’s so nice to see the excitement that they have. [People say], ‘Oh my gosh, I told everybody about Prime-One. My neighbor cannot wait for you guys to have them up, too. My boss is asking, my grandma’s asking.’ It’s a beautiful thing,” he said.

A bit more than 100 residents have bought service so far, they said. Herman said the company is looking to sign up about 30 percent of the homes in its network area to make a profit. “I feel fairly confident,” Herman said, noting the number of customers who signed up with the initial construction not even halfway finished.

Prime-One’s founders originally told us the 4,000-home build would be completed at the end of August, but Baciu indicated more recently that it will take longer than that. “We are working on sales for the next couple of months before continuing the rest of the build,” Baciu said.

Herman and Baciu started thinking about building an ISP about two years ago. With no fiber companies looking to compete against Comcast where they lived, “that was a trigger,” Baciu said. “We kept on talking. We’re like, hey, we’re doing this work for other people, why not?” In August 2024, they signed a contract with a firm that provides backhaul service, IP address assignments, and other key connectivity needs.

“We said, ‘let’s try to do it ourselves’”

ISPs generally want to build in areas where homes are built close together, requiring less fiber construction to serve more customers and make a bigger profit. Existing ISPs didn’t seem interested in expanding to where Herman and Baciu live, Herman said.

“We have spoken to all of these Internet service providers and asked them to come and service these areas. I knew that there was a dire need in this area and that everybody was sick of the Xfinity BS,” Herman said.

Having worked in construction for ISPs, they already had experience installing fiber lines and conduits.

A Prime-One installer working on a fiber build.

Credit: Prime-One

A Prime-One installer working on a fiber build. Credit: Prime-One

“We said, ‘you know, what the hell, why not? Let’s try to do it ourselves,'” Herman said. “We know we can handle the construction, we know we can handle all that area. We need some assistance on the technical side. So we hired the right people to handle the technical side and to handle the OSS/BSS software and to manage our dark fiber. And from there, we’re here where we’re at, within six months. We have over a hundred customers on our network, and we’re still building.”

Before construction, the brothers-in-law met with Jared Mauch, a Michigan man who built a fiber-to-the-home Internet provider because he couldn’t get good broadband service from AT&T or Comcast. We wrote about Mauch in 2021, when he was providing service to about 30 rural homes, and again in 2022, when he was expanding to hundreds of more homes.

Though Herman and Baciu already knew how to install fiber, Mauch “gave us quite a lot of insight on what to do, how to build, and on the actual ISP side… he showed us the way he did things on the technical side for the ISP, what strategies he used and what products he used,” Herman said.

The brothers-in-law didn’t end up using all the networking products Mauch suggested “because we are building a much larger network than he was,” Herman said. They went mostly with Nokia products for equipment like the optical network terminal installed at customer homes, he said.

Local employees

Baciu said he was frustrated by Comcast customer support being mostly limited to online chats instead of phone support. Prime-One has 15 local employees, mostly installers and technicians, with other employees working in customer service and operations, Herman said.

Prime-One offers phone and chat support, and “many people want to be able to see someone face to face, which is very easy for us to do since we have people here locally,” Herman said.

Network uptime has been good so far, Herman and Baciu said. “The only outage we’ve had was due to severe weather that caused a massive outage” for multiple networks, Herman said. “Any time any customers are experiencing an outage, maybe because of a lawnmower that cut their service line or anything, we guarantee a two- to four-hour time to repair it. And on top of that, to promote the fact that we discourage outages and we are working our best to fix them, we offer $5 back for every hour that they’re out of service.”

Comcast seems to have noticed, Herman said. “They’ve been calling our clients nonstop to try to come back to their service, offer them discounted rates for a five-year contract and so on,” he said.

Comcast touts upgrades, new unlimited data option

A Comcast spokesperson told Ars that “we have upgraded our network in this area and offer multi-gig speeds there, and across Michigan, as part of our national upgrade that has been rolling out.”

Meanwhile, Comcast’s controversial data caps are being phased out. With Comcast increasingly concerned about customer losses, it recently overhauled its offerings with four plans that come with unlimited data. The Comcast data caps aren’t quite dead yet because customers with caps have to switch to a new plan to get unlimited data.

Comcast told us that customers in Saline “have access to our latest plans with simple and predictable all-in pricing that includes unlimited data, Wi-Fi equipment, a line of Xfinity Mobile, and the option for a one or five-year price guarantee.”

Prime-One’s arrival on the scene caught some local people’s attention in a Reddit thread. One person who said they signed up for Prime-One wrote, “I’m honestly very impressed with the service overall. Comcast was charging me for every little thing on my account and the bill always found a way to get higher than expected, especially going over my data cap. Prime-One has no data caps and the bill has been the same since I first joined, not to mention they offer the first month free… I’m happy to see a company come out here and give us a better option.”

Comcast is facing competition from more than just Prime-One. The City of Saline government recently said there’s been an uptick in fiber construction in the city by Metronet and Frontier. Baciu said those builds don’t appear to be in the areas that Prime-One is serving. “To our knowledge, both Frontier and MetroNet have recently begun building in adjacent areas near our current footprint, but not within the zones we’re serving directly,” he said.

While Prime-One is a small ISP, Herman said the company’s expansion ambitions are bigger than he can reveal just now. “We have plans that we cannot disclose at this moment, but we do have a plan to expand,” he said.

Photo of Jon Brodkin

Jon is a Senior IT Reporter for Ars Technica. He covers the telecom industry, Federal Communications Commission rulemakings, broadband consumer affairs, court cases, and government regulation of the tech industry.

Two guys hated using Comcast, so they built their own fiber ISP Read More »

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Stung by customer losses, Comcast says all its new plans have unlimited data

The five-year guarantee would be a better deal in the long run because of the rise in price once the deal wears off. Comcast’s “everyday prices” for these plans range from $70 to $130 a month. Comcast said the one- and five-year guarantees are “available with no contracts” and that “all plans include a line of Xfinity Mobile at no additional cost for a year.”

Comcast exec: “We are not winning”

The Comcast data caps and their associated overage fees for exceeding the monthly limit have long been a major frustration for customers. Comcast has enforced the cap (currently 1.2TB a month) in most of its territory, but not in its Northeast markets where it faces competition from Verizon FiOS.

Comcast recently started offering five-year price guarantees and said it would continue adding more customer-friendly plans because of its recent struggles. After reporting a net loss of 183,000 residential broadband customers in Q1 2025, Comcast President Mike Cavanagh said during an April earnings call that “in this intensely competitive environment, we are not winning in the marketplace in a way that is commensurate with the strength of [our] network and connectivity products.”

Cavanagh said Comcast executives “identified two primary causes. One is price transparency and predictability and the other is the level of ease of doing business with us.” He said Comcast planned to simplify “our pricing construct to make our price-to-value proposition clearer to consumers across all broadband segments” and to make these changes “with the highest urgency.”

Even after the recent customer loss, Comcast had 29.19 million residential Internet customers.

Stung by customer losses, Comcast says all its new plans have unlimited data Read More »

comcast-president-bemoans-broadband-customer-losses:-“we-are-not-winning”

Comcast president bemoans broadband customer losses: “We are not winning”

Comcast executives apparently realized something that customers have known and complained about for years: The Internet provider’s prices aren’t transparent enough and rise too frequently.

This might not have mattered much to cable executives as long as the total number of subscribers met their targets. But after reporting a net loss of 183,000 residential broadband customers in Q1 2025, Comcast President Mike Cavanagh said the company isn’t “winning in the marketplace” during an earnings call today. The Q1 2025 customer loss was over three times larger than the net loss in Q1 2024.

While customers often have few viable options for broadband and the availability of alternatives varies widely by location, Comcast faces competition from fiber and fixed wireless ISPs.

“In this intensely competitive environment, we are not winning in the marketplace in a way that is commensurate with the strength of the network and connectivity products that I just described,” Cavanagh said. “[Cable division CEO] Dave [Watson] and his team have worked hard to understand the reasons for this disconnect and have identified two primary causes. One is price transparency and predictability and the other is the level of ease of doing business with us. The good news is that both are fixable and we are already underway with execution plans to address these challenges.”

The 183,000-subscriber loss lowered Comcast’s residential Internet subscribers to 29.19 million. Comcast also reported a first-quarter drop of 17,000 business broadband subscribers, lowering that category’s total to 2.45 million.

Comcast’s stock price fell 3.7 percent today even though its overall profit beat analyst expectations and domestic broadband revenue rose 1.7 percent year over year to $6.56 billion—a sign that Comcast is extracting more money from customers on average. “Analysts peppered Comcast executives with questions on Thursday regarding its Xfinity-branded broadband and mobile, and how the company will pivot the business,” CNBC wrote.

“We are simplifying our pricing”

Cavanagh said that Comcast plans to make changes in marketing and operations “with the highest urgency.” This means that “we are simplifying our pricing construct to make our price-to-value proposition clearer to consumers across all broadband segments,” he said.

Comcast last week announced a five-year price guarantee for broadband customers who sign up for a new package. Comcast said customers will get a “simple monthly price starting as low as $55 per month,” without having to enter a contract, giving them “freedom and flexibility to cancel at any time without penalty.” The five-year guarantee also comes with one year of Xfinity Mobile at no charge, Comcast said.

Comcast president bemoans broadband customer losses: “We are not winning” Read More »

cable-isps-compare-data-caps-to-food-menus:-don’t-make-us-offer-unlimited-soup

Cable ISPs compare data caps to food menus: Don’t make us offer unlimited soup

“Commenters have clearly demonstrated how fees and overage charges, unclear information about data caps, and throttling or caps in the midst of public crises such as natural disasters negatively affect consumers, especially consumers in the lowest income brackets,” the filing said.

The groups said that “many low-income households have no choice but to be limited by data caps because lower priced plan tiers, the only ones they can afford, are typically capped.” Their filing urged the FCC to take action, arguing that federal law provides “ample rulemaking authority to regulate data caps as they are an unjustified, unreasonable business practice and unreasonably discriminate against low-income individuals.”

The filing quoted a December 2023 report by nonprofit news organization Capital B about broadband access problems faced by Black Americans in rural areas. The article described Internet users such as Gloria Simmons, who had lived in Devereux, Georgia, for over 50 years.

“But as a retiree on a fixed income, it’s too expensive, she says,” the Capital B report said. “She pays $60 a month for fixed wireless Internet with AT&T. But some months, if she goes over her data usage, it’s $10 for each additional 50 gigabytes of data. If it increases, she says she’ll cancel the service, despite its convenience.”

Free Press: “inequitable burden” for low-income users

Comments filed last month by advocacy group Free Press said that some ISPs don’t impose data caps because of competition from fiber-to-the-home (FTTH) and fixed wireless services. Charter doesn’t impose caps, and Comcast has avoided caps in the Northeast US where Verizon’s un-capped FiOS fiber-to-the-home service is widely deployed, Free Press said.

“ISPs like Cox and Comcast (outside of its northeast territory) continue to show that they want their customers to use as much data as possible, so long as they pay a monthly fee for unlimited data, and/or ‘upgrade’ their service with an expensive monthly equipment rental,” Free Press wrote. “Comcast’s continued use of cap-and-fee pricing is particularly egregious because it repeatedly gloats about how robust its network is relative to others in terms of handling heavy traffic volume, and it does not impose caps in the parts of its service area where it faces more robust FTTH competition from FTTH providers.”

Cable ISPs compare data caps to food menus: Don’t make us offer unlimited soup Read More »

comcast-to-ditch-cable-tv-networks-in-partial-spinoff-of-nbcuniversal-assets

Comcast to ditch cable TV networks in partial spinoff of NBCUniversal assets

Comcast today announced plans to spin off NBCUniversal cable TV networks such as USA, CNBC, and MSNBC into a new publicly traded company. Comcast is trying to complete the spinoff in one year, effectively unwinding part of the NBCUniversal acquisition it completed in 2011.

The entities in the planned spinoff generated about $7 billion of revenue in the 12 months that ended September 30, 2024, Comcast said. But cable TV channels have become less lucrative in an industry that’s shifting to the streaming model, and the spinoff would let Comcast remove those assets from its earnings reports. Comcast’s total revenue in the 12-month period was about $123 billion.

Comcast President Mike Cavanagh said in the Q3 earnings call on October 31 that Comcast is “experiencing the effects of the transition in our video businesses and have been studying the best path forward for these assets.”

The spinoff company will be “comprised of a strong portfolio of NBCUniversal’s cable television networks, including USA Network, CNBC, MSNBC, Oxygen, E!, SYFY and Golf Channel along with complementary digital assets including Fandango and Rotten Tomatoes, GolfNow and Sports Engine,” Comcast said today.

Comcast is keeping the rest of NBCUniversal, including the Peacock streaming service and networks that provide key content for Peacock. Comcast said it will retain NBCUniversal’s “leading broadcast and streaming media properties, including NBC entertainment, sports, news and Bravo—which all power Peacock—along with Telemundo, the theme parks business and film and television studios.”

SpinCo

The new company doesn’t have a permanent name yet and is referred to as “SpinCo” in the Comcast press release. Comcast said SpinCo’s CEO will be Mark Lazarus, who is currently chairman of NBCUniversal Media Group. Anand Kini, the current CFO of NBCUniversal and EVP of Corporate Strategy at Comcast, will be CFO and COO at SpinCo.

Comcast to ditch cable TV networks in partial spinoff of NBCUniversal assets Read More »

call-of-duty:-black-ops-6-accounted-for-19%-of-comcast-internet-traffic-last-week

Call of Duty: Black Ops 6 accounted for 19% of Comcast Internet traffic last week

You might think that since Call of Duty: Black Ops 6 (which was released last Friday) is the 21st game in the franchise, it wouldn’t be that highly anticipated. You’d be wrong. Last week’s entry set multiple records when it launched.

Specifically, Microsoft CEO Satya Nadella said the game set new records for Game Pass subscribers, particularly for a first-day game launch. That’s, of course, to be expected—Call of Duty was a major reason why Microsoft acquired Activision, the longtime publisher of the series.

It gets a little zanier, though. The Internet service provider Comcast says Black Ops 6 was directly responsible for 19 percent of its overall traffic the week of the launch, according to a report in The Verge.

That’s partly due to the game’s popularity, but it can also be attributed to its huge file size. A full install of Black Ops 6 can take up to just over 100GB, depending on your platform—and possibly as much as 300GB if you also install game modes tied to the previous entries in the series, like the immensely popular battle royale Warzone. That will wreak havoc on users’ data caps; Comcast imposes a 1.2TB monthly cap in many states.

Call of Duty: Black Ops 6 accounted for 19% of Comcast Internet traffic last week Read More »

bleeding-subscribers,-cable-companies-force-their-way-into-streaming

Bleeding subscribers, cable companies force their way into streaming

Enter NOW TV Latino —

Companies like Charter brought about the streaming industry they now want to join.

A person's hand aiming a cable TV remote control at a TV screen

Getty Images | stefanamer

It’s clear that streaming services are the present and future of video distribution. But that doesn’t mean that cable companies are ready to give up on your monthly dollars.

A sign of this is Comcast, the US’ second-biggest cable company, debuting a new streaming service today. Comcast already had an offering that let subscribers stream its Xfinity cable live channels and access some titles on demand. NOW TV Latino differs in being a separate, additional streaming service that people can subscribe to independently of Xfinity cable for $10 per month.

However, unlike streaming services like Netflix or Max, you can only subscribe to NOW TV Latino if Xfinity is sold in your area. NOW TV Latino subscriptions include the ability to stream live TV from Spanish-language channels that Xfinity offers, like Sony Cine and ViendoMovies. And because Comcast owns NBCUniversal, people who subscribe to NOW TV Latino get a free subscription to Peacock with commercials, which usually costs $6/month.

From cable to streaming

In addition to NOW TV Latino, recent Comcast efforts to stay relevant in a TV and movie distribution world dominated by online streaming has centered on bundling. As streaming giants like Netflix struggle with customer churn, bundling is the current favored tactic to keep customers subscribed for longer.

Comcast is selling NOW TV Latino as a separate service, but it’s truly a Peacock bundle. The cable giant is also selling the streaming service bundled with its cable service or with its recently released streaming bundle that combines Comcast’s Peacock with Netflix, Apple TV+, and ads for $15/month.

While popular for streaming service providers, cable companies were some of the pioneers of the bundling strategy, which can overwhelm customers with confusing rates and services that some may not need. As Comcast CEO Brian Roberts said in May while announcing the aforementioned Peacock/Netflix/AppleTV+ bundle: “We’ve been bundling video successfully and creatively for 60 years, and so this is the latest iteration of that.”

Bleeding customers

The cable industry has been in a nose-dive for years. Comcast’s Q1 2024 earnings report showed its cable business losing 487,000 subscribers. The cable giant ended 2022 with 16,142,000 subscribers; in January, it had 13,600,000.

Charter, the only US cable company bigger than Comcast, is rapidly losing pay-TV subscribers, too. In its Q1 2024 earnings report, Charter reported losing 405,000 subscribers, including business accounts. It ended 2022 with 15,147,000 subscribers; at the end of March, it had 13,717,000.

And, like Comcast, Charter is looking to streaming bundles to keep its pay-TV business alive and to compete with the likes of YouTube TV and Hulu With Live TV.

In April, Charter also announced a Spanish language-focused streaming service, but in traditional cable fashion, one must subscribe to Charter’s Spectrum Internet to be able to subscribe (TV Stream Latino is $25/month). Charter also sells the ability to stream live TV from some of the channels that its cable service has.

In 2022, Charter and Comcast formed a joint venture, Xumo, that focuses on streaming but includes cable industry spins, like set-top boxes. The companies are even trying to get a piece of the money made from smart TV operating systems (OSes), with budget brands such as Hisense now selling TVs with Xumo OS.

It’s a curious time, as cable TV providers scramble to be part of an industry created in reaction to business practices that many customers viewed as anti-consumer. Meanwhile, the streaming industry is adopting some of these same practices, like commercials and incessant price hikes, to establish profitability. And some smaller streaming players say it’s nearly impossible to compete as the streaming industry’s top players are taking form and, in some cases, collaborating.

But after decades of discouraging many subscribers with few alternatives, it will be hard for former or current cable customers to view firms like Comcast and Charter as trustworthy competitive streaming providers.

Bleeding subscribers, cable companies force their way into streaming Read More »

comcast’s-streaming-bundle-is-$15/month-for-netflix,-peacock,-apple-tv+,-and-ads

Comcast’s streaming bundle is $15/month for Netflix, Peacock, Apple TV+, and ads

Triple play (with ads) —

It’s $25 or $10 cheaper than separate subs, but note the plans you’re getting.

Xfinity log on a tablet, with fossil rocks, glasses, and a notepad on the desk beside it.

Enlarge / Comcast/Xfinity’s new bundle of streaming services harkens back to a much earlier era.

Getty Images

Disaggregation is so 2010s, so Comcast, facing intense pressure from streaming services, is bringing back the old bundle-it-up playbook. Its previously announced bundle of Netflix, Peacock, and Apple TV+, only to Comcast/Xfinity cable or broadband subscribers, will cost $15 per month. It’s a big discount on paper, but the fine print needs reading.

The “StreamSaver” bundle is considered a “companion to broadband,” Comcast’s CEO David Watson said at a conference today, according to Reuters. It cuts more than 30 percent off the separate price of certain tiers of each service and can be bundled with Comcast’s own “NOW TV,” which has 40 other cable channels streaming. The service is due out May 29 in the US.

Take note that Comcast’s bundle gives you Netflix’s “Standard with ads” plan (which also locks you in at “Full HD” resolution and two devices), Peacock’s “Premium” (which also has ads), and Apple TV+, which has made some recent moves toward an advertising infusion. The things that people liked about streaming—being able to pick and choose TV and movie catalogs, pay to avoid advertisements, and not be beholden to their cable company for entertainment—are effectively countered by StreamSaver. The lines get blurrier, and the prices go up.

If you were already set on paying for the cheapest versions of each service and don’t mind not being able to cancel any one of them once you’re tired of it, $15 is indeed a savings. Doing the math earlier this month, Ars’ Scharon Harding totaled up all three networks at $39.47 per month with no advertising, or $24.97 per month with ads.

Tacking streaming services onto your Comcast subscription would help the company out, as would signing up, especially for StreamSaver. Comcast lost nearly 500,000 cable TV subscribers in Q1 2024, down to 13.6 million subscribers, compared to 16.1 million at the end of 2022. Peacock, the streaming service it owns, has not made money since its 2020 launch and lost $2.7 billion in 2023.

Comcast’s streaming bundle is $15/month for Netflix, Peacock, Apple TV+, and ads Read More »

cable-tv-providers-ruined-cable—now-they’re-coming-for-streaming

Cable TV providers ruined cable—now they’re coming for streaming

Cable 2.0 —

Comcast wants to tie its cable/Internet to your streaming subscriptions.

Cable TV providers ruined cable—now they’re coming for streaming

In an ironic twist, cable TV and Internet provider Comcast has announced that it, too, will sell a bundle of video-streaming services for a discounted price. The announcement comes as Comcast has been rapidly losing cable TV subscribers to streaming services and seeks to bring the same type of bundling that originally drew people away from cable to streaming.

Starting on an unspecified date this month, the bundle, called Streamsaver, will offer Peacock, which Comcast owns, Apple TV+, and Netflix to people who subscribe to Comcast’s cable TV and/or broadband. Comcast already offers Netflix or Apple TV+ as add-ons to its cable TV, but Streamsaver expands Comcast’s streaming-related bundling efforts.

Comcast didn’t say how much the streaming bundle would cost, but CEO Brian Roberts said that it will “come at a vastly reduced price to anything in the market today” when announcing the bundle on Tuesday at MoffettNathanson’s 2024 Media, Internet and Communications Conference in New York, per Variety. If we factor in Peacock’s upcoming price hike, subscribing to Apple TV+, Netflix, and Peacock separately would cost $39.47 per month without ads, or $24.97/month with ads.

According to Roberts, Comcast is hoping that the upcoming package will help Comcast “add value to consumers” and “take some of the dollars out of” other streaming businesses.

For subscribers, the more immediate effect is the continuing and rapid blurring of the lines between cable and streaming services. And Comcast knows that.

As Roberts notes: “We’ve been bundling video successfully and creatively for 60 years, and so this is the latest iteration of that.”

Comcast is hemorrhaging subscribers

Last month, Comcast said it lost 487,000 cable TV subscribers in Q1 2024. It ended the quarter with 13,600,000 subscribers, compared to 14,106,000 at the end of 2023 and 16,142,000 at the end of 2022.

Comcast’s broadband subscriber base also decreased from 32,253,000 at the end of 2023 to 32,188,000.

Peacock, Comcast’s flagship streaming service, hasn’t made any money since launching in 2020 and lost $2.7 billion in 2023. However, in April, Comcast said that Peacock’s Q1 losses lessened from $704 million in Q1 2023 to $639 million in Q1 2024.

It’s worth noting that in January, Comcast raised prices for its cable and Internet services by 3 percent, blaming the price hikes on broadband investments and an increase in programming costs.

Déjà vu

One of the common reasons people abandoned cable TV were bundled packages that forced people to pay for services, like phone or Internet, or channels that they didn’t want. Now, Comcast is looking to save its shrinking subscriber base by bundling its cable TV or Internet service with some of its biggest competitors. Like streaming services, Comcast is hoping that bundling its products will deter people from canceling their subscriptions since they’re tied to each other.

Subscriber churn is also a problem in the streaming industry. Antenna, a subscription analyst company, estimates that around 25 percent of video-streaming subscribers in the US have canceled at least three such subscriptions in the last two years. These high-churn subscribers represent around 40 percent of new subscriptions and cancellations last year, Antenna told The New York Times in April.

But Comcast’s announcement hints at déjà vu as Comcast blatantly seeks to re-create the cable bundle or triple-play package using the very streaming services that are eating away at Comcast’s cable business. Ironically, Comcast is seeking to bandage a declining business by feeding some of the biggest contributors to that decline, using the same tactics that drove many customers away in the first place.

We’re expected to hear a lot more about bundled services. Last month, we learned that a Disney+, Hulu, and Max bundle would be released this summer, for example. And there’s already a lengthy list of streaming bundle packages available from third parties like Verizon and T-Mobile.

But for people who left cable to avoid overloaded bundled packages and to get away from companies like Comcast, which group cable TV or Internet with streaming services that often raise prices, limit show and movie availability and features, and increasingly focus on ads, it just isn’t worth the monthly savings.

Cable TV providers ruined cable—now they’re coming for streaming Read More »

all-the-ways-streaming-services-are-aggravating-their-subscribers-this-week

All the ways streaming services are aggravating their subscribers this week

man watching TV, holding face

Streaming services like Netflix and Peacock have already found multiple ways to aggravate paying subscribers this week.

The streaming industry has been heating up. As media giants rush to establish a successful video streaming business, they often make platform changes that test subscribers’ patience and the value of streaming.

Below is a look at the most exasperating news from streaming services from this week. The scale of this article demonstrates how fast and frequently disappointing streaming news arises. Coincidentally, as we wrote this article, another price hike was announced.

We’ll also examine each streaming platform’s financial status to get an idea of what these companies are thinking (spoiler: They’re thinking about money).

Peacock’s raising prices

For the second time in the past year, NBCUniversal is bumping the price of Peacock, per The Hollywood Reporter (THR) on Monday.

As of July 18, if you try to sign up for Peacock Premium (which has ads), it’ll cost $7.99 per month, up from $5.99/month today. Premium Plus, (which doesn’t have ads), will go up from $11.99/month to $13.99/month. Annual subscription pricing for the ad plan is increasing 33.3 percent from $59.99 to $79.99, and the ad-free annual plan’s price will rise 16.7 percent from $119.99/year to $139.99/year.

Those already subscribed to Peacock won’t see the changes until August 17, six days after the closing ceremony of the 2024 Summer Olympics, which will stream on Peacock.

The pricing changes will begin eight days before the Olympics’ opening ceremony. That means that in the days leading up to the sporting event, signing up for Peacock will cost more than ever. That said, there’s still time to sign up Peacock for its current pricing.

As noted by THR, the changes come as NBCUniversal may feel more confident about its streaming service, which now includes big-ticket items, like exclusive NFL games and Oppenheimer (which Peacock streamed exclusively for a time), in addition to new features for the Olympics, like multiview.

Some outspoken subscribers, though, aren’t placated.

“Just when I was starting to like the service,” Reddit user MarkB1997 said in response to the news. “I’ll echo what everyone has been saying for a while now, but these services are pricing themselves out of the market.”

Peacock subscribers already experienced a price increase on August 17, 2023. At the time, Peacock’s Premium pricing went from $4.99/month to $5.99/month, and the Premium Plus tier from $9.99/month to $11.99/month.

Peacock’s pockets

Peacock’s price bumps appear to be a way for the younger streaming service to inch closer to profitability amid a major, quadrennial, global event.

NBCUniversal parent company Comcast released its Q1 2024 earnings report last week, showing that Peacock, which launched in July 2020, remains unprofitable. For the quarter, Peacock lost $639 million, compared to $825 million in Q4 2023 and $704 million in Q1 2023. Losses were largely attributed to higher programming costs.

Peacock’s paid subscriber count is lower than some of its rivals. The platform ended the quarter with 34 million paid users, up from 31 million at the end of 2023. Revenue also rose, with the platform pulling in $1.1 billion, representing a 54 percent boost compared to the prior year.

Sony bumps Crunchyroll prices weeks after shuttering Funimation

Today, Sony’s anime streaming service Crunchyroll announced that it’s increasing subscription prices as follows:

  • The Mega Fan Tier, which allows streaming on up to four devices simultaneously, will go from $9.99/month to $11.99/month
  • The Ultimate Fan Tier, which allows streaming on up to six devices simultaneously, will go from $14.99/month to $15.99/month

Crunchyroll’s cheapest plan ($7.99/month) remains unchanged. None of Crunchyroll’s subscription plans have ads. Crunchyroll’s also adding discounts to its store for each subscription tier, but this is no solace for those who don’t shop there on a monthly basis or at all.

The news of higher prices comes about a month after Sony shuttered Funimation, an anime streaming service it acquired in 2017. After buying Crunchyroll in 2021, Funimation was somewhat redundant for Sony. And now that Sony has converted all remaining Funimation accounts into Crunchyroll accounts (while deleting Funimation digital libraries), it’s forcing many customers to pay more to watch their favorite anime.

A user going by BioMountain on Crunchyroll said the news is “not great,” since they weren’t “a big fan of having to switch from Funimation to begin with, especially since that app was so much better” than Crunchyroll.

Interestingly, when Anime News Network asked on February 29 whether Crunchyroll would see prices rise over the next two years, the company told the publication that predicting a price change for that time frame would be improbable.

Crunching numbers

Crunchyroll had 5 million paid subscribers in 2021 but touted over 13 million in January, (plus over 89 million unpaid users, per Bloomberg). Crunchyroll president Rahul Purini has said that Crunchyroll is profitable, but not by how much.

In 2023, Goldman Sachs estimated that Crunchyroll would represent 36 percent of Sony Pictures Entertainment’s profit by 2028, compared to about 1 percent in March.

However, Purini has shown interest in growing the company further and noted to Variety in February an increase in “general entertainment” companies getting into anime.

Still, anime remains a more niche entertainment category, and Crunchyroll is more specialized than some other streaming platforms. With Sony making it so that anime fans have one less streaming service option and jacking up the prices for one of the limited options, it’s showing that it wants as much of the $20 billion anime market as possible.

Crunchyroll claimed today that its pricing changes are tied to “investment in more anime, additional services like music and games, and additional subscriber benefits.”

All the ways streaming services are aggravating their subscribers this week Read More »

xfinity-waited-13-days-to-patch-critical-citrix-bleed-0-day.-now-it’s-paying-the-price

Xfinity waited 13 days to patch critical Citrix Bleed 0-day. Now it’s paying the price

MORE CITRIX BLEED CASUALTIES —

Data for almost 36 million customers now in the hands of unknown hackers.

A parked Comcast service van with the

Enlarge / A Comcast Xfinity service van in San Ramon, California on February 25, 2020.

Getty Images | Smith Collection/Gado

Comcast waited 13 days to patch its network against a high-severity vulnerability, a lapse that allowed hackers to make off with password data and other sensitive information belonging to 36 million Xfinity customers.

The breach, which was carried out by exploiting a vulnerability in network hardware sold by Citrix, gave hackers access to usernames and cryptographically hashed passwords for 35.9 million Xfinity customers, the cable TV and Internet provider said in a notification filed Monday with the Maine attorney general’s office. Citrix disclosed the vulnerability and issued a patch on October 10. Eight days later, researchers reported that the vulnerability, tracked as CVE-2023-4966 and by the name Citrix Bleed, had been under active exploitation since August. Comcast didn’t patch its network until October 23, 13 days after a patch became available and five days after the report of the in-the-wild attacks exploiting it.

“However, we subsequently discovered that prior to mitigation, between October 16 and October 19, 2023, there was unauthorized access to some of our internal systems that we concluded was a result of this vulnerability,” an accompanying notice stated. “We notified federal law enforcement and conducted an investigation into the nature and scope of the incident. On November 16, 2023, it was determined that information was likely acquired.”

Comcast is still investigating precisely what data the attackers obtained. So far, Monday’s disclosure said, information known to have been taken includes usernames and hashed passwords, names, contact information, the last four digits of social security numbers, dates of birth, and/or secret questions and answers. Xfinity is Comcast’s cable television and Internet division.

Citrix Bleed has emerged as one of the year’s most severe and widely exploited vulnerabilities, with a severity rating of 9.4 out of 10. The vulnerability, residing in Citrix’s NetScaler Application Delivery Controller and NetScaler Gateway, can be exploited without any authentication or privileges on affected networks. Exploits disclose session tokens, which the hardware assigns to devices that have already successfully provided login credentials. Possession of the tokens allows hackers to override any multi-factor authentication in use and log into the device.

Other companies that have been hacked through Citrix Bleed include Boeing; Toyota; DP World Australia, a branch of the Dubai-based logistics company DP World; Industrial and Commercial Bank of China; and law firm Allen & Overy.

The name Citrix Bleed is an allusion to Heartbleed, a different critical information disclosure zero-day that turned the Internet on its head in 2014. That vulnerability, which resided in the OpenSSL code library, came under mass exploitation and allowed the pilfering of passwords, encryption keys, banking credentials, and all kinds of other sensitive information. Citrix Bleed hasn’t been as dire because fewer vulnerable devices are in use.

A sweep of the most active ransomware sites didn’t turn up any claims of responsibility for the hack of the Comcast network. An Xfinity representative said in an email that the company has yet to receive any ransom demands, and investigators aren’t aware of any customer data being leaked or of any attacks on affected customers.

Comcast is requiring Xfinity customers to reset their passwords to protect against the possibility that attackers can crack the stolen hashes. The company is also encouraging customers to enable two-factor authentication. The representative declined to say why company admins didn’t patch sooner.

Xfinity waited 13 days to patch critical Citrix Bleed 0-day. Now it’s paying the price Read More »