How CATV Survive in the Era of Convergence?

The purpose of this paper is to analyze the case of the U.S. Pivot and to suggest an appropriate model including entry strategies and success factors for QPS of Cable TV. The telecommunication companies have been operating QPS including IPTV service, which enables them to cross over broadcasting areas. Due to this circumstance, the Cable TV operators are now concerned and are planning to add QPS with the mobile service. Based on the Porter's five forces model, an analytical framework has been proposed to MVNO in Cable TV industry in the United States. As a result of this study, MVNO in Cable TV industry has to have a clear killer application with their sufficient contents. Subsequently, the direction of the future Cable TV industry is proposed.

Authors:

• J. Park
• J. Song
• B. Lee

Keywords:

• CATV
• MVNO
• Pivot
• QPS

References:

[1] OECD, "Telecommunications and Broadcasting Convergence or
Collision?," Paris: OECD, 1992.
[2] S. Kim;, Y. Kim;, K. Park;, S. Park;, and Y. Shim, Convergenc
2.0 and Business: Samsung Economic Research Institute, 2007.
[3] TelecomKorea, "Go to QPS, even though market is ambiguos,"
in Telecom Korea, 2008.
[4] S. Lee; and I. Lee, "Study on the competition of Multi-cahnnel
Pay Broadcasting Markets," 2005.
[5] W. Kim, "Competitive effect on the ownership structure and the
introduction of IPTV," Industrial Organization Research vol.
15, p. 37, 2007.
[6] FierceWireless, "Comcast CEO on killer apps for Pivot," in
FierceWireless: The Fiercemarkets Network, 2007.
[7] M. E. Porter, Competitive Strategy. New York: Free Press, 1980.
[8] C. W. L. Hill and G. R. Jones, Strategic Management Theory:
An Integrated Approach, 6 ed. Boston: Houghton Mifflin
Company, 2004.
[9] P. Xavier, "Licensing of Third Generation (3G) Mobile: Briefing
Paper," in ITU Workshop on licensing 3G Mobile Geneva, 2001.
[10] inCode, "Growing the Mobile Voice Market- Turning Intense
Competition into Mobile Operator Advantage," inCode
Telecom, 2004.
[11] FCC, "Annual Report and Analysis of Competitive Market
Conditions With Respect to Commercial Mobile Services," 12
ed, F. C. Commission, Ed. Washington, 2008.
[12] T. Storsul and P. Sorgaard, "US Mobile Operators and their
Content Services," Telenor R&D Research Note2006.
[13] S. Lee, "Analysis of MVNO in Europe," Korea Information
Society Development Institute, vol. 15, 2003.
[14] S. Argelich, J. Moitry, M. Keeley, and H. Sekino, "Who will
survive the telecom convergence?," Diamond Cluster2005.
[15] G. Fleishman, "Sprint, Clearwire Join for WiMax Venture." vol.
2008: PC World, 2008.
[16] M. Sloan, "No Wireless Network? No Problem," Accenture
Communications & High Tech group, 2003.