Syracuse (WSYR-TV) - Time Warner Cable now has more competition in the local TV market.
Verizon launched FiOS in eight towns and villages Monday morning.
It is available immediately to around 50,000 households in Clay, North Syracuse, East Syracuse, Cicero, DeWitt, Salina, Camillus and Fleming. Only houses with the fiber already in place are eligible.
When Verizon approached local towns about moving in, the Town of Clay was first on the list.
“Competition is important - it makes the economy work, makes residents happy,” says Clay supervisor Damian Ulatowski.
“The monopoly cable company, in this case, Time Warner Cable, scrambles to keep up ... FiOS is a game changer,” says Verizon New York Region President Andres Irlando.
Time Warner Cable says it's been dealing with competition for years from satellite TV.
“We believe our customers have already been well-served by competition. This is just the newest, and albeit more formidable, competition,” says Time Warner Cable spokesman Jeff Unaitis.
FiOS is taking a direct hit at Time Warner Cable, touting its high-tech connection. “Unlike cable, Verizon is the only company that is delivering our service on an all-fiber network,” said Chris Creager, Verizon President and General Manager.
Unaitis doesn’t dispute that claim, but says its existing network handles all their digital needs. “We didn’t need to build a fiber network into the home. The bandwidth is more than enough to offer what we do,” he says.
Syracuse University marketing professor Dr. Tridib Mazumdar says the market may split in two: Some will stay with cable, and others will give FiOS a try. FiOS is offering a six-month deal of $79.99, but after that, the two companies have similarly-priced packages.
That leads Mazumdar to believe that prices won’t be going down in the short term.
Each company offers their own list of perks: FiOS offers 121 HD channels, a widget with Facebook and Twitter and online gaming.
Time Warner has 107-HD channels, the "Start It Over" option and caller ID on TV.
Unaitis says Time Warner requires no contract for service, while FiOS does.
They don't know when the service will be in the City of Syracuse, but Mazumdar says the fact that Verizon has a small piece of the market will benefit Time Warner Cable.
It will take up to five years for FiOS to reach all the homes in the eight towns and villages in which it is now available.
It'll likely take longer for the entire region to be linked.
Mazumdar says he expects people to wait and see how FiOS goes before making the decision to switch. He says there will eventually come a tipping point.
By the end of the month, Verizon is hoping to start service in Fayetteville and the towns of Skaneateles and Sennett.