), the largest cable TV operator in the U.S., has decided to
deploy SIP trunking to offer VoIP (voice-over IP) based services
nationwide by the end of 2014.
The small and mid-sized business (SMB) segment has become a
huge growth opportunity for the cable TV industry. Significant
improvement in business data and video traffic is expected to act
as a future growth catalyst for the industry.
Comcast is gradually shifting focus from the small-sized
business segment to the mid-sized business segment. Offering VoIP
service will help the company target large business
establishments. Earlier, the company acquired privately held VoIP
service provider New Global Telecom and privately held local
exchange carrier Cimco Communications.
The advanced technologies of these companies coupled with
Comcast's high-speed Internet and Ethernet networks will help the
company offer industry leading VoIP service to large
Major cable TV operators like Comcast and
Time Warner Cable Inc.
) are extensively exploring opportunities in this segment to
counter competition from fiber-based video offerings by telecom
Verizon Communications Inc.
). Comcast currently has a Zacks Rank #2 (Buy).
Currently, the market size of the U.S. Business Services
segment is approximately $8 billion. Various industry researches
estimate that the SMB segment will offer a market opportunity
worth $20 billion to $30 billion. During the first nine months of
2013, Comcast and Time Warner Cable generated $2,365 million (up
26.8% year over year) and $1,696 million (22.4% year over year),
For full-year 2013, Comcast is expected to generate more than
$3 billion revenues and Time Warner Cable is likely to generate
nearly $2.5 billion revenues from Business Services
COMCAST CORP A (CMCSA): Free Stock Analysis
AT&T INC (T): Free Stock Analysis Report
TIME WARNER CAB (TWC): Free Stock Analysis
VERIZON COMM (VZ): Free Stock Analysis Report
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