TWC Pens Long-Term Deal with Starz - Analyst Blog


Time Warner Cable Inc. ( TWC ) - the second-largest cable MSO in the U.S. extended its agreement with STARZ.

The new deal will allow Time Warner Cable's subscribers to view movies and TV shows online anywhere and on any device, like smartphone, tablet and PCs. From next month, the customers will get the opportunity to watch exclusive programs from STARZ and ENCORE channels inclusive of 12 other multiplex channels.

Time Warner Cable's customers can enjoy huge collection of movies and TV shows either at home or away. Moreover, the subscribers can order for their favorite movies and TV shows through their expanded Video-on-Demand (VOD) services.

The popularity of STARZ's On Demand VOD service is on the rise as the company is also offering 3D on-demand movies to Comcast and Verizon FiOS customers.

Through Starz's Play website, the subscribers can easily stream movies and TV shows.

With the growing popularity of TV Everywhere services, Starz started offering its video streaming services through Starz Play website from Oct 8, 2012. The online service has already gained huge appeal among AT&T Inc. 's ( T ) U-verse and Verizon FIOS TV customers.

Even satellite TV and cable MSO operators like Dish Network Corp. ( DISH ), DIRECTV ( DTV ), Comcast Xfinity and Cox Communications have joined the bandwagon. So, Time Warner Cable will be the latest to join the elite group.

Hence, we believe that the launch of such innovative service offerings will not only retain subscriber base but will also drive customer growth, going forward.

Currently, Time Warner Cable has a Zacks Rank #3 (Hold).

DISH NETWORK CP (DISH): Free Stock Analysis Report

DIRECTV (DTV): Free Stock Analysis Report

AT&T INC (T): Free Stock Analysis Report

TIME WARNER CAB (TWC): Free Stock Analysis Report

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of The NASDAQ OMX Group, Inc.

This article appears in: Investing , Business , Stocks

Referenced Stocks: DISH , DTV , T , TWC , VOD

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