Amid fierce competition, Philadelphia-based Comcast is among the cable and wireless providers offering price-lock guarantees to retain existing subscribers and attract new ones, writes Patience Haggin for The Wall Street Journal.
Comcast, along with Verizon and T-Mobile, promises its users steady rates for up to five years.
Cable companies face growing challenges to retain internet subscribers as mobile carriers offer more affordable 5G fixed-wireless service.
Fixed wireless has introduced competition into markets where cable companies have long relied on being the only game in town. Now the clash between the two types of providers is resulting in lower prices for subscribers.
“The cable companies went from gaining subscribers and raising rates every year to declining subscribers and giving people price locks,” said John Hodulik, a UBS analyst. “They’re seeing churn rise in their broadband subscriber base. And they’re trying to nip that in the bud.”
Comcast Xfinity went from steady subscriber growth to losses of 66,000 in 2023 and 411,000 in 2024.
“Our pricing wasn’t breaking through in the marketplace,” said Steve Croney, chief operating officer for Comcast’s connectivity and platforms business.
He noted that the new five-year price lock holds strong against telecom competitors’ offerings.
Read more about the competition between Comcast and its industry rivals in The Wall Street Journal.
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