FENELON FALLS, Ont. – In surprising a move that is sure to make many raise an eyebrow or two and set some industry tongues wagging, independent cable operator Cable Cable has decided the TV Everywhere video on demand option it will offer its customers is Apple TV.
The company (with about 5,000 cable customers and over 6,000 broadband customers in the Kawartha Lakes region) launched a Christmas promotion this week where triple-play customers (cable, broadband and home phone) can call to receive a free Apple TV box (regular retail price: $109). The company is not walking away from its cable channels or packages or premium channels it offers or its admittedly slim cable video on demand offerings but is just adding Apple TV as an option for customers who want access to more content on demand. “It’s our Netflix vehicle,” said Cable Cable vice-president and general manager Michael Fiorini. “We think we’re the first cable company in North America to offer this.”
He explained to Cartt.ca in an interview on Thursday there’s just no way a small company like his can afford to launch its own online video streaming service like Rogers Anyplace TV or Shaw Go, two Canadian TV Everywhere services which can mostly only be used by authenticated subscription TV customers of those huge companies. “It’s a really complicated business model for a small operator to compete with over-the-top,” said Fiorini. Simply, the company just can’t afford all the content that has already been amassed and curated by others, so why not give customers a great way to find the video they want?
So, since Apple TV allows users to access HD movies from iTunes, Netflix and YouTube (among other online content) on their television sets, Fiorini believes this promo is a no-brainer and will ensure his existing customers, even as they consume over-the-top content, remain loyal to Cable Cable since they will be watching Netflix over Cable Cable’s broadband network which was recently upgraded to DOCSIS 3.0. “This is a great reason to increase their Internet service with us,” adds Fiorini.
Plus, since the company “doesn’t believe in (broadband) caps,” he added, “customers can Netflix their face off” since all of its plans are unlimited. “The fattest pipe to the home wins, so we have to make sure it’s ours.”
Why pick Apple TV and not other technology like a Boxee or Roku? “you just can’t beat the interface,” he said. However, while Fiorini did attempt to make contact with Apple in order to purchase devices and tell them of Cable Cable’s plans, he got nowhere and so the company had to buy its stockpile of devices at retail.
We’ll keep tabs on this very interesting development, its impact on Cable Cable and its customers – and whether the idea will spread.
