Mediacom Communications plans to have a gigabit-ready network across its 22-state footprint by the end of the year, based on DOCSIS 3.1. Both the C100G Converged Cable Access Platform (CCAP) from Casa Systems and the Cisco (NASDAQ:CSCO) cBR-8 next-gen CCAP are part of the DOCSIS 3.1 infrastructure upgrade, being undertaken by the fifth largest cable operator in the United States.
While Thomas Larsen, Mediacom's SVP of government and public relations, couldn't specify the split between Casa and Cisco equipment in the system, he did say that using dual vendors is a common practice for Mediacom.
"We have always tried to hedge so that we have the comfort that we know where the products are going to be when we need them. It also helps to have competition in the market," Larsen said.
Mediacom launched DOCSIS 3.0 in Missouri last year and has gained some experience offering a gigabit Internet product there, as well as experience with channel bonding. The company's service area in that state has been moved to a DOCSIS 3.1 platform. What is holding up widespread introduction of gigabit is not the network, but the availability of DOCSIS 3.1 modems, Larsen said.
"Quantities (of modems) are limiting at this point," Larsen said. "If we rolled out our footprint (to gigabit) by the end of the year, we wouldn't have the modems available. We wanted to have a slower market rollout so we can meet demand."
No schedule has been announced, although Larsen said that the first will be the largest state.
Des Moines, IA, is the largest metro area that Mediacom serves, and Iowa is the state in which Mediacom has invested the most in technology, Phyllis Peters, a company spokesperson told The Des Moines Registerearlier this year.
"We want a big splash in January," Larsen said. "We may move up (our rollout schedule) depending on the modems. The network itself is ready, and we could certainly launch in more markets, but want to see [in] the first market what demand is and how quickly the modems get taken up."
Larsen added that demand for gigabit is expected to be light initially. It will come mostly from gamers and those who work a lot from home.
"The (average) household doesn't need that speed just yet," Larsen said, noting that available wireless routers don't support gigabit speeds today. They are more at the 300 Mbps range.
"It will take a little bit of time - 12-24 months - before mainstream wireless routers are supporting gigabit," Larsen said. "Most people are working off WiFi. If their router is 300 Mbps, they would be leaving a lot on the table (with gigabit service)."
Pricing will not be announced until the launch in January, but Larsen said he expects it to "come down significantly" from what is currently being charged in Missouri. (Press reports indicate service there is $149.00 per month.)
"We will price the (DOCSIS 3.1) gigabit service more competitively and reasonably to try to build the demand for it," Larsen said.
Mediacom also has announced a new tiering structure. The company has eliminated its 3 Mbps to 50 Mbps service offerings. The lowest speed available will now be 60 Mbps. There will be price differentiations based on data allowance: 150 GB, 250 GB or 400 GB.
"From the company perspective, we had the lower tiers to compete with DSL. That marketing strategy is several years past its time. We don't want to compete with DSL from a speed perspective. The FCC has raised the (definition) of broadband to 25 Mbps …. We want to be a true broadband company," Larsen said.
