How is Cox Communications headquarterd in Atlanta but doesn't offer service there?

[Newsboy]

To clarify, both the newspaper publishimg and radio / TV operations do operate undef the umbrella of Cox Media Group but have separate management. Until recently, the newspaper and WSB bent over backward to avoid each other. The news operations are much more cooperative now but business operations have always been separate. The relationship was grandfathered in and remains pretty unique in the US. The Chicago Tribune owns WGN but WGN is not the No. 1 TV station in Chicago.

[Caleb Longstreet]

Originally Posted by VJP

Look up cable franchising and franchise agreements. Sucks, but that's how it works and you end up paying for the franchise fee anyway.

Bingo. Franchise agreements are everything. Same reason you can't have Verizon selling FIOS over AT&T U-Verse and vice versa.....if you thought deregulating traditional telecom was hard, try to imagine deregulating cable. Although, Comcast will get out of that business eventually.

The money is in the content. Cable is just a cash sucking machine....too capital and labor intensive....wanna bet that the giants get Comcast's infrastructure within 10 years? Better to make 40 percent off of 10 Billion than to try and continue to make 10 percent off of 40 billion....just too painful.....they will dump that asset sooner or later.....

Same with any other content provider.....

[readyset]

The point is that there needs to be more competition in the Atlanta metro. Right now comcast looks like a monopoly. Cox should create a substantial wireless service if infrastrucure cost are a concern, there just needs to be an alternate TV/Internet service. Right now it just looks like Cox gave up on their home metro and let the competition eat their lunch. Kind of like a political candidate not being able to win their home state, they might consider giving up all together.

[Caleb Longstreet]

Not quite as easy as one might think. Clear came, tried to conquer and for the most part and has pretty much been vanquished. Wireless networks are not just there..yet. People want the consistency and reliability of land based systems.

Land based systems while better today, cost billions to deploy. Comcast's infrastructure here in atlanta is sizeable. To replicate that, even if it were to be allowed, would be way too costly. You would be competing with a company that takes 10 cents on every dollar billed in profit to include spotlight, their tv advertising arm and their content revenues...you would have to undercutthat AND build the brand at the same time. To be sure, you sure could do things better but, it's a skinny business.

Wireless is ultimately the great equalizer but, even under that scenario, where are you going to get your content? How much do you think that costs? That is precisely why companies like Comcast are galloping, full speed, to aquire content, that is why they bought NBC.

Competition is great. Just so long as you have the mega fortunes to build, support,and bill it.