Sunday, February 26, 2012

Comcast. Philly Come to Friendly Terms

Comcast Corp.'s Comcast Cablevision will build a two-way data-transmission network in Philadelphia for the city's police and fire departments, as part of an agreement that brought the system a new, 15-year franchise.

The city might be able to use the network to arraign criminal suspects remotely via video, saving it transportation and insurance costs.

In the negotiations, Comcast also won the temporary return of two access channels: one government channel that had only been duplicating the programming of the primary, municipally run channel; and an education outlet.

The latter will be returned to public use as a digital slot after the system's planned upgrade. The digital educational slot will allow the school district to program a closed education channel, and Comcast will retain the analog slot. Comcast has pledged a onetime contribution of $500,000 to maintain video equipment, and it will wire and equip each school with a cable modem.

Under the deal, the city can reclaim the government channel when it needs to by giving Comcast 60 days' notice.

The talks were unusual in their amity. Rather than the rancorous talks that have strained cable-city relations in other cities, Comcast completed the deal over two-and-one-half years of informal talks, two years in advance of when its franchise expires.

In other cities, such as in Chicago, local governments put operators on notice that there would be no renewals without concessions on significant issues, such as late fees. But no such ultimatums were issued in the City of Brotherly Love.

Philadelphia is Comcast's hometown, and that helped to smooth the way, local general manager Ed Pardini said.

"We have a very good Comcast operation here. No amount of good politics can overcome a lousy operation," he added.

Comcast has committed to a $21 million rebuild to a 750megahertz hybrid fiber-coaxial system, which will deliver 200 channels and better Internet access, the company said.

A spokesman for the city did not return calls for comment.

Comcast has frozen the cost of its most basic tier, in reaction to officials' concerns about the affordability of cable for senior citizens and low-income residents. The freeze - holding the broadcast-basic package to $10.68 per month - will last through March 1999, and it will benefit 6,000 customers, Comcast said.

The operator has maintained a loan fund for minority-owned businesses, which it will increase to $500,000 from its previous $250,000. Also, the system will increase its commitment to minority contractors and minority hiring under the new franchise.

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