After a little more than two years in service, FiOS television service could be on its way out in Snohomish County.
Frontier Communications is giving its fiber-optic television service customers a choice: pay 50 percent more to keep the most popular FiOS service starting next month or switch
to DirecTV and get free service through the end of 2011.
The move comes as result of price increases for content, said Stephanie Beasly, spokeswoman for Frontier. With just 85,000 FiOS subscribers in Washington and Oregon, Frontier doesn’t have a large enough customer base to keep the rate hikes low.
“We’re trying to give our customers a good opportunity” with DirecTV, Beasly said. Frontier has a partnership agreement with the satellite television service.
The DirecTV package that Frontier is offering for free is comparable to the FiOS prime HD package, with more than 220 channels. That FiOS TV package will go up to $94.99 from $64.99 for customers who decide not to take the free DirecTV offer. Beginning in 2012, customers will pay about $62 monthly to keep the DirecTV package.
Customers with the basic local package will see a rate increase from $12.99 to $24.99 if they decide not to take the free DirecTV offer. Other FiOS television packages will go up on average $30 per month.
Beasly said Frontier remains committed to FiOS TV but didn’t speculate on its future if the majority of subscribers switch to DirecTV. Regardless of what happens on the television front, Frontier continues to offer FiOS high-speed Internet and phone service.
“We know our core competency is broadband,” Beasly said.
Frontier’s focus always has been on high-speed Internet and on phone service, she said. While Frontier continues to offer television, the company isn’t focused on the method of getting video to its customers, Beasly said.
Frontier’s focus differs from Verizon’s. Last year, Frontier acquired Verizon’s operations in 14 states, mostly in rural areas. It now operates from Snohomish County to the Canadian border in western Washington and also serves areas near Wenatchee, Pullman, Kennewick and Vancouver.
Over a two-year time frame, Verizon invested millions to set up its fiber-to-the-home network, all the while adding digital television offerings designed to compete with big cable TV companies.
Frontier customers who decide not to take the free DirecTV offer will see an increase in their monthly bills beginning Feb. 18. However, those customers still will have a few more months to change their minds and get free DirecTV through the end of 2011, Beasly said.
FiOS TV customers who have a 1-, 2- or 3-year agreement with Frontier won’t see an increase in their monthly bills. Those customers also are eligible to take the DirectTV offer.
Frontier’s free DirecTV offer could pose a dilemma for customers in condo and apartment complexes that prohibit the installation of satellite dishes. The company doesn’t have a different offer for those customers.
“I cannot answer what the future holds” for customers in that situation, Beasly said.
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