Delaware Business Blog

Wilmington Cable, Video and Telecommunications Commission Thinks Monopoly is Fine

The Wilmington Cable, Video and Telecommunications Commission voted to recommend that City Counsel reject the franchise offer made by Verizon. If the Wilmington City Counsel goes along, it will mean the end of any chance for competition with Comcast to lower prices and improve customer service for the citizens of the City in the near future.

The objections stated by the Commission include:
• Verizon is unwilling to provide studio space, equipment and a staff for community members who want to air live community-based shows. Verizon was willing to broadcast shows that were presented in taped format.

• The company doesn’t want to guarantee that every household in the city would be wired for service within five years in the event the franchise was sold to an affiliate. Verizon insisted on remaining flexible.

• Penalty fees for not meeting the five-year wiring deadline, as well as a host of issues concerning the quality of the TV picture, were too low. The City wanted $1000 per day in penalties and Verizon offered $250 per day. Neither seems to be material.

• Customer service levels were insufficient. Many City residents argue – and are complaining loudly – that the current customer service levels provided by Comcast are “too” low.

The City Government is denying its residents the benefits of competition and it is unclear why they think they can strong arm the company in these economic times.

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