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story category Cox Anti-Competitive Deals Questioned
Arizona regulators suggest $2 million fine
(old news - 09:11AM Tuesday Jun 27 2006)
tags: competition · cable
Arizona State utility regulators are recommending that Cox Communications be fined $2 million for arranging a special deal with a developer that prevented other phone companies from selling services in a Peoria community, reports the Associated Press. The regulators labeled the deal "discriminatory and anti-competitive" and say it violated federal and state laws promoting open competition for voice, video and data services. "We believe the recommended fine is unfounded and inappropriate, and we intend to challenge it vigorously," says Cox. We also discussed these exclusive deals last April.

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Forums » Cox Anti-Competitive Deals Questioned
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kdandaoc

join:2003-10-13
608052427

Competition.....

Not sticking up for Cox, but the telcos engage in this activity all of the time, whats the diff?

Steaven Seagal/Starr Jones in 2008
bogey780

join:2004-03-19
Covington, LA

Re: Competition.....

where?
fiberguy
My views are my own.
Premium
join:2005-05-20

Re: Competition.....

said by bogey780 See Profile :

where?
Qwest is doing the same thing in Arizona as well. They have communities where you can only get their service just like COX.

Always funny when the pot calls the kettle black. Like it was said, phone does it too.
cableguy619

join:2003-06-24
Chula Vista, CA
here in california....
bogey780

join:2004-03-19
Covington, LA

Re: Competition.....

I hadn't seen any triple play lock-outs from Bell. Didn't know they did it anywhere.

roamer1
sticking it out at you

join:2001-03-24
Atlanta, GA
clubs:
·VoicePulse Connect
·Teliax VOIP
·Speed Factory
·Cingular Wireless

Re: Competition.....

said by bogey780 See Profile :

I hadn't seen any triple play lock-outs from Bell. Didn't know they did it anywhere.
BellSouth hasn't to the best of my knowledge, even in IFITL neighborhoods (not including apartment complexes and other MDU situations, where exclusive contracts are the norm and one company doing both cable and phone isn't at all unusual.) Ditto for both SBC/at&t and Verizon. What Qwest and Cox have done in Arizona is quite unusual, and is largely enabled by peculiarities in regulations and development patterns in that state that are shared by only a few other states (mainly Texas.)

-SC
--
"it seems like all you ever buy is Abercrombie and cell phones" --a friend

TK Junk Mail
Go ahead, make my day
Premium
join:2002-03-03
Margate City, NJ
clubs:
·Comcast

said by kdandaoc See Profile :

Not sticking up for Cox, but the telcos engage in this activity all of the time, whats the diff?

Steaven Seagal/Starr Jones in 2008
Cox getting what it deserves, but a few mitigating factors might justify reducing the fine.

1st, the local government of Peoria set up the whole exclusive deal rules that the developer used with Cox.

2nd, Cox paid out $1m to settle with a small phone company.

3rd, Cox wiped the deal out when challenged by the commission.
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Tsume
My little Toby.

join:2004-02-23
Winter Park, FL
·ViaTalk
·Cox HSI

Re: Competition.....

Indeed, 2m is OBSCENE. Esp since the telcos are never punished for this bs.

Why aren't apartment complexes getting sued for signing deals only allowing one cable company there? My friend is stuck with Adelphia and would love COX, but the managers say they're stuck in a contract with Adelphia. Should be ILLEGAL.

And as far as no competition goes, I'd rather have COX and no competition than someone with zero chances of upgrading such as AT&T.
--
"True warriors do not follow paths, they make them. It is not just their desire, it is their nature." (Battletech)

roamer1
sticking it out at you

join:2001-03-24
Atlanta, GA
clubs:
·VoicePulse Connect
·Teliax VOIP
·Speed Factory
·Cingular Wireless

Re: Competition.....

said by Tsume See Profile :

Why aren't apartment complexes getting sued for signing deals only allowing one cable company there?
Because unlike the developer deals, deals with apartment complexes don't infringe upon the rights of the owners of complexes. They do affect the tenants, of course, but the interests of the owner trump those of the tenants.
My friend is stuck with Adelphia and would love COX, but the managers say they're stuck in a contract with Adelphia. Should be ILLEGAL.
That won't happen even in the absence of an exclusive contract since Adelphia and Cox don't compete. Of course, it could be worse -- even Adelphia is better than the utter crap spewed from leaky micro-headends that some apartment complexes (fewer and fewer these days, thankfully) pass off as "cable".

-SC
--
"it seems like all you ever buy is Abercrombie and cell phones" --a friend

Tsume
My little Toby.

join:2004-02-23
Winter Park, FL
·ViaTalk
·Cox HSI

Re: Competition.....

Actually, in San Diego county many areas can be served by two different (might even be three in a few areas! we've got RR, COX, and Adelphia around here) cable providers.
--
"True warriors do not follow paths, they make them. It is not just their desire, it is their nature." (Battletech)

roamer1
sticking it out at you

join:2001-03-24
Atlanta, GA
clubs:
·VoicePulse Connect
·Teliax VOIP
·Speed Factory
·Cingular Wireless

Re: Competition.....

said by Tsume See Profile :

Actually, in San Diego county many areas can be served by two different (might even be three in a few areas! we've got RR, COX, and Adelphia around here) cable providers.
Major MSOs competing with one another is highly unusual. (That said, I've heard of it happening in very isolated instances -- back before Comcast bought AT&T Broadband, in one part of Atlanta there was something like 25 houses on a street that straddles a county line that could choose from either one.)

-SC
--
"it seems like all you ever buy is Abercrombie and cell phones" --a friend

Tsume
My little Toby.

join:2004-02-23
Winter Park, FL
·ViaTalk
·Cox HSI

Re: Competition.....

There was actually a news story on our local news channel about how some areas of san diego have cable competition, which is rare in the US.
--
"True warriors do not follow paths, they make them. It is not just their desire, it is their nature." (Battletech)
GhostDoggy

join:2005-05-11
Duluth, GA
And they are also fined all of the time, too. So, what is your point, really?

Tsume
My little Toby.

join:2004-02-23
Winter Park, FL
·ViaTalk
·Cox HSI

Re: Competition.....

Actually... they really aren't.

And say they were..

Well, just add another generic recovery fee at the bill.

They don't pay the fine, the customers do.
--
"True warriors do not follow paths, they make them. It is not just their desire, it is their nature." (Battletech)
nasadude

join:2001-10-05
Rockville, MD
·Comcast

just a shady business deal

sounds like nothing more than a greedy developer cutting a deal with a (by definition) greedy cable company.

Unfortunately, they apparently tried to do this somewhere actual competition exists, where CLECs still roam the earth.

In 85% of the country, there wouldn't have been anyone to complain, because homeowners wouldn't have had a choice anyway.

roamer1
sticking it out at you

join:2001-03-24
Atlanta, GA
clubs:
·VoicePulse Connect
·Teliax VOIP
·Speed Factory
·Cingular Wireless

Re: just a shady business deal

said by nasadude See Profile :

Unfortunately, they apparently tried to do this somewhere actual competition exists, where CLECs still roam the earth.
Accipiter isn't a CLEC.

-SC
--
"it seems like all you ever buy is Abercrombie and cell phones" --a friend

rec9140
Provoice just DO it

join:2003-07-29
Mulberry, FL
·RoadRunner Cable

Should be more!

Should add a few more zeros AFTER that 2 to the tune of lets be generous and start at $200 MILLION. Cash or Bearer Bonds ONLY, please.

Business only understands one thing, $$$$, so make it HURT, REALLY HURT! And they will get the message.
--

Shrapnel64
Premium
join:2001-01-24
Hayes, VA
·Verizon Online DSL
·Cox HSI

Re: Should be more!

Make it really hurt for the company so that the rates can go up another 30% in 2 years. I don't like the way that sounds.

If they are punished for doing something like that, and are charged an astronomical fee (just to be made an example of to other companies), then it's just going to be passed on to the consumer. Where does that make any sense?
Forums » Cox Anti-Competitive Deals Questioned


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