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Forums » Qwest a 'Sitting Duck' » "Wait and see"
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Qwest VDSL »
« They have already lost the rural & commercial Markets  
ricep5
Premium
join:2000-08-07
Jacksonville, FL
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Re: "Wait and see"

Qwest has significant debt. They would have to merge with another entity to get that debt redone.

Verizon sold a lot of bonds to build FiOS and the short termers have been griping ever since. So I can't see Qwest taking on anything more.

Qwest would probably LOVE to build out advanced services but they chose to take on that debt load when they leveraged themselves to buy US West.

That means they must take an incremental approach to where the capital dollars are spent and watch how the market shakes out. There are few ways for Qwest to be able to fund a new service offering with the debt they carry; (w/o selling out)

- Sell a service region
- Eliminate other services
- Reduce costs farther than normal
- Raise prices
permalink · 2007-06-19 16:01:02 · Print · Reply to this
dmconwa

join:2007-04-19
Albuquerque, NM

Re: "Wait and see"

Honestly I would prefer to see Qwest focus on higher internet speeds and keeping the DirecTV partnership intact. They will never be able to put a product together as well built as DirecTV does currently, and with Sunday ticket and the boom in HD they should be able to swing a lot of customers their way in the next couple years if they can keep pace speed wise with cable companies.

A mix of FTTN and ADSL2+ is already out there. The FTTN can handle 50meg, and from what I've heard the ADSL2+ can handle about 25meg. I think they would be in good shape for a long period of time in their region if they focused the bandwidth to internet use and continued to work with DirecTV for their bundle. I don't think the cost would justify the means in their case to offer their own TV product.
permalink · 2007-06-19 19:28:19 · Print · Reply to this
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« They have already lost the rural & commercial Markets  

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