Illini25
04-07-07, 11:02 AM
Here's the latest Update from Insight Communications CEO Michael Willner
A Message From Insight CEO Michael Willner
Earlier this week, we announced that the Insight Midwest partnership, which is owned 50% by Insight Communications and 50% by Comcast, would be divided. You may be wondering why this is occurring and how that will affect your cable services.
First, some history – Comcast, the nation’s largest cable provider, acquired AT&T Broadband in 2002. AT&T owned a 50% interest in Insight Midwest which was included in that acquisition. AT&T Broadband had a number of passive investments in other cable companies and Comcast said publicly that these partnerships were not aligned with their longer-term strategy. As a result, Comcast and their various partners have been discussing how to divide their joint assets and our announcement was simply one of a number of these transactions. Indeed, Comcast and Time Warner split up a similar partnership by dividing the assets in a joint venture which served Houston, Kansas City and southwest Texas.
We have been talking with Comcast for quite some time about how to achieve their goal with as little disruption to customers as possible. Comcast expressed their desire to divide the cable systems. Based on their existing operations, they had a preference to own the systems that were geographically close to theirs – specifically those in northern and central Indiana and in Illinois. It was a logical division so we agreed to proceed on that basis.
We expect that the actual transition will occur no later than the end of this year. Until then we will be working closely with Comcast to ensure a smooth transition from our operations to theirs. Comcast is very experienced at transitioning newly acquired cable customers seamlessly and we expect that the transition will be very smooth and non-disruptive to you.
Before you post a lot of questions, please understand that I am posting this strictly for informational purposes because I want to keep you as informed about what is happening as possible. I cannot answer specific questions nor can I comment on the types of services Comcast will be offering in their systems when this transition is completed. However, they are an excellent cable operator with vast experience and I’m sure you will continue to enjoy your services from them.
As for Insight, I have read a few posts questioning our viability as a stand alone entity with half the customers. We will own a very compact, interconnected group of systems with great operating efficiencies. Indeed, today Insight is the 9th largest cable operator in the United States and after the split it will be the 11th largest operator. There are many, many successful cable companies serving far fewer customers than the number we will retain. We have stated publicly that we are content to continue to operate our half of the company and, in due course, will consider all of our options.
We have enjoyed serving all of our customers and I have especially valued my experience with all of you. The BBR community has been extremely informative even if it is sometimes quite challenging. Most importantly, your feedback has helped us make Insight Broadband a great choice for Internet connectivity. Sure we’ve had our bumps along the way, but to give credit where credit is due, your suggestions and comments have contributed to our improvements and success.
Finally, allow me to say that we have served all of our customers with the same care and dedication for many years. Between now and the transition of the systems going to Comcast, we will remain equally dedicated to all of you. I look forward to continuing to keep a watchful eye on your posts and making sure we’re doing the best we can for you! Thank you for your continued business.
A Message From Insight CEO Michael Willner
Earlier this week, we announced that the Insight Midwest partnership, which is owned 50% by Insight Communications and 50% by Comcast, would be divided. You may be wondering why this is occurring and how that will affect your cable services.
First, some history – Comcast, the nation’s largest cable provider, acquired AT&T Broadband in 2002. AT&T owned a 50% interest in Insight Midwest which was included in that acquisition. AT&T Broadband had a number of passive investments in other cable companies and Comcast said publicly that these partnerships were not aligned with their longer-term strategy. As a result, Comcast and their various partners have been discussing how to divide their joint assets and our announcement was simply one of a number of these transactions. Indeed, Comcast and Time Warner split up a similar partnership by dividing the assets in a joint venture which served Houston, Kansas City and southwest Texas.
We have been talking with Comcast for quite some time about how to achieve their goal with as little disruption to customers as possible. Comcast expressed their desire to divide the cable systems. Based on their existing operations, they had a preference to own the systems that were geographically close to theirs – specifically those in northern and central Indiana and in Illinois. It was a logical division so we agreed to proceed on that basis.
We expect that the actual transition will occur no later than the end of this year. Until then we will be working closely with Comcast to ensure a smooth transition from our operations to theirs. Comcast is very experienced at transitioning newly acquired cable customers seamlessly and we expect that the transition will be very smooth and non-disruptive to you.
Before you post a lot of questions, please understand that I am posting this strictly for informational purposes because I want to keep you as informed about what is happening as possible. I cannot answer specific questions nor can I comment on the types of services Comcast will be offering in their systems when this transition is completed. However, they are an excellent cable operator with vast experience and I’m sure you will continue to enjoy your services from them.
As for Insight, I have read a few posts questioning our viability as a stand alone entity with half the customers. We will own a very compact, interconnected group of systems with great operating efficiencies. Indeed, today Insight is the 9th largest cable operator in the United States and after the split it will be the 11th largest operator. There are many, many successful cable companies serving far fewer customers than the number we will retain. We have stated publicly that we are content to continue to operate our half of the company and, in due course, will consider all of our options.
We have enjoyed serving all of our customers and I have especially valued my experience with all of you. The BBR community has been extremely informative even if it is sometimes quite challenging. Most importantly, your feedback has helped us make Insight Broadband a great choice for Internet connectivity. Sure we’ve had our bumps along the way, but to give credit where credit is due, your suggestions and comments have contributed to our improvements and success.
Finally, allow me to say that we have served all of our customers with the same care and dedication for many years. Between now and the transition of the systems going to Comcast, we will remain equally dedicated to all of you. I look forward to continuing to keep a watchful eye on your posts and making sure we’re doing the best we can for you! Thank you for your continued business.