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Monday, October 27, 2008

Cable TV provider plans its own wireless network

NEW YORK (AP) -- Cable TV provider Cox Communications Inc. was set to announce Monday that it plans to have its own cellular network up and running next year, a move that intensifies cable's competition with phone companies.

Cox Communications appears to be the only major cable company building its own cellular network.

Cox Communications appears to be the only major cable company building its own cellular network.

Cox had signaled an interest in building a wireless network by spending $550 million on licenses to use the airwaves. But such spectrum purchases don't always lead to the building of a network, and privately held Cox hasn't previously detailed its plans.

The Atlanta-based company plans to build its own network in its cable service area, and partner with Sprint Nextel Corp. for roaming outside those areas.

Cox's spectrum licenses cover the areas around Atlanta, New Orleans, San Diego, Omaha, Neb., and Las Vegas as well as much of Kansas and southern New Mexico. Those areas have about 23 million people, said Stephen Bye, Cox's vice president of wireless.

Wireless phone service will add to Cox's video, phone and Internet services to head off competition from phone companies like AT&T Inc. and Verizon Communications Inc., which already have wireless service and are rolling out video.

Cox, which has 6 million customers, appears to be the only major cable company that is building its own cellular network right now, but it's an area where the cable industry has long been involved.

Cox itself built and operated a cellular network covering Southern California and Las Vegas in the 1990s, then sold it to Sprint in 1999. Comcast Corp., the country's largest cable company, also owned a wireless network in the '90s and had ties to Sprint.

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