Comcast 2014 Annual Report Download - page 11

Table of Contents
coordinate and store documents online, hosted voice services that use cloud network servers, a business directory listing, and the
added capacity for multiple phone lines.
We also offer our medium-
sized business customers advanced voice services and Ethernet network services that connect multiple
locations and provide higher downstream speed options, and we offer cellular backhaul services to mobile network operators to
help those customers manage network bandwidth.
Advertising
As part of our distribution agreements with cable networks, we generally receive an allocation of scheduled advertising time on
cable networks that our Spotlight business sells to local, regional and national advertisers. In most cases, the available advertising
units are sold by our sales force. In some cases, we work with representation firms as an extension of our sales force to sell a
portion of the advertising units allocated to us. We also represent the advertising sales efforts of other multichannel video providers
in some markets. In addition, we generate revenue from the sale of advertising online and on our On Demand service.
Other Revenue Sources
We receive revenue related to cable franchise and other regulatory fees and our home security and automation services. Cable
franchise and other regulatory fees represent the fees we are required to pay to federal, state and local authorities that we pass
through to our customers. Under the terms of our cable franchise agreements, we are generally required to pay to the cable
franchising authority an amount based on our gross video revenue. Our home security and automation services provide our
customers with home monitoring services and the ability to manage other functions within the home, such as lighting and climate
control, through our XFINITY online portal or our mobile apps. We also receive revenue related to our digital media center and
commissions from electronic retailing networks.
Technology
Our cable distribution system uses a hybrid fiber-
optic and coaxial cable network that we believe is sufficiently flexible and scalable
to support our future technology requirements. This network provides the two-
way transmissions that are essential to providing
interactive video services, such as On Demand, and high-
speed Internet and voice services. We are also leveraging our network to
develop and deliver innovative services to our customers efficiently and in an accelerated fashion.
We continue to focus on technology initiatives, such as:
•
developing and launching next-
generation media and content delivery platforms, such as our X1 platform
and Cloud DVR technology that use IP technology and our own cloud network servers to deliver video
and advanced search capabilities, allow access to certain third-
party apps via the Internet and allows for
integration with our home security and automation services
•
developing and launching wireless options such as Wi-
Fi to extend our services inside and outside the
home; and deploying wireless gateways that improve the performance of multiple Internet-
enabled
devices used at the same time within the home, allow for more activity on these devices and provide
faster Internet speeds
•
developing multiple tools to recapture bandwidth and optimize our network to allow for faster Internet
speeds and capacity, including using advanced video encoding and digital compression technologies and
DOCSIS innovations, such as DOCSIS 3.1
•
developing and deploying technology and software that allow us to:
•
better identify and resolve problems with our cable services and better integrate our software with
third-party software
Comcast 2014 Annual Report on Form 10-K
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