Time Warner Cable 2008 Annual Report Download - page 19

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Video Services
TWC offers commercial customers a full range of video programming tiers marketed under the “Time Warner
Cable Business Class” brand. Packages are designed to meet the demands of a business environment by offering a
wide variety of video services that enable businesses to entertain customers and stay abreast of news, weather and
financial information. Similar to residential customers, commercial customers receive video services through
analog transmissions, a combination of digital and analog transmissions or, in systems where TWC has fully
deployed digital technology, digital transmissions only.
High-speed Data Services
TWC offers commercial customers a variety of high-speed data services, including Internet access, website
hosting and managed security. These services are offered to a broad range of businesses and are marketed under the
“Road Runner Business Class” brand. Commercial subscribers pay a flat monthly fee based on the level of service
received. Due to their different characteristics, commercial subscribers are charged at different rates than residential
subscribers. As of December 31, 2008, TWC had 283,000 commercial high-speed data subscribers. In addition,
TWC provides its high-speed data services to other cable operators for a fee, who in turn provide high-speed data
services to their customers.
Voice Services
Business Class Phone service includes unlimited local, intrastate and long distance in the United States,
Canada, Puerto Rico, US Virgin Islands, Guam and Saipan as well as a toll-free service for a flat monthly rate. As of
December 31, 2008, TWC had 30,000 Business Class Phone subscribers.
Commercial Networking and Transport Services
TWC provides dedicated transmission capacity on its network to customers that desire high-bandwidth
connections among locations. TWC also offers point-to-point circuits to wireless telephone providers and to other
carrier and wholesale customers. TWC’s virtual private network, or VPN, services enable customers to use IP-based
business applications for secure communications among geographically dispersed locations, while also providing
customers high-speed access to the Internet, and provide secure access to the Internet for remote users, such as
traveling employees and employees working from home or a remote location. TWC also offers a variety of Ethernet
services that are designed to provide high-speed, high-capacity connections among customers’ local area networks,
or LANs, within and between metropolitan areas.
Service Bundles
In addition to selling its services separately, TWC is focused on marketing differentiated packages of multiple
services and features, or “bundles,” for a single price. TWC offers bundled services to both its residential and
commercial customers and, increasingly, these customers subscribe to two or three of TWC’s primary services.
TWC customers who subscribe to a bundle receive a discount from the price of buying the services separately as
well as the convenience of a single monthly bill. TWC also is continuing to develop services that are available only
to customers who subscribe to a bundle. See “—Cross-platform Features” below. TWC believes that bundled
offerings increase its customers’ satisfaction with TWC, increase customer retention and encourage subscription to
additional features.
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