Cogeco 2015 Annual Report Download - page 15

14 COGECO CABLE INC. 2015 MD&A
Focus in fiscal 2016
We intend to grow our residential cable services by building on the success of our next-generation TiVo and leveraging our superior Internet
offering. We will continue to promote “double” and “triple play” offers given the interest of customers to bundle products.
We will continue to develop our WiFi offering through the introduction of new hotspots in key Golden Horseshoe locations in Ontario, as well as
in certain Québec communities.
We also intend to grow our business services by launching offers currently under trial, such as Ethernet over Cable ("EoC"), a low cost solution
which allows organizations operating in multiple sites to securely create a private Wide Area Network ("WAN") to interconnect their offices. We
will also offer to businesses our Online Productivity Tools, a choice of proven business applications available on a subscription basis that customers
can individually select and purchase from our Business Solutions marketplace.
We intend to continue concentrating on growing our business customer base in our operating footprint in Canada. We currently believe there are
in aggregate approximately 150,000 addressable business customers within our footprint. We intend to increase our market share of addressable
business customers by improving the effectiveness of our sales and marketing initiatives. We also intend to grow our share of the addressable
market by expanding our dedicated fibre-based connectivity network and by launching enhanced products as we allocate additional capital on a
success-based basis and commercially viable business regions.
AMERICAN CABLE SERVICES SEGMENT
Progress in fiscal 2015
Atlantic Broadband continued to offer best in class services across its markets.
Maintaining its internet superiority, Atlantic Broadband now offers residential and business Internet speeds up to 120 Mbps/10Mbps, nearly two
times faster on download speeds than what was previously available (75 Mbps/5 Mbps). For consumers, this means they can download movies
and TV shows and play online games faster than ever before.
We solidified our ability to deliver a fully integrated TV viewing experience across all screens by launching a new online portal that enables
customers to seamlessly access their favorite shows, movies and sporting events via their laptop, Mac or computer anytime, anywhere. The
portal, powered by TiVo, is the newest addition to our services that cater to the rapidly changing entertainment landscape and today’s consumer.
Furthermore, through the launch of an Android application, our TiVo customers can now stream live TV and record shows on Android phones
and tablets at home by downloading the TiVo Android application update. The updated application gives users full control of their television
experience right from their mobile device, including allowing them to easily find their favorite shows, program their DVRs and manage their
recordings.
Through an agreement with Hulu, video customers also have access to an extensive library of content directly to their advanced set-top boxes.
Customers who subscribe to Hulu are able to view Hulu’s full library of content in addition to live and on-demand TV, creating a seamless living
room viewing experience.
As part of Atlantic Broadband’s commitment to delivering every channel offered on its current lineup in HD, if available, and to provide customers
with access to the best digital quality sound and picture, 35 new HD channels were added in the Aiken, South Carolina region.
Atlantic Broadband business customers and prospects benefited from a number of initiatives in 2015 including enhancements to its Metro Ethernet
service offering for businesses looking for greater flexibility, scalability and a customizable high-performance network. This service is available
across Atlantic Broadband’s operating regions. Offered exclusively on Atlantic Broadband’s wholly owned and operated fibre network, the
company’s Metro Ethernet service is a private and highly secure Wide Area Network ("WAN") solution that enables businesses to seamlessly
extend their networks between offices and to major data centres. With speeds ranging from 10Mbps to 10Gbps, Atlantic Broadband’s Metro
Ethernet service is built to support the exploding data needs of today’s business environments without the expense or hassle of constantly adding
new equipment to existing operations.
Finally, on August 20, 2015, Atlantic Broadband completed the acquisition of substantially all of the net assets of MetroCast Connecticut. MetroCast
Connecticut network passes close to 70,000 homes and businesses across nine communities in Eastern Connecticut. At August 31, 2015,
MetroCast Connecticut served 27,256 video, 22,673 HS and 7,817 telephony customers and brings Atlantic Broadband sizeable residential and
business growth opportunities.
Focus in fiscal 2016
The principal focus for fiscal 2016 is to maximize gross margin per homes passed through residential and business customer relationship growth
across all markets, including the newly acquired Connecticut system.
Residential services growth will be achieved via continued leverage of internet speed superiority and the demand for on-demand television and
HD television channels, as well as cross-selling to existing customers to expand the number of ‘‘triple-play’’ customers. Innovation and evolution
of our video service offering will continue with a focus on the changing landscape of video and the development of Internet Protocol Television
("IPTV") solution concepts.
Business Services growth initiatives include the leveraging of data centre interconnects and Virtual Private LAN service ("VPLS") deployments
as well as the possibility of Gigabit Multi Dwelling Unit ("MDU") opportunities and network extensions to major business targets, particularly in
the Miami, Florida market.