Cox Web Woes Have DSL Rivals Courting Disgruntled Surfers
By ANDREW SIMONS
As Cox Communications Inc. struggles to switch users from the now-defunct @Home cable Internet service to its own system, high-speed Internet rivals are circling.
Starting this week, Pacific Bell and Verizon Communications Inc. say they plan to launch marketing drives to court customers unhappy with Cox’s cumbersome switchover. Pacific Bell, part of San Antonio-based SBC Communications Inc., and New York-based Verizon serve nearly all of Orange County’s high-speed digital subscriber line market.
“We are definitely stepping up our marketing where @Home has gone away,” said Verizon spokesman Jonathan Davies.
Cox is switching hundreds of South County cable Internet users from a system leased from Redwood City-based @Home Corp. to a newly developed internal system @Home filed for bankruptcy in September and in December decided to shut down its network, leaving Cox and other cable operators without an Internet service provider.
Atlanta-based Cox says it has mailed out hundreds of conversion kits,boxes containing software and instructions. It’s also running instructional TV spots to assist in the conversion. Even so, difficulties have tried many customers’ patience, and some have left.
“Of course there have been some challenges,” said Ayn Pillsbury of Cox’s Rancho Santa Margarita office. “But we’re dealing with them.”
Cox could lose more subscribers if the pitches of DSL providers resonate with disgruntled customers who’ve decided to stick it out thus far.
Starting this week, Pacific Bell plans to offer DSL service for $29.95 a month for the first three months, after which time it will go up to the standard $49.95 a month. Pacific Bell also plans to throw in a free modem and free activation for the service, which uses existing phone lines to deliver high-speed Internet access.
The offer is for Orange and San Diego counties only,Cox serves South OC and San Diego.
The timing for Cox’s transition couldn’t have come at a better time for Pacific Bell. In the past nine months, Pacific Bell has installed nearly 52 new facilities, called remote terminals, to bring DSL service to previously unserved OC areas. That more than doubled the number of Pacific Bell terminals in the county.
“That means 75% of Californians can get Pacific Bell DSL,” said marketing vice president Christine Sanborn.
Verizon, which serves a sliver of OC’s coastline, doesn’t have any specific deals planned in response to Cox’s issues. But officials say they plan to heavily market their DSL service in the area.
“We’re stressing the stability of Verizon,” Davies said. “Customers don’t have to worry about Verizon pulling the plug on its service and creating all those headaches.”
Small DSL resellers, such as Rancho Santa Margarita-based Ariel Communications, have seen a spike in calls from customers inquiring about competing service.
“Many of them are Cox customers,” Ariel president April Josephson said.
Even so, Josephson won’t try to poach customers away from Cox specifically. Cox provides backbone services to Ariel Communications.
“I don’t want to ruin our working relationship,” Josephson said.
Cox isn’t alone. Adelphia Communications Corp., which serves a large part of North County, had a spate of troubles when it transferred service from @Home to its own network a month or so ago.
“We experienced some problems as well,” said Penney Contos, Adelphia’s general manager for its Anaheim office. “There are still some isolated issues.”
Adelphia hasn’t seen many customers leave its service, according to Contos.
