It makes sense that a business would want to service areas that allow them to make the most money. I don’t think anybody would argue against that logic.
But when that same business also intentionally stalls on upgrades outside their busiest areas AND restricts competition for those same smaller markets, it tends to make the business look like a bunch of greedy douchebags.
For example, we have Windstream.
Recently, Windstream admitted that only their biggest markets would be receiving the latest IPTV initiative. Why? As Windstream’s CFO admitted, they were only going after cities where actual competition exists.
Speaking to investors during the Bank of America Merrill Lynch 2015 Leveraged Finance Conference, CFO Bob Gunderman said that it’s hard to make a business case for IPTV in rural markets.”You won’t see us do IPTV in every single one of our markets because the economics are not that attractive in the very rural locations,” Gunderman said. – FierceTelecom
On the other hand, Windstream fights to make sure that cities/states have as little competition as possible. When multiple cities in Georgia got fed up with Windstream’s dial-up speeds, they openly discussed the possibility of starting their own municipal broadband networks.
Although one would think that Windstream would spend millions upgrading these areas, Windstream instead spent the millions on politicians who thereafter passed an absurd anti-municipal broadband bill that stopped cities from having their own broadband networks.
As a number of different mayors told local newspapers, they only wanted a municipal broadband network because local ISP’s like Windstream told those cities that no upgrades were coming. Essentially, Windstream admitted that those customers living outside of the biggest markets in Georgia were stuck with their slow and unreliable speeds.
Windstream has told customers in other states the same thing….you aren’t allowed to bring in competition and are stuck with out service.
So, if you are a Windstream customer in a small market and are waiting for the next round of speed upgrades, good luck finding them for the foreseeable future.