(Nov. 20, 2014) The Mediacom stranglehold on Ocean Pines became one of the sole sources of contention during an otherwise smooth General Manager meeting on Nov. 13.
The problem dates back nearly four decades, when the community signed a 15-year exclusive contract with Triad CATV, Inc. in 1978 with options that could have extended the run through 2003. In 1992, the company was assigned to Simmons Cable and then acquired by American Cable TV. Five years later the contract was transferred to Mediacom and amended, creating a new 15-year deal with a single five-year option.
Mediacom replaced the existing cable television infrastructure as part of the deal, upgrading to fiber optic systems and allowing for more channels and the addition of internet services. The community also received video equipment and training used to establish cable channel 78, which now broadcasts board meetings.
Ocean Pines President Dave Stevens wrote a Mediacom Fact Sheet published on Oct. 4, 2009 stating, “It seems likely that Mediacom will continue to be our cable service provider at least until 2013 and more likely through 2018.” At the time Stevens speculated that new technology could make the current systems obsolete, but representatives from companies like Verizon, “indicate that they be five years away from making an investment in a market of our size.”
Several Ocean Pines residents came early to the meeting, held in the Recreation Center, and snagged front-row seats solely to ask about the ongoing status of the Mediacom contract.
General Manager Bob Thompson said the company, “came in and did a major infrastructure investment in the community at a time when there were no other people trying to get into it.”
Thompson said the current contact runs through 2015 with an, “automatic five-year extension.”
Residents, in turn, complained about phone, internet and cable service provided by Mediacom.
“I called them last Sunday, they told me they couldn’t have anybody out until the following Monday – nine days until somebody would come out,” one resident said. “How do you allow us to have a company like that?”
Mediacom does have an exclusive contract for cable television services, but Ocean Pines does not have restrictions on satellite dish-based services including DirecTV and Dish Network. Additionally, residents are not required to purchase phone or internet bundles through Mediacom.
Board Director Bill Cordwell said the association is using the lessons learned in dealing with Mediacom during its ongoing negotiations with Sandpiper Energy.
“We don’t want to be stuck in another Mediacom situation where Mediacom controls all the cards,” he said. “The only way we can do something with Mediacom is if another company would come in and completely buy all the infrastructure, so they pretty much control everything.”
Although he was displeased with the cable monopoly, Cordwell did admit the company had made progress.
“I think they’ve come a long way in the last couple years,” he said. “In the last two hurricanes we had we never lost any service – we never lost TV service, we never lost internet service. Five or six years ago with Mediacom a 10-mile an hour wind and they were out for two or three days. Mediacom used to be horrible, horrible, horrible.
“They’ve come a long way, I believe, with service,” Cordwell continued. “Would I like to see more competition? Yeah. But we’re pretty much stuck with it.”
Stevens said he could not remember going to a town hall in Ocean Pines without hearing complaints about Mediacom.
“The history is on the webpage,” he said. “I wrote it five or so years ago because I was tired of all the questions. I’d say, ‘go read the webpage.’”
Stevens concurred with Cordwell that any new prospective cable company would have to purchase the existing infrastructure in order to take over.
“People just can’t understand. ‘What do you mean you can’t do anything about it?’” he said. “We’ve never heard of anybody who has come in and said, ‘look, Mediacom really stinks. We can do a much better job and we want to take this thing over.’”
The community launched a Communications Advisory Committee five years ago, and the group arranged a meeting with executives from Verizon in order to inquire about their FIOS cable, internet and phone service.
“Verizon basically said, ‘we’re not really interested in doing that,’” Stevens said. “I don’t think we’ll see FIOS in the next five years. It’s all economic. Aside from this little pocket in Ocean Pines we’re an extremely rural county.”
The real head scratcher, Stevens said, was why Ocean Pines residents continued to purchase additional services from Mediacom.
“If you really think Mediacom is that bad why in the world would you buy that bundle?” he said. “A lot of people are going to [cellphones] and Dish and DirecTV, all of which have problems. Those are alternatives – what you can’t get is another cable TV company.”
Stevens said he did extensive research into the Mediacom contract five years ago, but has not revisited the issue since.
“Once I got past the point that it’s not going to change then I stopped going back and reading the contract,” he said. “My private view is Mediacom ain’t all that bad. We have them for cable TV and we have them for internet, and if my internet goes down it just takes a phone call to get it back. I’ve not had any lingering difficulties with them.”
The problem dates back nearly four decades, when the community signed a 15-year exclusive contract with Triad CATV, Inc. in 1978 with options that could have extended the run through 2003. In 1992, the company was assigned to Simmons Cable and then acquired by American Cable TV. Five years later the contract was transferred to Mediacom and amended, creating a new 15-year deal with a single five-year option.
Mediacom replaced the existing cable television infrastructure as part of the deal, upgrading to fiber optic systems and allowing for more channels and the addition of internet services. The community also received video equipment and training used to establish cable channel 78, which now broadcasts board meetings.
Ocean Pines President Dave Stevens wrote a Mediacom Fact Sheet published on Oct. 4, 2009 stating, “It seems likely that Mediacom will continue to be our cable service provider at least until 2013 and more likely through 2018.” At the time Stevens speculated that new technology could make the current systems obsolete, but representatives from companies like Verizon, “indicate that they be five years away from making an investment in a market of our size.”
Several Ocean Pines residents came early to the meeting, held in the Recreation Center, and snagged front-row seats solely to ask about the ongoing status of the Mediacom contract.
General Manager Bob Thompson said the company, “came in and did a major infrastructure investment in the community at a time when there were no other people trying to get into it.”
Thompson said the current contact runs through 2015 with an, “automatic five-year extension.”
Residents, in turn, complained about phone, internet and cable service provided by Mediacom.
“I called them last Sunday, they told me they couldn’t have anybody out until the following Monday – nine days until somebody would come out,” one resident said. “How do you allow us to have a company like that?”
Mediacom does have an exclusive contract for cable television services, but Ocean Pines does not have restrictions on satellite dish-based services including DirecTV and Dish Network. Additionally, residents are not required to purchase phone or internet bundles through Mediacom.
Board Director Bill Cordwell said the association is using the lessons learned in dealing with Mediacom during its ongoing negotiations with Sandpiper Energy.
“We don’t want to be stuck in another Mediacom situation where Mediacom controls all the cards,” he said. “The only way we can do something with Mediacom is if another company would come in and completely buy all the infrastructure, so they pretty much control everything.”
Although he was displeased with the cable monopoly, Cordwell did admit the company had made progress.
“I think they’ve come a long way in the last couple years,” he said. “In the last two hurricanes we had we never lost any service – we never lost TV service, we never lost internet service. Five or six years ago with Mediacom a 10-mile an hour wind and they were out for two or three days. Mediacom used to be horrible, horrible, horrible.
“They’ve come a long way, I believe, with service,” Cordwell continued. “Would I like to see more competition? Yeah. But we’re pretty much stuck with it.”
Stevens said he could not remember going to a town hall in Ocean Pines without hearing complaints about Mediacom.
“The history is on the webpage,” he said. “I wrote it five or so years ago because I was tired of all the questions. I’d say, ‘go read the webpage.’”
Stevens concurred with Cordwell that any new prospective cable company would have to purchase the existing infrastructure in order to take over.
“People just can’t understand. ‘What do you mean you can’t do anything about it?’” he said. “We’ve never heard of anybody who has come in and said, ‘look, Mediacom really stinks. We can do a much better job and we want to take this thing over.’”
The community launched a Communications Advisory Committee five years ago, and the group arranged a meeting with executives from Verizon in order to inquire about their FIOS cable, internet and phone service.
“Verizon basically said, ‘we’re not really interested in doing that,’” Stevens said. “I don’t think we’ll see FIOS in the next five years. It’s all economic. Aside from this little pocket in Ocean Pines we’re an extremely rural county.”
The real head scratcher, Stevens said, was why Ocean Pines residents continued to purchase additional services from Mediacom.
“If you really think Mediacom is that bad why in the world would you buy that bundle?” he said. “A lot of people are going to [cellphones] and Dish and DirecTV, all of which have problems. Those are alternatives – what you can’t get is another cable TV company.”
Stevens said he did extensive research into the Mediacom contract five years ago, but has not revisited the issue since.
“Once I got past the point that it’s not going to change then I stopped going back and reading the contract,” he said. “My private view is Mediacom ain’t all that bad. We have them for cable TV and we have them for internet, and if my internet goes down it just takes a phone call to get it back. I’ve not had any lingering difficulties with them.”