Why Comcast’s Stream TV Has Run into Criticism



PublicKnowledge’s complaint against Stream TV

It seems that Comcast’s (CMCSA) Stream TV has run into criticism. Early this month, PublicKnowledge, a consumer advocacy group, stated that it had filed a complaint with the FCC (Federal Communications Commission) regarding Comcast’s IP-based video offering, Stream, which is priced at $15 per month.

PublicKnowledge raised its objections to Comcast’s exclusion of Stream TV from the company’s data caps policy. PublicKnowledge also said in its complaint that it believes this violates its “NBC-Universal merger commitments and notes that the company’s behavior is inconsistent with the FCC’s Open Internet rules.”

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Comcast had said earlier that Stream TV is a streaming service that is viewed over Comcast’s Xfinity Internet—Comcast’s video, high-speed Internet, and voice service—and not over the Internet, like Netflix (NFLX). Comcast has also stated that as a result, “Stream TV data usage would not be counted towards your XFINITY Internet monthly data usage.”

Stream TV and net neutrality

Comcast also stated earlier that Stream TV could be considered as an OTT (over-the-top) service because the service is delivered over Comcast’s Xfinity Internet and not over the public Internet. As a result, Comcast argued, the service does not violate net neutrality rules because the FCC’s net neutrality rules exempt “IP-services that do not travel over broadband Internet access service.”

Comcast makes up 0.82% of the SPDR S&P 500 ETF (SPY). SPY has an exposure of 3.8% to the computers sector and holds 0.84% in The Walt Disney Company (DIS) as well as 0.32% in Time Warner (TWX).

Continue to the next part for a discussion of Sony’s Playstation Vue.


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