Frontier’s broadband customers
Frontier Communications’ (FTR) customer losses continued as it shed broadband and video customers. In the first quarter, on a net basis, the wireline player lost 38,000 broadband customers compared to net losses of 43,000 in the first quarter of 2018. Frontier’s broadband customers fell ~5.1% YoY to reach 3.7 million at the end of March 31.
This reduction is mainly due to the migration of Frontier’s broadband customers to top US cable operators such as Charter Communications (CHTR) and Comcast (CMCSA). Charter added 398,000 residential broadband customers in the first quarter, while Comcast added 352,000 residential broadband customers.
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Frontier’s video customers
Frontier lost a net of 61,000 video customers in the first quarter, which includes 7,000 DISH customers. However, it lost a net of 36,000 video customers in the first quarter of 2018, which includes 8,000 DISH customers. The company’s total video customers declined ~15.4% YoY to reach 1.0 million at the end of March 31. The main reason for the reduction in video customers is the growing popularity of over-the-top (or OTT) offerings such as Amazon’s Prime Video, Hulu, and Netflix.
Meanwhile, Charter and Comcast had lost 152,000 and 107,000 residential video customers in the first quarter, respectively. AT&T (T) lost a net of 544,000 traditional pay-TV customers.