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(April 7, 2005) — The long-running battle over your phone, Internet and television dollars entered a new phase Wednesday as Frontier announced a deal with Dish Network to offer bundled phone, Internet and television service.
The new deal means Frontier and Time Warner of Rochester will go head-to-head in yet another market segment.
The service, called Frontier Connections, offers high-speed DSL Internet, phone and a choice of 60, 120, or 180 channels of DISH Network service.
"Many customers have asked us to add a video service," said Maggie Wilderotter, chief executive of Frontier's parent company, Citizens Communications Inc., who announced the deal in Rochester. "They tell us they're tired of cable rate increases."
Charles Ergen, chief executive of Dish Network's parent company, Echostar Communications Corp., joined Wilderotter at the announcement.
"What we've done here is taken the best video product and bundled it with the best phone product and the best Internet product," Ergen said.
The packages carry monthly prices of .99, 4.99 and 9.99 respectively. The prices include local channels, Frontier officials said.
Customers in all 23 states served by Frontier can sign up for the service.
Frontier and Time Warner have been battling for high-speed Internet customers for several years. Their advertisements are on area airwaves, billboards and in mailboxes.
Time Warner raised the stakes in August, when it began offering a suite of digital phone service, cable and its Roadrunner high speed Internet service for one monthly price.
Time Warner Vice President Brian Wirth said his company believes its programming and services offer consumers a better value. He said since Dish Network already offers service in Rochester, Time Warner isn't expecting any surprises.
"We've done very well against that level of competition in the past and we anticipate we'll do well against that in the future," Wirth said.
Dish Network has similar bundling arrangements with phone companies in other markets. Ergen said about one-third of new subscribers opt for a bundled package in those markets.
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