TWC clearly understands that their video product is underperforming.
"Video stats were a disappointment. ...we still lost 129,000 residential video subs in the fourth quarter and that's just not acceptable. So we've got much more work to do."
So what are they going to do about it? Well, if I read the CEOs quotes correctly, they understand Navigator's shortcomings and are going to rollout a cloud based guide that requires specific hardware.
"Our customers will see a series of updates to our apps that will bring even more content and functionality to more devices. In addition, our cloud-based user interface running on IP set-top boxes and next-generation DVR's will deliver the biggest change to the video experience that our customers have experienced in a decade. These are scheduled for introduction in the second half of the year."
From the question and answer session.
John Hodulik - UBS: "Can we just get some more detail or could you elaborate on a couple of the initiatives you talked about first the rollout of the cloud-based IP guide and you talked about developing more video apps and extending those beyond the home. Can you give us a little bit more detail there and when we could see those?"
Robert D. Marcus - President and COO: "John, with respect to the cloud-based item, I guess the first thing that’s worth mentioning and we've mentioned it before is that we already have a cloud-based guide that's in front of a couple of hundred thousand customers in a couple of markets and we've had out there for a while and we've learned from it. The cloud-based guide I was referring to is what we call our hosted navigation product. It will be available back half of this year. It will work on our new IP set-top boxes. It will work on what is essentially a souped-up DVR. Some people have referred to it as a gateway device, which has a terabyte of storage, six tuners and has the ability to transcode video into IP. So, it can be consumed not only by the IP set-top boxes, but by other devices in the home. So, we're looking forward to that. I think the experience will be markedly better than the set-top box based guide experience. It will be easier navigation, more box are better search. All of the things that viewers have come to expect based on their interaction with video on the web. So, I think that's going to be a really exciting change."
John Hodulik - UBS: "First is that new guide and media guide going to be available in all your markets in the second half ?"
Glenn A. Britt - Chairman and CEO: "So, on the guide look, it will not – the guide will initially only function on these new pieces of hardware that I'm referring to. So, on one level, the proliferation of the guide will be dependent upon the rollout of the hardware. Whether or not it's available in every single market, I think it's still too early to say what the exact rollout schedule is. So, we'll give you more as the year progresses. "