Will Telco TV Reach the 'Hood? Posted Wed Aug 30, 2006, 9:39 AM ET

The lack of community-buildout requirements in a pending federal law has raised concerns that new TV services from AT&T and Verizon won't reach low-income households. Verizon defends its record: "We are already deploying our fiber-to-the-premises network and FiOS TV in many communities such as Irving, Texas, that have a mix of demographics or are simply not affluent," says spokesperson Sharon Cohen-Hagar. Shifting focus from income to ethnicity, figures from a variety of sources helpfully supplied by Verizon suggest that minorities are already lucrative customers for cable providers and are therefore equally attractive to nascent telco TV providers. One study cited is FOCUS: African-America from Horowitz Associates. It says African-American urban households buy $58.17 worth of cable services vs. the urban average of $54. Figures for digital cable and satellite services tell the same story. So if providers go where the money is, you just might see FiOS TV in the 'hood.

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