AT&T, EBR approve TV deal

• By CHAD CALDER
• Advocate business writer
• Published: Mar 28, 2008 - Page: 1A - UPDATED: 12:25 a.m.

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AT&T and the city-parish have reached an agreement to allow the company to offer television service in East Baton Rouge Parish, adding another competitor to a market that includes cable provider Cox Communications and satellite services Dish Network and Direct TV.

The agreement, ratified by a unanimous vote by the Metro Council Wednesday night, will allow the company to begin providing Internet-based television programming along with its Internet and phone service through fiber or copper lines using a set-top box.

But AT&T spokeswoman Karen Beck said the company will not say when people can begin using the service, called AT&T U-verse, already offered in 12 states.

The city-parish will get 5 percent of AT&T’s gross revenue from subscription fees and 0.5 percent of gross revenue to support the capital costs incurred for the construction and operation of the city-parish’s public, educational and governmental channels.

The mayor’s office did not return a call for comment Thursday. The council approved the deal without comment the evening before.

The agreement, which Beck said has been in the works for about six months, is the first between a Louisiana municipality and AT&T.

Beck said while AT&T plans to pursue similar agreements with New Orleans and other cities with a home rule charter predating 1974, its next step will be to try to get a statewide franchise.

AT&T did so two years ago, but then-Gov. Kathleen Blanco vetoed the bill.

The company said House Bill No. 1009 and Senate Bill No. 422 were filed late last week and will enable AT&T to obtain a statewide franchise.

Beck said she did not know whether Gov. Bobby Jindal would be more receptive to the bill if it passes again.

She said Lafayette would be included in a statewide measure if it is passed.

The television packages, which do not require getting AT&T’s phone service, break down as follows:

• U-family starts at $44 ($69 when bundled with Internet service) and includes: up to 50 family-friendly and local channels; up to three high definition-ready receivers, one with a digital video recorder; and Video On Demand Library.
• U100 also starts at $44 ($69 when bundled with Internet service) and includes: up to 100 channels, including local; one high definition-ready receiver with a maximum of four available for a $5 monthly charge each and digital video recording capability available for $15 a month; and Video on Demand Library.
• U200 starts at $59 ($84 when bundled with Internet service) and includes: up to 200 channels, including local; up to three high definition-ready receivers, one with a digital video recorder; 48 digital music channels; and Video On Demand Library.
• U300 starts at $79 ($104 when bundled with Internet service) and includes: up to 260 channels, including local; up to three high definition-ready receivers, one with a digital video recorder; 48 digital music channels; Video On Demand Library and a movie package of more than 30 channels including Starz, Encore, Showtime, The Movie Channel and Flix. It does not include HBO or Cinemax.
• U400 starts at $99 ($124 when bundled with Internet service) and includes: up to 320 channels, including local; up to three high definition-ready receivers, one with a digital video recorder; 48 digital music channels; Video On Demand Library; and a movie package of more than 30 channels including Starz, Encore, Showtime, The Movie Channel and Flix; nine HBO channels and nine Cinemax channels; and a sports package that includes Fox College Sports, The Sportsman Channel, GolTV, HorseRacing TV and others.

A number of the packages are offered individually, and U-verse has 40 high definition channels with others planned, Beck said.

AT&T’s most recent figures show it has 231,000 U-verse TV subscribers with the service available to 7.9 million households nationwide.