Verizon has redesigned its FiOS Custom TV bundles to bring more options for its subscribers.
Verizon suggests that the latest move is not in response to deals with content partners but due to feedback from existing customers.
"For many customers, less is more - they would rather pay less and get more of the content they are actually interested in," says Tami Erwin, president of Verizon's Consumer and Mass Business group. "The original Custom TV has proven very popular since we launched it last year, and we've incorporated our customers' feedback to make the next generation of Custom TV even better with a simpler choice and a much wider variety of channels available."
The company says that even though Verizon has revamped FiOS TV, its goal remains the same: customers should pay for the content they want and not for the ones they do not want.
Subscribers will now have a choice of two new Custom TV plans. The first package is the base package called "Essentials." Previously, the package included only 35 free channels. However, with the revamped Custom TV bundle, subscribers will be able to enjoy 190 channels including NBC, Fox, CBS and Disney's ABC. However, the package will not include any sports channels.
The second package is called "Sports & More" and it includes more than 160 channels, including ESPN and some regional sports channels. The package also includes non-sports channels like the Cartoon Network.
The FiOS Custom TV package starts at $69.99 a month, where customers get FiOS Internet, digital voice services and three genre-specific add-on packages for $6 each.
In April 2015, Verizon re-packaged its traditional pay TV bundle and generated a stir with some programmers by moving several traditional pay TV base-tier channels into optional genre-specific add-on packs. The re-packaging included ESPN, which is a unit of Walt Disney Co.
ESPN was not happy with Verizon's move and sued the company, alleging breach of contract. Other content providers such as NBC Universal and Twenty-First Century Fox also pointed out that Custom TV violates their stipulated contractual obligations.
Fran Shammo, the Chief Financial Officer of Verizon, declined to comment regarding the ESPN lawsuit during the last earnings call. However, Shammo said subscribers should have the option to pay only for the content they want to view.
Verizon's FiOS has a small market in comparison to other pay TV companies such as AT&T. At the end of 2015, FiOS had just about 5.8 million video subscribers and was operating in 12 states and Washington.
Photo: Eric Hauser | Flickr
