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Alameda Power & Telecom Signs Its 15,000th Subscriber.

ALAMEDA, Calif. -- Alameda Power & Telecom, the municipal electricity, cable television, and Internet services provider to the City of Alameda, California, has announced that it now has over 15,000 subscribers to its cable television and Internet services.

"This is truly a historic day in our community," said Public Utilities Board President Ann McCormick. "It's especially significant when you consider that we've increased our subscriber base by 50 percent in less than a year and a half."

The milestone officially was reached this week when the Bank of Alameda subscribed to the Alameda Power & Telecom system. Alameda Mayor Beverly Johnson added, "When two community-based businesses are able to support each other in a manner such as this, all citizens benefit."

A department of the City of Alameda, Alameda Power & Telecom has provided electric service to the community for over 118 years. In July 2001, it began offering cable television in a few neighborhoods using a fiber-optic backbone initially installed for command and control of its electric system. The high-speed Internet access service, AlamedaNET, followed in January 2002.

"While we've essentially completed construction, we're continuing to hook up new customers every day. In some neighborhoods, 40 to 50% of homes now take service from us, many more than our 30% target," McCormick continued. "Of course, we expect these numbers to go even higher as word continues to spread about what great values our cable television and Internet services are."

"Our biggest remaining challenge is gaining access to some multiple-dwelling units, apartments and condominiums, so that we can install systems that offer better service to these future customers," McCormick said. "The demand is strong, and we don't want to make our customers wait any longer than absolutely necessary for the best in cable television and Internet access. And, just as with our electric utility, we want every Alamedan to be a customer, as well as an owner."

The utility already has overcome other recent challenges, including incidents of unauthorized customer switching and aberrant price structuring. Its primary competitor, Comcast, has structured pricing unique to Alameda. While Alameda Power & Telecom service still costs significantly less, Comcast service itself costs less in Alameda than in surrounding communities. McCormick amplified, "We consider that as one of the benefits of competition. But I wonder how their customers outside of Alameda perceive this 'special pricing.'"

In closing, McCormick said, "The continued high reliability and cost-competitiveness of our telecommunications services attest to the fact that we're carefully nurturing the growth of these two still-relatively-new business lines. But at the end of the day, it's all about our customer-owners. We appreciate and applaud their commitment to buy Alameda and are proud to offer services superior to the competition."
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Publication:Business Wire
Date:Oct 18, 2005
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