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Cox Communications President Pat Esser on the growth of DVRs and consumers watching programming on devices other than their televisions.
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-- tablets are proliferating and speaking of them how many of you are now be honest are now watching your favorite shows on your tablet.
Well perhaps the best drama is not playing out on TV it's in the world of cable and carrier wars and all of -- coming to the tablets but.
The zombies the Walking Dead on AMC are battling it out with DISH Network over carriage issues.
They haven't -- blacked out on -- of the show still brought in huge ratings.
Isn't the only battle Viacom you may remember went up against DirecTV -- took all Time Warner.
Right -- Cablevision is in as brutal courtroom fight -- dish where lawyers were crying and -- people but maybe the biggest enemy.
Is a new box how do you fight against this new nemesis or do you just -- -- -- asked pat -- president of Cox Communications joining us in a Fox Business exclusive.
I just -- -- to be so much more simple for cable carriers you have the better -- you have people who had to be in your area you have the cable box that was it now it's a whole different game.
Actually as it first is great to see you again our site and our national she'll -- -- and a half -- thank you for coming out.
It is an exciting time actually to be in the cable television business there was so much going on us like companies like Cox and my -- to grow this business to compete in this marketplace.
Actually -- my thirty some years of the business I can't think of a better time.
He looks so young -- Thirty years of won't listen the number one thing is consumer behavior and how -- -- are watching television or at least we should say.
How they're watching their favorite shows and in essence they're not sitting on the couch and more -- in front of the TV.
What are you doing to get back customer who's dying to and look we we have these steps that came out variety and in essence it just shows on viewing habits.
And they split it into ages thirteen to 32 or 33 to 46 us old folks right 2008 vs 2012 you see a big drop in TV viewership -- talking specifically TV and moving to other devices.
And big gains by the way DVR behavior.
So let's let's talk about a little bit was for going on is you can go back to 1997 right after the Telecom act was signed in the country.
Companies like Cox.
Made huge strides forward as we moved into the digital world watch digital video -- broadband services presidential digital telephone watch star.
Commercial business division.
And now we're on the era of another major push forward -- -- CIP era.
And what you're talking about is things like this device I have an -- -- -- corporate now bringing products and services to the tablet and our customers home.
If you're Cox customer you can download and -- on the App Store on your tablet.
On and you can now watch the forty channels of video streamed anywhere in your home to your device.
They'll be ninety channels by the end of this year it -- local broadcast channels in the first quarter -- -- video on demand product in the second quarter.
A fun time to be in this business our customers love it.
Because we're sort of at the forefront of bundling back in the ninety's phone service and cable instead of just saying here here's a cable that's all we can do for you.
What are you adding now besides that you know -- looked at that DVR behavior.
More people.
Our DVR and shows I mean the numbers are just jumping -- financially DVR usage up 30% in the first two weeks of the new TV season.
It's TV when I want it not when.
ABC or NBC or fox or CBS wants you to happen it's.
Whole industry's gone away it was it's it's what I want.
What I want it and why are -- so the research coming back mark customers are telling us.
Not only -- you -- DVR through my DVR some more -- -- device throughout the first quarter with six tuners and it it -- more storage we have four times -- storage in devices were launching next year and we have today.
-- want that content available to one distribute other devices in their home we'll have the capability in 2013.
To move that kind of cut off the DVR to other devices in the home what about dishes commercial skipping copper you know that's a little bit of contrast -- what you -- -- Charlie -- probably now.
I know they've they've they wanna have it but you know that the DVR capability in a way and what are the cable guys I guess.
-- going to be more focused on selling that combination of the regular channels the video on demand over the top content and making sort of that viewer experience commensurate with all the viewing options out there well our video on demand product -- 20000 hours today.
On January will be 40000 hours and you have natural we 60000 hours we -- video on demand as industry to the American household will continue to push that forward.
The next area probably that that you've seen the most activity on in its user interfaces.
And we have user interface called Treo will launch this year it continues to expand next year with personalization.
Recommendation engines.
Now as we put a Gateway device -- home device that links the Internet to traditional cable that -- downloading apps you can start living in this virtual.
Or go quickly -- I you know we rent on time because of all the hottest.
UBS -- -- -- security what -- Q oversee breaks or that some of the other companies because -- products do for you.
We have this march for about we know we deliver life's most important connections it's a security is -- natural for Cox as we think about the and the safety people's families.
What our product does it not only can you access to be a device like your Smart -- in -- tablets.
It's cameras in your home.
Its message alerts -- email alerts it's like controls thermostat controls carbon monoxide controls because her to really.
Control what goes on to -- did you live in these little devices that are in your life can be at home and check and see if the cats eating her food PSE a -- -- you very much.
Pat S are up Cox.
