If there’s one group the financial community hates more than cable, it’s the telcos. Just 3 weeks after Moody’s downgraded Verizon’s long- and short-term ratings, S&P piled on, reducing ratings for the telco Fri. S&P’s reasons? Verizon is spending too much, losing too many subs and has too many competitors. This time the entire telco sector was bashed, not just Verizon. S&P put BellSouth and AT&T on CreditWatch for possible downgrade for the same reasons. "The cable industry, as a whole, has a limited track record in offering telephone service, but cable companies that have launched telephony have often garnered impressive market share," S&P said. It highlighted Cablevision, which signed 20% of its TV subs and 13% of HHs passed to phone contracts in its 1st two years of service. Most of Cablevision’s phone subs came from Verizon, S&P said. What should telcos do? Concentrate on increasing DSL penetration and upgrade systems, S&P said. "S&P views the potential for significant near-term loss of telephone customers to cable as far greater than the loss of cable customers to telephone companies," it added.

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Reax to Warner Bros’ SVOD Film Deal

AT&T certainly rattled some cages yesterday with the decision to release all 17 of its 2021 Warner Bros films simultaneously on HBO Max and in theaters. AMC Theatres said it had immediately restarted

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