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Verizon tells City Council it will open center for FiOS customers
Monday, August 31, 2009

Verizon has agreed to open a local center in Pittsburgh once it gets 10,000 city customers for its FiOS-TV product, its representatives said at a City Council public hearing yesterday.

That removes one barrier to council approval of cable TV competition, which could come up for a vote next week. But concern remains about how the deal would impact Pittsburgh Community TV, or PCTV.

Verizon and city officials negotiated a 46-page pact allowing the communications giant to compete with Comcast for cable subscribers, but it must be approved by City Council.

"We know our customers. They told us what they want. They want a new alternative to cable TV," said William B. Carnahan, Verizon's vice president for external affairs.

Labor leaders and some council members, though, want a place in the city where customers can meet a Verizon representative face-to-face. The company initially balked, but is now willing to provide that.

The location for the center hasn't yet been decided, but it would likely be in a storefront-type atmosphere, with five to 10 employees who can facilitate the exchange of equipment and work out billing issues, said Verizon spokesman Lee Gierczynski.

The agreement requires that Verizon pay the city a per-customer fee -- starting at 45 cents per customer per month and rising to 90 cents by 2018 -- for educational programming. It does not, however, guarantee that any of that go toward PCTV, which is now funded with money paid to the city by Comcast.

Speaker after speaker told council that the agreement should guarantee a healthy funding stream for PCTV.

"PCTV's all about freedom, and freedom of expression," said Albert Torcaso, of Hazelwood. "If we did not have free speech, none of you would be in office."

Rich Lord can be reached at rlord@post-gazette.com or 412-263-1542.
First published on August 31, 2009 at 9:52 pm