Alameda Power & TelecomAn Enterprise of the City of Alameda

BROADBAND SYSTEM OPERATION

O&M Activities

• Experience counts

• Get the best available personnel

• Out-hustle your competitors every day.

• Public enterprise versus competitive business – competition will change your organization

Design, Build…Now Operate

• Develop detailed methods and procedures

• Develop training program for staff

• Customer information and billing system

O&M Activities• Installations/customer fulfillment - in-house or contractor?• Provisioning of customer premise equipment and materials• Inventory control• Traffic/dispatch - coordination of customer appointment windows• Quality control• Service calls• Plant/node certification• Routine headend and plant maintenance• FCC and franchise technical compliance • Outage response• Customer acquisition and retention (you’re now in a sales environment)• Customer service and HSD technical support 24x7/x/365• Internal reporting and tracking

Personnel ExperiencePosition (and number of positions) Combined Years of Experience• Operations Manager (1) 19• Telecom Engineer 33• Operations Superintendent (1) 26• Cable Analyst (1) 17• Headend Technician (2) 36• Cable Technician II (1) 6• Cable Technician III (3) 50• Data Technician (2) 15• Senior Data Technician (1) 1• Customer Service Representative (5) 65

= 268!

System Independence

• Post-construction network sweep and balance, and node certification

• Compliance with FCC rules, regulations, and reporting requirements

• New customer installations, traffic coordination, and equipment control

• Maintenance of and upgrades to the entire plant including the headend and network

• Interface with Internet service provider• Coordination with Marketing for customer acquisition• Coordination with Customer Service

System StandardsCATV

AlamedaTV– 7x24 customer service call center

• Live voice in 30 seconds or less

– In-house customer service call center– Overflow and after-hours call service via NorthStar– Customer service lobby– Traffic and inventory control– Monday through Saturday customer installation

and service appointments

System StandardsData

• High-speed data service (AlamedaNET):– Internet Service Provider - ParaSun Technologies

• Business plan includes in-house service beginning July 2005

– 7x24 technical support– Monday through Saturday customer appointments– Redundant Internet connection to Point of

Presence (POP)

Marketing Structureand Goals

•Unique selling proposition– 117 yrs of electric utility service– Local ownership and control– Superior Technology

•Market penetration– Neighbor-to-neighbor connection

•Market pressures and competition– Meet competitor’s specials with responsive

service and understandable pricing

Cable SubscriberAcquisition Strategy

Cable Television Customer Growth for Fiscal Years 2004 to 20086,085 New Customers

22%

41%

30%

7%

Servicable Units Main Island

Units to be Constructed Main Island

Bay Farm Island

Exclusive Bulk Agreements

Internet SubscriberAcquisition Strategy

Internet Customer Growth for Fiscal Years 2004 to 20083,462 New Customers

19%

41%

38%

2%

Servicable Units Main Island

Units to be Constructed Main Island

Bay Farm Island

Exclusive Bulk Agreements

Marketing Tools

• Direct marketing

• Events

• Affinity

• Community-based

• Promotions

• Door-to-door

New Markets

• Bay Farm Island

• Multiple dwelling units (MDUs)

• Market segmentation– Ethnic– Community– Business

New ProductDevelopment

• A-La-Carte Programming

• Basic Plus• Video-on-Demand• HDTV• International

Premium Channels• Local Programming

• Voice over Internet Protocol

• WiFi• Headend Services• Utility Services• Security• Local Advertising

Production and Insertion

Measuring Success(KPMs)

• Construction schedule and production tracking• Customer acquisition benchmarks and node penetration• Average revenue per customer• Construction rollout schedule and tracking of production• Churn (voluntary and non-pay discos, bad debt)• Daily and monthly sales data• Digital, premium, value package and Internet “take rates”• Pending and cancelled installations• Meeting on-time guarantees (service and installations)• System reliability and performance• Service calls as indicator of system reliability• Customer service telephone response statistics• Franchise compliance reporting

FCC Requirementsand Compliance

• Public file• Community ID• Aeronautical frequency

clearances• FCC rules• Franchise documentation• Form 320 - cumulative

leakage index• Repair records• Proof of performance test

data

• Customer complaints log• EEO filings• Political cablecasting records• Advertisement sponsorship

records• Children’s TV records• Must carry records• Current channel lineup

• Leased access records

Would YouDo It Again?

“When you get to the fork in the road, take it.”

Yogi Berra