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2000 Satellite Broadcasting and Communications Association Show READ ALL ABOUT IT! PAGE 4 MDU Market Presents Big Opportunity Private cable operators are facing the business opportunity of a lifetime. That consensus was prevalent yesterday at the opening session of the multiple-dwelling unit/multihousing conference. But opportunities do not come cheaply, and DBS, multichannel, multipoint distribution services, and satellite master antenna television operators will need to be both aggressive and talented to seize the increasingly hot MDU marketplace, said David Stehlin of OnePath Networks. “Things have dramatically changed in the last few years,” Stehlin said. “The MDU segment is quickly becoming a hotbed of telecom activity.” Opportunities exist because MDU owners simply want choice beyond the market domination of the past by franchise cable operators, Stehlin said. “Today it is a new era,” he said. “Subscribers want different services, high-speed Internet and digital video." The Independent Cable & Telecommunications Association, which is pushing for closer ties between private cable operators and MDU owners, is seeking to develop new standards and service improvements from operators, said Bryan Rader of Media Works and ICTA president. While opportunities for growth in MDU markets are occurring for private cable operators, other opportunities are shrinking because of “bad blood” due to poor service and legal battles, Rader said. The SMATV operators need to “build a growing market niche and foster relationships with the [MDU] owners,” Radar said. Satellite services can make a difference and grab the MDU market from cable television by approaching it with a “sustainable business model,” Stehlin said. Such a model will include ways to drive revenues and create credibility with owners, he said. “It’s going to force a new breed of service providers and a new breed of MDU owners to take advantage of these opportunities,” Stehlin said. “They have to be talented. They have to be aggressive. They have to look far out into the future.” Participants at yesterday’s event were also cautioned to pay attention to regulatory issues that may affect their businesses. One of the biggest issues is the battle over who controls the rights to wiring inside MDUs, speakers said. TURN THE PAGE OTHER ISSUES TO LOOK FOR: Monday, July 19, 2000 Wednesday, July 21, 2000   Please direct questions about this site to general.mail@satbiznews.com q 2000 Satellite Business News Inc. All rights reserved.