Comcast Targets DIRECTV With Content Package

Firing a broadside at satellite TV provider DIRECTV Group Inc. (DTV), Comcast Corp. (CMCSA) has begun offering a package that leverages its high-definition (HD) video-on-demand content assets and includes digital video recorder (DVR) service and programming from Showtime.

DIRECTV is a logical target for cablecos such as Comcast as it is, or will soon be, resold by telco TV archrivals Verizon Communications Inc. (VZ), AT&T Inc. (T) and Qwest Communications International Inc. (Q), primarily as the video element in their current triple-play bundles.

Comcast had expended huge resources building its video-on-demand (VoD) offering, which comprises free and pay movies, TV series and special events, with an increasing proportion offered in HD. It’s provided from server farms and related storage resources in the cableco’s network. DIRECTV lacks a comparable offering.

The new Comcast package does not include Internet access or VoIP, but does include Digital Cable with HD On Demand, Showtime and DVR Service for $49.99 per month for a one-year commitment. The offer is available to new residential customers until March 31.

The package also includes 45 commercial-free music channels, but, Comcast says in reference to the dishes needed to receive satellite TV, that there’s not expensive equipment to buy. The package price doesn’t include installation charges, taxes and fees.

The Comcast offering represents a focused mix of components designed to equip consumers to enjoy appointment and on-demand viewing: premium programming (Showtime), VoD in HD and DVR service.

DVR service, bought separately, costs $14.95 per month, while Showtime costs $19.95 a month. Comcast says its Starter Digital pricing ranges from $53.55 to $67.44 per month depending on location.

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