Improved Network Performance and Reliability Drive Satisfaction With Residential TV and ISP Providers, as More Households Connect Digitally

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1 Improved Network Performance and Reliability Drive Satisfaction With Residential TV and ISP Providers, as More Households Connect Digitally WESTLAKE VILLAGE, Calif: 24 September 2015 Scores for network performance and reliability have improved, the number of U.S. households connected to digital service has grown and satisfaction has increased across wireline offerings, according to three U.S. wireline studies released today: the J.D. Power 2015 U.S. Residential Television Service Provider Satisfaction Study SM ; the J.D. Power 2015 U.S. Residential Internet Service Provider Satisfaction Study SM ; and the J.D. Power 2015 U.S. Residential Telephone Service Provider Satisfaction Study. SM For information about the three studies, visit: The annual wireline studies evaluate residential customers experiences with TV, Internet and phone services in four regions: East, South, North Central and West. The ISP and telephone studies measure customer satisfaction across five factors: network performance and reliability; cost of service; billing; communication; and customer service. The TV study measures satisfaction in those same five factors plus another one, programming. Satisfaction is calculated on a 1,000-point scale. In 2015, 25 percent of U.S. households with Internet service report having a fiber optic connection, which may also provide TV and Internet service, a 5 percentage point increase from 2013 (20%). At the same time, overall satisfaction with these wireline services has increased as well. For example, customer satisfaction with television service has increased by a significant 24 points to 723 in 2015 from 699 in The main reason for the overall increase has been a 39-point rise in satisfaction in the network performance and reliability factor during the period. The ability to provide a high-quality experience with all wireline services is paramount, as performance and reliability is the most critical driver of overall satisfaction, said Kirk Parsons, senior director and technology, media & telecom practice leader at J.D. Power. The fact that households continue to choose to upgrade their wireline connection to digital service is a testament to its improved performance and benefits, such as higher quality video and faster Internet speeds. According to Parsons, as expectations regarding usage, performance quality and reliability continue to evolve, companies that understand these dynamics will be better positioned to provide a more satisfying customer experience, which can lead to higher levels of overall satisfaction and higher rates of retention, advocacy and return on investment. (Page 1 of 3)

2 KEY FINDINGS Residential Television Service Provider Satisfaction Study DIRECTV (771) ranks highest in TV customer satisfaction in the East region; AT&T U-verse and DIRECTV (750) rank highest (in a tie) in the North Central region; Verizon FiOS (777) ranks highest in the South region; and DISH Network (761) ranks highest in the West region. Overall satisfaction with television service providers has increased by 12 points to 723 in 2015 from 711 in Satisfaction with network performance and reliability has improved to 765 in 2015, an increase of 22 points from This follows a 17-point increase between 2014 and Fifty-three percent of highly satisfied residential television customers (overall satisfaction scores of 900 or higher) say they definitely will not switch providers in the next 12 months, compared with only 10 percent of dissatisfied customers (scores below 550) who say the same. Residential Internet Service Provider Satisfaction Study Verizon ranks highest in ISP customer satisfaction in the East (738), South (749) and West (731) regions; AT&T (726) ranks highest in the North Central region. Satisfaction with network performance and reliability has improved to 716 in 2015, an increase of 16 points in The percentage of customers who purchase premium speed Internet has increased considerably in 2015 to 37 percent from 27 percent in Additionally, network performance and reliability satisfaction among customers with premium speed Internet is 751 vs. 695 among those without premium speed Internet. Half (50%) of highly satisfied residential Internet customers (overall satisfaction scores of 900 or higher) say they definitely will not switch providers in the next 12 months, compared with only 9 percent of dissatisfied customers (scores below 550) who say the same. Residential Telephone Service Provider Satisfaction Study AT&T ranks highest in telephone customer satisfaction in the North Central and West regions (758 each); Verizon ranks highest in the East (769) and South (773) regions. At the national level, satisfaction with network performance and reliability is 789, up from 754 in Half (50%) of highly satisfied residential telephone customers (overall satisfaction scores of 900 or higher) say they definitely will not switch providers in the next 12 months, compared with only 10 percent of dissatisfied customers (scores below 550) who say the same. The 2015 U.S. wireline studies are based on responses from 30,947 customers nationwide who evaluated their cable/satellite TV, high-speed Internet and telephone service providers. The studies were fielded in four waves: November 2014, February 2015, April 2015 and July Media Relations Contacts John Tews; Troy, Mich.; ; About J.D. Power and Advertising/Promotional Rules About McGraw Hill Financial

3 # # # (Page 3 of 3) Note: Thirteen charts follow.

4 2015 U.S. Residential Television Service Provider Satisfaction Study SM East Region DIRECTV 771 DISH Network 757 Verizon FiOS 756 EAST AVERAGE 721 Optimum (Cablevision) Source: J.D. Power 2015 U.S. Residential Television Service Provider Satisfaction Study SM

5 2015 U.S. Residential Television Service Provider Satisfaction Study SM North Central Region AT&T U-verse 750 DIRECTV 750 DISH Network 735 WOW! (Wide Open West) 721 NORTH CENTRAL AVERAGE Source: J.D. Power 2015 U.S. Residential Television Service Provider Satisfaction Study SM

6 2015 U.S. Residential Television Service Provider Satisfaction Study SM South Region Verizon FiOS 777 AT&T U-verse 763 DISH Network 758 DIRECTV 750 SOUTH AVERAGE Bright House Networks Suddenlink Source: J.D. Power 2015 U.S. Residential Television Service Provider Satisfaction Study SM

7 2015 U.S. Residential Television Service Provider Satisfaction Study SM West Region DISH Network 761 DIRECTV 760 AT&T U-verse 756 Verizon FiOS 754 CenturyLink 729 WEST AVERAGE Source: J.D. Power 2015 U.S. Residential Television Service Provider Satisfaction Study SM

8 2015 U.S. Residential Internet Service Provider Satisfaction Study SM East Region Verizon EAST AVERAGE 700 Optimum (Cablevision) Note: AT&T and Frontier Communications (formerly AT&T) are included in the study and regional averages but not ranked due to recent acquisition of AT&T wireline services in the East region Source: J.D. Power 2015 U.S. Residential Internet Service Provider Satisfaction Study SM

9 2015 U.S. Residential Internet Service Provider Satisfaction Study SM North Central Region AT&T 726 WOW!(Wide Open West) 697 NORTH CENTRAL AVERAGE Frontier Communications 635 Source: J.D. Power 2015 U.S. Residential Internet Service Provider Satisfaction Study SM

10 2015 U.S. Residential Internet Service Provider Satisfaction Study SM South Region Verizon 749 AT&T SOUTH AVERAGE 705 Suddenlink Bright House Networks CenturyLink Windstream 635 Source: J.D. Power 2015 U.S. Residential Internet Service Provider Satisfaction Study SM

11 2015 U.S. Residential Internet Service Provider Satisfaction Study SM West Region Verizon 731 AT&T WEST AVERAGE 689 CenturyLink Frontier Communications 639 Source: J.D. Power 2015 U.S. Residential Internet Service Provider Satisfaction Study SM

12 2015 U.S. Residential Telephone Service Provider Satisfaction Study SM East Region Verizon 769 EAST AVERAGE Optimum (Cablevision) Frontier Communications 684 Note: AT&T and Frontier Communications (formerly AT&T) are included in the study and regional averages but not ranked due to recent acquisition of AT&T wireline services in the East region Source: J.D. Power 2015 U.S. Residential Telephone Service Provider Satisfaction Study SM

13 2015 U.S. Residential Telephone Service Provider Satisfaction Study SM North Central Region AT&T 758 WOW! (Wide Open West) 747 CenturyLink 740 NORTH CENTRAL AVERAGE Frontier Communications Note: Verizon is included in the study and regional averages but not ranked in the North Central region due to insufficient sample Source: J.D. Power 2015 U.S. Residential Telephone Service Provider Satisfaction Study SM

14 2015 U.S. Residential Telephone Service Provider Satisfaction Study SM South Region Verizon 773 AT&T 765 SOUTH AVERAGE Bright House Networks 734 CenturyLink Windstream Source: J.D. Power 2015 U.S. Residential Telephone Service Provider Satisfaction Study SM

15 2015 U.S. Residential Telephone Service Provider Satisfaction Study SM West Region AT&T 758 Verizon WEST AVERAGE 740 CenturyLink Source: J.D. Power 2015 U.S. Residential Telephone Service Provider Satisfaction Study SM

16 2015 U.S. Residential Television Service Provider Satisfaction Study SM ; J.D. Power 2015 U.S. Residential Internet Service Provider Satisfaction Study SM ; J.D. Power 2015 U.S. Residential Telephone Service Provider Satisfaction Study SM Award-Eligible Telecom Providers Included in the Studies Company Name CEO Name Company Address AT&T, Inc. Randall Stephenson Dallas, Texas Bright House Networks, LLC Steve Miron East Syracuse, N.Y. Cablevision Systems Corporation James Dolan Bethpage, N.Y. CenturyLink, Inc. Glen Post Monroe, La., Inc. Thomas Rutledge Stamford, Conn. Comcast Corporation Brian Roberts Philadelphia, Pa., Inc. Patrick Esser Atlanta, Ga. Dish Network Corp. Charles Ergen Englewood, Colo. Frontier Communications Corporation Daniel McCarthy Norwalk, Conn. Suddenlink Communications Jerald Kent St. Louis, Mo. Inc. Robert Marcus New York, N.Y. Verizon Communications Inc. Lowell McAdam New York, N.Y. WideOpenWest Networks, LLC Steven Cochran Englewood, Colo. Windstream Communications, LLC Anthony Thomas Little Rock, Ark. Source: J.D. Power 2015 U.S. Residential Television Service Provider Satisfaction Study SM ; J.D. Power 2015 U.S. Residential Internet Service Provider Satisfaction Study SM ; J.D. Power 2015 U.S. Residential Telephone Service Provider Satisfaction Study SM

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