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In the interest of speed and timeliness, this story is fed directly from the Associated Press newswire and may contain spelling or grammatical errors.

Cable operators seek Spanish-speaking subscribers

Friday October 03, 2003
By BILL BERGSTROM
AP Business Writer

PHILADELPHIA (AP) From Cine Latino to MTV en Espanol, Comcast Corp. is offering new packages of Spanish-language programming to sign up subscribers in growing Hispanic communities who have tended to put up satellite dishes to pull in familiar programs from home.

Similar packages are being offered across the industry as cable companies go after what analysts say is an underserved market.

Comcast, the nation's largest cable company, rolled out Cable Latino packages in May in top Hispanic markets including Los Angeles, San Francisco and central California, Albuquerque, Atlanta, Boston, Chicago, Dallas, Denver and Miami. Other areas have followed, including Baltimore in August and Philadelphia in September.

``We launched the package to give them the best possible way of keeping a lifeline not only to the Hispanic market here but also back home, to connect with their heritage and what's important in their lives,'' said Mauro Panzera, senior director of multicultural marketing at Philadelphia-based Comcast.

Comcast already had two Spanish language channels, Telemundo and Univision.

But Hispanic residents have relied on satellite systems such as Dish Network's Dish Latino for more options, including stations from Mexico and Colombia, CNN en Espanol and Fox Sports en Espanol, said Ricardo Hurtado, editor of the Spanish language weekly El Sol in Philadelphia.

``Fox Sports is a huge channel for soccer European soccer and South American soccer,'' Hurtado said. He said the Spanish language movie channel Cine Latino also was in demand.

The new Comcast package includes Fox Sports en Espanol, CNN en Espanol and Cine Latino as well as Spanish language versions of other channels from Discovery to Toon Disney. Subscribers also get 13 Spanish-language music channels.

With about 3 million Hispanic households in Comcast's market areas, Panzera said, ``It's one of the top initiatives of the company.''

That's also the case at other cable companies eyeing huge numbers of potential subscribers who speak Spanish. With nearly 39 million residents, Hispanics are the nation's largest minority group, making up 13.5 percent of the population.

``In some ways this is all of the media industry playing catch-up, in realizing this tremendous and underserved market. It's far too big to be perceived as a niche market,'' said Kevin Calabrese, an analyst for Argus Research.

The second-largest cable television company, Time Warner Cable, offers Hispanic programming packages in 20 of its 31 systems, said Keith Cocozza, a company spokesman. Time Warner's DTV en Espanol package in New York City includes 15 Spanish language or Hispanic theme news, sports, movie and other channels.

Cablevision Systems Corp. announced a new service in July offering 30 channels including Chilean, Colombian and Canal Zone stations and news, sports, movie and cooking channels to its New York area customers. Cablevision already carried the Galavision, Telemundo, Univision and TeleFutura Spanish language networks.

The Hispanic packages are on digital cable, so they also help the companies with the goal of signing up, or upgrading, more subscribers to digital. ``It's a way to gain customers and retain customers,'' Cocozza said.

Panzera declined to give subscriber numbers for Cable Latino. ``It's still very new,'' he said. But he said tens of thousands are signing up, about half new subscribers and half current subscribers upgrading their service.

Satellite television companies remain better suited to cater to smaller ethnic and cultural groups because they are centrally organized, while cable companies are made up of separate systems with offerings that vary in different markets, Bernstein analyst Craig Moffett said.

``The cable operators have an advantage in serving any market defined geographically,'' Moffett said. ``Satellite has a strategic advantage in aggregating niches that are national in scope Arabic language or Russian language or Korean language groups, for example that may not be large enough in any one area to warrant a cable operator allocating capacity.''

Comcast is finding some other groups to target in certain markets, Panzera said.

``In the (San Francisco) Bay Area, one of most diverse markets, we already have launched non-Hispanic ethnic packages for example a couple of offerings for Asian-Americans and in Boston we have offerings for some European communities,'' he said.

In January, Comcast is launching TV One, a new network being developed in partnership with the Radio One network for black viewers in the 25-to-54 age bracket.

Like the Hispanic offerings, Calabrese said, ``It's also an outgrowth of the rise in the amount of content and the number of channels targeted toward that market.''

^ =

On the Net:

Comcast: http://www.comcast.com


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