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MDU firm converting to DirecTV

September 30, 2005 By Jeff Baumgartner, CED

MDU Communications International Inc. (MDUC) said it is converting many of its “bulk” private cable properties to DirecTV.

MDUC said it plans to convert those properties to DirecTV Total Choice or DirecTV Bulk/Choice Advantage (BCA), a program designed specifically for the MDU sector.

Among recent conversions is Marina City/Towers, an 800-unit “luxury condominium” high-rise in the downtown loop of Chicago. Previously, the condo offered video services via a private analog cable system that was susceptible to noise from antennas fixed on nearby skyscrapers, MDUC said.

The company has also outfitted the property’s wiring system with a two-way fiber optic system to deliver DirecTV services to tenant units.

“With the quickly changing state of technology and entertainment, most residents of premium MDU properties are becoming increasingly dissatisfied with the limitations of private cable services,” said MDUC CEO Sheldon Nelson.

MDUC also hopes to score on the bottom line. It said cable subs generate about $16 per month of revenue, versus an expected monthly average of $35 with DirecTV.

Editor’s note: Please see Karen Brown’s feature story in the October issue of CED for more information about how cable operators are adjusting their MDU strategies.

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