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April 23, 2008 5:29 PM PDT

Comcast walks away from Pivot

by Erica Ogg

Comcast said Wednesday it has changed its mind on a joint wireless communication venture with Sprint-Nextel, according to a Reuters report.

The service, called Pivot, was begun as a partnership between the cable giant, Sprint, Time Warner, Cox Communications, and Advanced/Newhouse Communications in 2006. It offered a package of services, including TV, broadband, and both a landline and wireless phone service.

"We decided to discontinue the service because the product required a lot of operational complexities, so we decided it wasn't the approach we wanted for the long term," said a Comcast spokesperson.

Well, that's one way of putting it. By the end of last year, demand was so low for Pivot they stopped marketing it. Part of the problem is that nearly 80 percent of U.S. residents already subscribe to a cell phone service. And the cable operators weren't given much freedom in pricing or packaging the Pivot service to make it enticing enough for people to switch carriers.

Comcast said its Pivot mobile customers would be switched to a similar Sprint package.

CNET News.com's Marguerite Reardon contributed to this report.

Erica Ogg is a CNET News reporter who covers Apple, HP, Dell, and other PC makers, as well as the consumer electronics industry. She's also one of the hosts of CNET News' Daily Podcast. In her non-work life, she's a history geek, a loyal Dodgers fan, and a mac-and-cheese connoisseur. E-mail Erica.
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Add a Comment (Log in or register)
does this bode well for wimax?
by gerrrg April 24, 2008 1:04 AM PDT
Geez, how long is it going to take for Clearwire and Sprint to roll out true WiMax? Hopefully this means Comcast is going to pour cash into WiMax.
Reply to this comment
What does this have to do with WiMax?
by regulator1956 April 24, 2008 8:12 AM PDT
80% already had a cell phone. Why should those 80% 1) switch or 2) tag their existing contract to Comcast?
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