Dickey Rural Telephone Cooperative (DRN) was one of the first in North Dakota to complete its Fiber-to-the-Home project. They are now in the process of upgrading their video service with the MG-TV Streaming solution from Innovative Systems.
DRN operates in 28 exchanges across seven counties in North Dakota and two counties in South Dakota. Jeff Goehring, Network Operations and Video Specialist, confirmed competition and a commitment to their cooperative members are key reasons for continuing to offer video services.
After choosing Innovative Systems as their provider for the customer video experience, Goehring notes the support has met their expectations based on the vendor’s extensive experience with conversions over the years. Goehring adds, “We believe it is very important to follow advice and guidance from Innovative, and it has worked well for us.”
DRN Video Roadmap
The DRN roadmap aims to transition all video customers to MG-TV Live Streaming while offering the IS-5045W6 Set-Top Box (STB) for those who prefer the traditional viewing experience. They have decided not to include any STBs in the monthly service fee, instead charging $14.95 per month for each one. According to Goehring, some customers are currently paying for up to four STBs in their homes. For price-sensitive consumers, it presents a good opportunity to transition them to devices like Roku, Firestick, and iOS devices that are compatible with the Live Streaming service.
Keeping Video Profitable
The return on investment for the STB is approximately 18 months. DRN is treating video services like a traditional business by pricing its offerings for profitability. They implement annual rate increases and inform clients that, while platform costs remain stable, rising content costs are the primary reason for these rate hikes.