RCN Abandons Philly Plans2/14/2001 9:36 AM Eastern
Telecommunications overbuilder RCN Corp. said Wednesday that it was giving up
its two-and-a-half-year attempt to get a cable license from the city of
RCN had proposed spending $250 million to build out a network in
Philadelphia, but it was not expected to cover the entire city, at least
RCN has already started building out some of the local suburbs, and it serves
10 communities in the metropolitan market, the Princeton, N.J.-based company
said in a press release.
'If we had stayed the course, we probably would have prevailed ultimately,'
RCN senior vice president of regulatory and government affairs Scott Burnside
said. 'Speed to market is an important factor in our business.'
John Alchin, executive vice president and treasurer for local cable incumbent
Comcast Corp., which is also headquartered in Philadelphia, expressed surprise
at the timing of the announcement.
Members of the Philadelphia City Council were expected to meet to discuss a
possible license for RCN later this month.