RCN is trying to go after those customers just out of the range of its traditional services with a Voice Over Internet Protocol product.
“We’re intending to serve customers who are aware of RCN and call us for service, but find out they’re not reachable by our physical network,” said John Baker, vice president and general manager for Herndon-based RCN.
According to Baker, such calls happen every day, so the company is estimating the market will be a significant one.
The service, which costs $24.95 a month — less for yearly subscriptions — has the same name as RCN’s former joint venture with Pepco Holdings.
That service existed when the company filed for bankruptcy in 2004.
“We thought the Starpower name was a really good fit with this product; it was a name that we certainly had ceased using proactively,” Baker said.
The Starpower service offers 14 different features, such as directory assistance and voice mail.
RCN has been focusing on its core residential and commercial segments.
The company reported $155.7 million in revenues during the third quarter of 2007, up from $149.7 million the previous year.
“Although there has been concern about slow residential growth, we expect growth to resume in 2008,” said analyst Colby Synesael of Merriman Curhan Ford in his most recent report.
RCN has positioned itself as a “triple play” competitor since its inception, Baker said.
Right now, about two-thirds of its customers order at least two types of services, or some combination of voice, Internet and cable, from the provider.
