Time Warner Cable

With major MSOs such as Charter Communications and Time Warner Cable posting faster growth in cable modem subscribers than video customers, many industry observers insist it's proof that consumers are cutting the cord in droves on pay TV.

Comcast, Time Warner Cable, Charter Communications and other major MSOs gained about 800,000 high-speed Internet subscribers in the first quarter, which represented 82 percent of the broadband subscriber growth they reported this time last year, Leichtman Research Group said Tuesday.

Verizon's FiOS TV was the top ranked subscription TV service in the annual American Customer Satisfaction Index released Tuesday, while Charter Communications generated the most improvement compared to last year's survey.

For more than a decade, Time Warner Cable, Charter Communications and other major MSOs have focused the bulk of their marketing efforts on selling triple-plays of subscription video, Internet and phone service to subscribers for about $90 monthly. But with demand for high-speed service outpacing sales of the industry's core pay TV product, more cable MSOs are beginning to tout broadband only options.

While traditional cable operators--namely Time Warner Cable, Charter and Cablevision--have spent years trying to lure subscribers with triple-play voice, video and data bundles, they are increasingly finding the best recipe is one that includes a broadband-only option.

After seeing subscriber growth slow in the first quarter, Dish Network said it will begin offering new customers who order its multiroom DVR a free iPad 2 next week.