Charter Communications: Cable Cash Flows - [Business Breakdowns, EP. 139]

This is Matt Reustle. Today we are breaking down the cable giant Charter Communications. Tony Coniaris and John Sitarz of Harris Associates join us for this deep dive on the cable market and Charter's business. We've spent a big portion of the first half of the conversation outlining the history of cable, the asset itself, what it does differently versus some of the alternatives, and then we flash forward to how the industry is operating today.

The idea of cord cutting has become very consensus, but it's not very obvious in terms of how that actually impacts a business like Charter and its flagship product Spectrum. We go into some of the case studies that have recently occurred and then tie it all back in terms of the business model.

There's so many different lessons that you can take out here thanks to Tony and John. Please enjoy this Business Breakdown on Charter

Listen to Invest Like the Best: A Conversation with Charlie Munger & John Collison

For the full show notes, transcript, and links to the best content to learn more, check out the episode page here. 

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Show Notes

(00:04:07) - (First question) - The role of Charter Communications in daily life

(00:07:28) - Charter Communications as an infrastructure entity

(00:08:15) - Mapping the cable market landscape

(00:12:51) - Evolution of competition within the cable industry

(00:14:01) - Tracing the origins of Charter Communications

(00:19:18) - Initiating business restructuring

(00:20:20) - Exploring the capabilities of cable assets

(00:23:40) - Emerging challengers in the cable arena

(00:29:58) - Examining mobile data trends

(00:30:54) - Exploring the potential of fixed wireless access

(00:33:48) - Conducting business analysis

(00:36:10) - Assessing the impact of consumers 'cutting the cord'

(00:42:16) - Comparing internet-only customers to full cable bundle subscribers

(00:47:53) - The value of comprehensive service packages

(00:49:08) - Identifying major cost factors in the industry

(00:52:35) - Outlining the market structure for cable businesses

(00:57:16) - Anticipating potential industry risks

(00:58:03) - Understanding compute capacity and its implications

(01:01:21) - Reflecting on insights gained from Charter Communications

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