Charter CEO Chris Winfrey on AI's Impact and Streaming Integration in Deals
C harter Communications CEO Chris Winfrey revealed how the role of AI is changing and how it can potentially pay out on financial lines today in San Francisco at the Goldman Sachs Communacopia + Technology Conference.
"It's very tangible," Charter CEO Chris Winfrey said of AI, though he expressed concern about the inconsistent pace of its adoption. "The pace at which it is adopted, however, is really sketchy." He emphasized that what matters most is how soon AI becomes deeply integrated into operations. Charter has made equal investments in both customer-facing and internal AI applications, such as IVRs and chat interfaces, to improve frontline employee support. Winfrey stated that AI will help streamline recommendations and services, benefiting customers while reducing churn and training costs for staff.
Monetarily, Winfrey explained that Charter is already seeing service improvements and increased efficiency due to its AI investments. However, he admitted it’s challenging to precisely quantify the financial implications or predict a timeline for more significant effects.
Winfrey also referenced the company's recent multiyear deal with AMC Networks, which includes adding AMC+ free for Spectrum TV Select subscribers. This follows a similar deal with Disney, which added Disney+ to the base cable service. "It's the strategic value behind these deals that matters," said Winfrey, adding that these bundled add-ons align with the current media landscape and enhance the value proposition for customers.
Charter plans to leverage its existing assets to enhance its video and mobile services, which in turn will strengthen its broadband business. Winfrey explained that distributing video service charges along with broadband will offer consumers better value.
The company recently reported a loss of 393,000 residential pay TV subscribers in the last quarter, compared to 189,000 during the same period last year. Charter also lost 154,000 residential internet customers, partly due to the expiration of some government subsidies under the Affordable Connectivity Program. Winfrey noted that these factors would impact the company's near-term results.
