Two years ago, Verizon said that it would no longer add communities to its FiOS network, which uses fiber optic cables that connect directly to customers’ homes. Medford is the 112th Massachusetts community to receive the service. Verizon declined to reveal subscriber numbers.
Verizon has no subscribers in the city of Boston, where officials have unsuccessfully lobbied to bring FiOS service to the city to boost competition.
The largest cable provider in Greater Boston is Comcast Corp., with 1.8 million subscribers. Some 61,000 customers in the Boston area receive cable service from RCN Corp. The area is also served by satellite services like DirecTV.
The average monthly cable bill in Boston was $65 in 2011, a $3 increase over 2010 levels, according to the city.
Although competition may help keep bills down for customers who receive premium channels like HBO or other services, it does not affect rising prices for basic cable, the minimum level of service, according to a study from the Federal Communications Commission that was released last year. The agency found that basic cable rates climbed by 6.6 percent in markets with competition, and 5.7 percent in areas without competition, in 2008, the most recent numbers in the study.
In January, Comcast said it would raise rates for basic cable by 4.9 percent, its second hike within a year. Comcast said customers receiving higher levels of service will also be paying more, with the overall average monthly bill rising 2.9 percent. The hike would not affect customers receiving promotional packages that guarantee pricing levels for a period of time.
A Comcast spokeswoman declined to comment on the launch of Medford’s FiOS service.
Mayor Michael McGlynn of Medford pushed Verizon to turn on the service even though 29 percent of the town has yet to be connected to the network.
“We have been trying for a long period of time to get competition,’’ he said. “A day doesn’t go by that I don’t get questions or calls on the issue of [cable] competition.’’
Verizon typically waits until a community is fully wired before offering the service, said Phil Santoro, a Verizon spokesman, but in this case, “We think it’s a creative way for the mayor to bring competition to a community where it’s never been before.’’
McGlynn said the cable franchise agreement with Verizon provides for negotiations to bring the service to more of the town.
