Netflix speeds lag for Verizon users amid dispute

Streaming speeds for Verizon FiOS customers dropped by 14% between December and January, according to Netflix

NEW YORK (CNNMoney) Having trouble streaming "House of Cards?" A stand-off involving Verizon and Netflix may be to blame.

Streaming speeds for Verizon FiOS customers dropped by 14% between December and January, according to Netflix. Meanwhile, Netflix speeds on most other Internet service providers held steady during that time period.

The slowdown comes amid a stand-off reported this week by The Wall Street Journal over whether broadband providers like Verizon (VZ, Fortune 500) and AT&T (T, Fortune 500) will charge Netflix to carry its videos.

Netflix (NFLX) relies heavily on third parties -- primarily Cogent Communications (CCOI) -- to deliver content from its servers to Internet service providers. Traditionally, broadband companies and bandwidth providers like Cogent haven't charged one another, on the assumption that traffic that flows back and forth over their networks will even out over time.

But recently, broadband companies have begun demanding payment when they feel they're being overburdened in the exchange.

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Verizon (VZ, Fortune 500) wants Netflix to pay for the enormous amounts of traffic that get sent over its FiOS network, the Journal reported. Netflix is a data hog, its streaming content sometimes making up around a third of traffic on U.S. broadband networks during peak hours.

Cogent CEO Dave Schaeffer said Verizon was "using their monopoly power to put a toll road in place."

"They're refusing to improve the connections between our network and their network," he told CNNMoney.

A Netflix spokesman declined to comment, but the company in the past has characterized the slowdown in Verizon's streaming speeds as a consequence of network congestion.

Verizon spokeswoman Linda Laughlin denied that there was any conflict with Netflix.

"Verizon continues to be open to ideas about the best ways to alleviate congestion so all customers benefit from the best quality of service possible," she said. "Verizon treats all traffic equally."

The broadband ind! ustry has been in the spotlight in recent weeks over concerns about consolidation and net neutrality, the principle that Internet service providers should avoid discriminating among various kinds of online traffic.

A federal appeals court stuck down the Federal Communication Commission's net neutrality rules last month, though the ruling did affirm the FCC's authority in principle to regulate broadband Internet service.

The FCC said Wednesday that it planned to issue new rules "to preserve Internet freedom and openness" under a legal framework that will better stand up to scrutiny in the courts. Net neutrality advocates are hopeful that the new rules will prevent broadband providers from restricting access to certain sites or imposing fees for certain web content.

Concerns about potential abuses in the industry gained additional urgency last week following news that Comcast (CCV) intends to buy Time Warner Cable (TWC, Fortune 500), a deal that would combine the two biggest cable companies in the United States.

The deal would give Comcast even more leverage over the country's marketplace for television, broadband Internet and phone services. It's likely to face significant scrutiny from federal regulators.

SPDR Gold Trust (ETF) (GLD): Is It Time To Buy Gold?

Gold is showing signs of life after a rough 2013. Is time to buy atomic number 79, or is the yellow metal just shaking out before the next leg lower? Let's see what the charts have to say using iStock's 3T technical analysis technique.

As you can see on the chart below, Au is short-term bullish, but still had another hurdle to clear before establishing long-term bullish status.

On the bullish side, the yellow metal's price and its 12 and 26-day moving averages (MA) have crossed above the 50-day benchmark. It is positive for future price movements when the MAs line up with the shortest on top and longest on the bottom.

Longer-term, Gold is still below its 200-day moving average. As a rule of thumb, it is considered long-term bullish when prices are above the 200-day mark and bearish when below.

[Related -What's the Game Changer for Gold?]

Building on our long-term view, #79's price pattern could be drawing one of two triangles. The only difference is the size.

iStock sees Gold moving up and testing the 200-day of $1,310 based on the combination of the short and long-term technical markers.

Part 2 of our 3T review shows that Gold is overbought. The price is more than three standard deviations above its normal 20-day trading range. It is a condition that can last from a day to a couple of weeks before encountering an expiration date; however, it always comes to an end with prices 1) retreating or 2) pausing for an extended period, but usually 1.

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From our experience, prices fall back to the midpoint/20-day moving average, which would put gold on $1.260 and rising. Typically, the return trip to the 20-day is a good entry point on a pullback.

[Related -SPDR Gold Trust (ETF) (GLD): Why Gold Could Stage A Big Rally In 2014]

Finally, the 5 and 25-day rate-of-change (ROC) readings are stretching out to annual highs. This is a way of measuring momentum. Current readings suggest Gold is approaching a short-term high, and could be ready to stall; which confirms T2.

Overall: based on our 3T view, gold probably test its 200-day moving average, which it is doing today, then profit taking brings the stock to the 20-day, which could be in the neighborhood of $1,270-$1,280 by the time the price gets there.

Buyers should regroup at the 20-day and make a run at the top end of the smaller triangle, putting the price close to $1,350. 

Why Sherritt International Corp. Shares Dropped Today

Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.

What: Shares of Sherritt International  (TSX: S  ) fell 12% today after the Canadian miner reported earnings.

So what: Fourth-quarter revenue dropped 17% to C$108.6 million. and Sherritt reported a loss of C$0.46 per share even after pulling out coal operations that are being sold. The quarter also included a C$466.8 million impairment for the sale of those coal assets, meaning the sale price was well above what it cost Sherritt to build them.  

Now what: Things are so bad that Sherritt's quarterly dividend is being cut from C$0.043 per share to just C$0.01, taking away most of the stock's yield. Investors have been hoping for a mining recovery for years and it just doesn't seem to be coming, even with the coal sale. I'm staying away from this stock and would wait for positive results to jump in at all.

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Where Will Netflix Go Next?

With shares of Netflix (NASDAQ:NFLX) trading around $342, is NFLX an OUTPERFORM, WAIT AND SEE, or STAY AWAY? Let's analyze the stock with the relevant sections of our CHEAT SHEET investing framework.

T = Trends for a Stock’s Movement

Netflix is an Internet subscription service that streams television shows and movies. The company's subscribers can watch unlimited television shows and movies streamed over the Internet to their televisions, computers, and mobile devices. In the United States, subscribers can also receive DVDs delivered to their homes. Netflix has revolutionized the television and movie industry with its services.

Morgan Stanley (NYSE:MS) analyst Scott Devitt on Tuesday downgraded Netflix to underweight and lowered his price target to $310 from $333. Netflix faces tougher competition from Amazon Prime Instant Video, Hulu Plus, HBO Go and other online video providers, said Devitt. Media giant Time Warner (NYSE:TWX) owns HBO. Hulu’s owners – 21st Century Fox (NASDAQ:FOXA), Walt Disney (NYSE:DIS), and Comcast (NASDAQ:CMCSA), which doesn’t have management control for regulatory reasons — took Hulu off the block this summer after exploring a sale. ”We expect the landscape for streaming video on demand (SVOD) services to grow increasingly competitive in 2014 as widespread distribution is much more easily attained and content owners become more willing to license their programming to SVOD providers,” wrote Devitt. “We think services like Amazon Prime Instant Video, HBO GO and Hulu Plus offer compelling content catalogs and may represent viable alternatives to Netflix for some consumers.”

T = Technicals on the Stock Chart Are Mixed

Netflix stock has been exploding higher in the last several years. The stock is currently pulling back and may need time to consolidate before heading higher. Analyzing the price trend and its strength can be done using key simple moving averages. What are the key moving averages? The 50-day (pink), 100-day (blue), and 200-day (yellow) simple moving averages. As seen in the daily price chart below, Netflix is trading between its rising key averages, which signals neutral price action in the near-term.

Source: Thinkorswim

Taking a look at the implied volatility (red) and implied volatility skew levels of Netflix options may help determine if investors are bullish, neutral, or bearish.

	Implied Volatility (IV)	30-Day IV Percentile	90-Day IV Percentile
Netflix options	50.8%	93%	90%

What does this mean? This means that investors or traders are buying a very significant amount of call and put options contracts as compared to the last 30 and 90 trading days.

	Put IV Skew	Call IV Skew
February Options	Average	Average
March Options	Average	Average

As of Wednesday, there is average demand from call and put buyers or sellers, all neutral over the next two months. To summarize, investors are buying a very significant amount of call and put option contracts and are leaning neutral over the next two months.

On the next page, let’s take a look at the earnings and revenue growth rates and the conclusion.

E = Earnings Are Increasing Quarter Over Quarter

Rising stock prices are often strongly correlated with rising earnings and revenue growth rates. Also, the last four quarterly earnings announcement reactions help gauge investor sentiment on Netflix’s stock. What do the last four quarterly earnings and revenue growth (Y-O-Y) figures for Netflix look like and more importantly, how did the markets like these numbers?

	2013 Q3	2013 Q2	2013 Q1	2012 Q4
Earnings Growth (Y-O-Y)	300%	345.45%	162.5%	-78.96%
Revenue Growth (Y-O-Y)	22.2%	20.23%	17.72%	7.96%
Earnings Reaction	-9.14%	-4.46%	24.28%	42.22%

Netflix has seen increasing earnings and revenue figures over the last four quarters. From these numbers, the markets have had conflicting feelings about Netflix’s recent earnings announcements.

P = Weak Relative Performance Versus Peers and Sector

How has Netflix stock done relative to its peers – Amazon (NASDAQ:AMZN), Comcast (NASDAQ:CMCSA), and Outerwall (NASDAQ:OUTR) — and sector?

	Netflix	Amazon	Comcast	Outerwall	Sector
Year-to-Date Return	-6.19%	0.34%	2.61%	3.72%	1.12%

Netflix has been a poor relative performer, year to date.

Conclusion

Netflix is a streaming service that provides video entertainment to consumers in the United States. Morgan Stanley analyst Scott Devitt on Tuesday downgraded the company to Underweight and lowered his price target to $310 from $333. The stock has been exploding higher but is currently pulling back. Over the last four quarters, earnings and revenues have been rising. However, investors have had mixed feelings about recent earnings announcements. Relative to its peers and sector, Netflix has been a poor year-to-date performer. WAIT AND SEE what Netflix does this quarter.

Carlyle Group joins hedgies' rush into liquid alt mutual funds

Financial advisers' infatuation with liquid alternatives continues to draw bigger and bigger hedge fund managers to the space. The latest is The Carlyle Group, which manages $185 billion across 122 hedge funds and 81 hedge funds of funds.

The Carlyle Group plans to launch its first two '40 Act liquid alternatives mutual funds, one a long/short commodities fund and the other a balanced risk global allocation fund similar to risk parity, according to a filing with the Securities and Exchange Commission.

The funds will be subadvised by hedge fund manager Vermillion Asset Management. The filing did not include expense ratios.

Carlyle Group spokeswoman Liz Gil did not return calls for comment.

Carlyle is just the latest hedge fund manager to move into the liquid alternatives space. Fellow hedge fund managers Blackstone Group Inc., KKR & Co. and BlackRock Inc. have all made a significant push for financial adviser business recently.

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It's not hard to see why. Liquid alternative mutual funds had more than $88 billion of net inflows through the first 11 months of 2013, up from $19 billion in all of 2012, according to Morningstar Inc.

Demand for liquid alternatives mutual funds, which offer daily liquidity and lower fees and investment minimums than hedge funds, is expected to increase as bonds continue to struggle with rising interest rates and the smooth upward ride for stocks gives way to more normal volatility.

The 5 Biggest Games of the First Quarter of 2014

(Source: Nintendo.com)

Now that the Sony (NYSE: SNE  ) PlayStation 4 and the Microsoft (NASDAQ: MSFT  ) Xbox One have launched in a large number of territories, attention turns to whether or not these systems will deliver the content necessary to create long-term success. As the Wii U from Nintendo (NASDAQOTH: NTDOY  ) has demonstrated, hardware launches are often followed by long periods of software drought. Take this fact and combine it with the tendency of the first-quarter release window to be the weakest of the year from both the quality and the commercial standpoints and there is reason to suspect that 2014 will fall victim to undesirable trends. On the contrary, this year's first quarter will see the release of some very big games. One of them could even shape the outcome of the console wars. 

5. Donkey Kong Country: Tropical Freeze
Developed by Nintendo's talented Retro Studios, Donkey Kong's latest outing is a big title for the ailing Wii U. The game is a sequel to the 2010 Wii game that saw the great ape's platforming adventures revived. Scheduled for North American release on February 21, the title bears the unfortunate responsibility of driving the Wii U platform until Mario Kart is released in the second quarter. The game will not match its predecessor's commercial performance, but it stands apart from the Wii U's otherwise-dismal first-quarter lineup.

4. Minecraft
In the age of triple-A software development, the explosive success of Mojang's Minecraft challenges modern design fundamentals and demonstrates the growing importance of fostering community for the industry. Likely the most successful indie game in the history of the medium, Minecraft has already been released on a large number of platforms, with PC sales in excess of 13 million and sales on the Xbox 360 surpassing 10 million. The game is slated to hit the Xbox One and the PlayStation 4 in March, where it will undoubtedly put up big numbers and extend the title's cultural relevance. Whereas young gamers were once weaned on the likes of "Mario,"  Minecraft is the current craze among that demographic.

3. Infamous: Second Sun

(Source: PlayStation.com)

PlayStation 4 exclusive Infamous: Second Son is a non-numbered sequel in the series that developer Sucker Punch started on the PlayStation 3. Slated for release on March 21, the game is the first big retail exclusive for the PlayStation 4 since the system's launch. Much like PS4's premier launch shooter Killzone: Shadowfall, Second Son represents an opportunity for Sony to broaden the appeal of one of its solid but not spectacular IPs. The fact that Second Son will be the biggest exclusive game released on the PS4 since its launch should provide it added opportunity to flourish and prolong the life of the series.

2. Dark Souls 2
Releasing on PlayStation 3 and Xbox 360 on March 11, Dark Souls 2 is the sequel to a game that has had a significant impact on the industry. Developed by From Software and published by Bandai Namco, the series actually came to life as a spiritual successor to an otherwise separate IP, Demon's Souls. The resultant series launched on a greater number of platforms and found an adoring fan base thanks to its old-school design elements and challenging difficulty. The "Dark Souls" series is also notable for being one of the most significant new IPs to come out of Japan in the last decade. According to the most recent GameSpot Trax survey from CBSi, the game has the best awareness and intent-to-purchase tracking of any first-quarter title.

1. Titanfall

(Source: Xbox.com)

Launching on Xbox One, Xbox 360, and PC on March 11, Titanfall has been touted as the game that will usher in the next generation of first-person shooters. While the game's availability on last-gen hardware may complicate that messaging somewhat, there is no doubt that it is a huge release for Microsoft's platforms. The product of an exclusive partnership with Electronic Arts (NASDAQ: EA  ) , the title is being positioned to revolutionize the genre in ways not seen since 2007's Call of Duty 4: Modern Warfare from Activision Blizzard. Titanfall is being headed up by the creative minds that helped "Call of Duty" become the last console cycle's most-successful series. Given the historical importance of shooters on the Xbox platform, a high-quality and highly successful Titanfall is important for improving Xbox One's broader value perception.

Crown the winners of 2014's first round
In terms of exclusive content in the first quarter of 2014, Microsoft looks to enjoy an edge over Sony and Nintendo. Of the five releases listed, Titanfall should almost undoubtedly have the biggest impact on how this console generation shakes out. As the centerpiece of Microsoft and EA's strategic partnership, the game's performance will also play a major role in the ongoing relationship between these two industry behemoths.

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This Week in Sirius XM Radio

Things never get dull for the country's lone satellite-radio provider. Shares of Sirius XM Radio (NASDAQ: SIRI  ) moved higher after three straight weeks of declines -- before giving it all back on Friday to close unchanged at $3.52. The media darling's flat showing was beaten by Nasdaq's 1.3% surge on the week.

There was more going on beyond the share-price gyrations, though. Short interest on Sirius XM inched lower. Fans are bracing for a monthly rate increase. And on the streaming front, a Wall Street Journal article looked at the promise of streaming as a revenue maker for the recording industry.

Let's take a closer look.

Short people
Exchanges posted their short interest data for mid-December on Tuesday. The number of shares of Sirius XM sold short dipped from 302.9 million at the end of November to 280 million.

That's historically low for Sirius XM. Outside of a brief spell a little over a month ago, when the number of bearish bets fell to nearly 270 million, this is the lowest level of naysayer activity of the year. Sirius XM has done its part to clear out the bears by posting solid results and encouraging subscriber metrics through 2013.

Don't call it a hike
Sirius XM turned heads in October when it revealed that it will increase its monthly rates in January. It's only the second time that Sirius XM has boosted its subscription price higher since the merger of the two satellite-radio providers.

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This isn't on the same scale as the 12% increase it pushed through two years earlier. Going from $14.49 to $14.99 a month is only a 3.5% bump. It's modest compared with the increases that cable and satellite TV providers have rolled out on a seemingly annual basis, but it's not as if Sirius XM's programming costs are spiraling out of control. Sirius XM has a lot of control in containing how much it spends on content.

It will be interesting to see how this plays out, but it's worth noting that subscribers didn't flinch during the first price increase.

Streaming along
There's been plenty of bellyaching at Pandora (NYSE: P  ) and other streaming sites about the fractional pennies they're shelling out whenever a song is played, but there may be more money being made here than the skeptics think.

A Wall Street Journal article looked at the dynamics behind the growing number of cloud-based services offering tunes, with surprising results. The Journal reviewed data that showed a major record label is making more money per customer, on average, from streaming services than from folks who purchase CDs or downloads. The data finds that the label is making $16 a year from premium subscription customers, as opposed to an average of just $14 from actual purchases.

Those fractions of pennies add up. It may not seem that way right away, but some artists are finding that they generate more streaming royalties than purchase revenue.

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8 Ways My Theater Degree Helps Me Succeed as a Business Owner

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Getty Images/Blend Images RM A major in theater often sits atop lists of the most useless college degrees, but by studying theater as an undergrad, I actually think I learned how to bootstrap my business. (I also went to a state college, so it was an affordable theater degree. Shout out to Minnesota State University - Mankato!) Here's a list of the valuable skills I acquired there that I've taken to heart over the last 10 years, and how they affect my business today. 1. Show Up In theater, if you don't audition, you won't get cast. You have to put yourself out there. Nowadays, I email people I don't know. I didn't know that this was weird. I've always reached out to people whose work I admire. I email people every week, and I don't expect anything in return. Sometimes I get an email back; sometimes I don't. But that's OK, because I just wanted to let that person know how his or her work has affected me. In theater, you audition for show after show after show, and you rarely get cast -- but if you don't put yourself out there, you'll never get cast. People ask how I've managed to get so much press in the past year; the answer simple: I'm not afraid to put myself out there. 2. Connect With People Immediately Theater always attracts the most interesting characters, and you learn to accept people for their uniqueness. You also learn how to get along with people who drive you nuts. More importantly, theater taught me how to connect with people instantly. I love finding out what others are interested in and connecting them with others who share their interests. I learned (just a few years ago) that this is called "networking." I thought everyone did this!

Get used to being rejected -- and get over it.

Again, I connect with people and form relationships without expecting anything in return. It's fun for me, and it's helped me grow my business because other people will say, "I'm going to connect you with so-and-so about blah-blah-blah" and then an email later, we're connected! It's often the people skills or "soft skills" that separate those who are successful in business from those who aren't. I love making friends with new people who share my passions. It's part of the reason I love Twitter so much! 3. Get Used to Hearing 'No' As a performer, I auditioned for shows all the time. The process goes like this: You go in, you do a one-minute monologue, sing 16 bars of a song, say "thank you," and that's it. You often don't hear back. When you do, it's called a "callback." (Side note: I got a callback for the lead in almost every musical in college, but never got cast as the lead even once. This means it was down to me and a few other girls. At the time, that was soul crushing, but read on.) I think this is really good training for an entrepreneur because you get used to hearing "no." Some prospects become clients, and some don't. Regardless, the best thing you can do is learn from the experience and move on to the next one. Get used to being rejected -- and get over it. 4. Be Entertaining You should enjoy your business and make it fun -- that's what keeps life interesting. I really love to teach, and I truly believe it's my job to educate my clients about their money. I also love giving presentations on money to high school or college students. I try to make them fun and entertaining. It's because of my theater training that I'm not afraid to give an impromptu speech at an event, speak in a classroom, or give a toast at a friend's wedding. It's called improvisation, and it's something I learned in college. Daniel Pink mentions the importance of improv in his book "To Sell Is Human," which I highly recommend. These are life skills that can help anyone who runs a business. 5. Work Your Butt Off I performed in 15 full-length shows while I was in college, plus dozens of scenes and workshops. (If you Google me, you're sure to find some hilarious performance photos that involved big hair.) I rehearsed from 6 p.m. to 10 p.m., Sunday through Friday, for most of my college career. I didn't know what "free time" was until I graduated and worked a day job. When you run your own business, you have to work your butt off. You're in control of your time, but it doesn't fall into the normal 8-to-5 week that most people work. I love that I can meet my mom for lunch on a Tuesday, but that also means sometimes I'm cranking out a blog post on a Saturday night. Do what you need to do to move your business forward every day. As a business owner, you either pay someone to do something for you, or you learn how to do it yourself. You'll be surprised at what a YouTube tutorial can teach you. (Quick: Do a YouTube search right now for whatever you want to learn!) Luckily, I'm a life learner, because it's been imperative that I "bootstrap" my business for the first year. 6. Learn From Experts and Invest in Yourself When you have an opportunity to learn from experts, take advantage of it. In theater, we call this a "master class." It's when a well-regarded director, producer or performer decides to teach a workshop. Yes, it costs money and it takes time and energy, but you should go. Why? Because you'll learn more in those few hours than you've learned in the last six months. In business, I do this by attending conferences and reading books. Actors are always taking voice lessons, dance classes, and investing in their craft. I learned the importance of investing in one's self from my undergrad years. I've always loved reading, but now that I own a Kindle, I'm a voracious reader. I spend money on books that have to do with marketing, personal growth, Gen Y, finance, and entrepreneurship. Learning from people who are at the top of their field will help you grow by leaps and bounds. This is why I love podcasts so much: They're a free way to listen to experts and apply their knowledge and advice to help me grow my business. (Check out my last post, 5 Podcasts That'll Help You Think Like an Entrepreneur). 7. Take Risks and Embrace Vulnerability Blogging is scary. Quitting your job to start a business is terrifying. These things take guts. I don't think that I'd have been as willing to take those leaps had I not been a theater major. I had four years of intense training on learning what it means to up the stakes, take risks and be vulnerable. Example: Sometimes you show up to an audition and you're paired with some guy (who you don't know) to read a scene together. In the scene, you kiss. You have to kiss a person you just met and pretend to be madly in love with him, with only enough prep time to read through the scene once and say, "Hi. I'm Sophia. Nice to meet you." (Really, this happens all the time.) As a business owner, you have to put yourself out there: with your website, your blog, and through social media. It might not always be pretty or perfect, but that's OK. It's part of being human, and most people like the fact that you're not perfect. It's part of embracing vulnerability. (Need help? Watch Brené Brown's TED Talk on the power of vulnerability.) All of this is enormously challenging, but it's worth it. At times, I've received a few hurtful comments, but for the most part, my community really enjoys the content I'm creating and supports my work, so it inspires me to keep going. 8. Never Stop Creating

Fast-food strikes aim at 100 cities

NEW YORK — Fast-food workers in about 100 cities will walk off the job this Thursday, organizers say, which would mark the largest effort yet in their push for higher pay.

The actions are intended to build on a campaign that began about a year ago to call attention to the difficulties of living on the federal minimum wage of $7.25 an hour, or about $15,000 a year.

The protests are part of a movement by labor unions, Democrats and other worker advocacy groups to raise pay in low-wage sectors. Last month, President Obama said he would back a Senate measure to raise the federal minimum wage to $10.10.

Protesters are calling for $15 an hour, although many see the figure as a rallying point rather than a near-term possibility.

It's not clear how large the turnout will be at any given location, or whether the walkouts will be enough to disrupt operations. Similar actions this summer had varying results, with some restaurants unable to serve customers and others seemingly unaffected.

The National Restaurant Association, an industry lobbying group, called the demonstrations a "campaign engineered by national labor groups," and said the vast majority of participants were union protesters rather than workers.

The group added that past demonstrations "have fallen well short of their purported numbers."

Kendall Fells, a New York City-based organizer for Fast Food Forward, said demonstrations are planned for 100 cities, in addition to the 100 cities where workers will strike. He said plans started coming together shortly after the one-day actions in about 60 cities this summer.

"They understand they're not going to win from a one-day strike," Fells said of workers.

Still, organizers face an uphill battle in reshaping an industry that competes aggressively on low prices, a practice that has intensified as companies including McDonald's Corp., Burger King Worldwide Inc. and Yum Brands Inc. face growing competition and slow growth in the weak economy.

Fast-f! ood workers are also seen as difficult to unionize, given the industry's high turnover rates. But the Service Employees International Union, which represents more than 2 million workers in health care, janitorial and other industries, has been providing organizational and financial support to the push for higher pay over the past year.

Berlin Rosen, a political consulting and public relations firm based in New York City, has also been coordinating communications efforts and helping organizers connect with media outlets.

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In the meantime, Senate Majority Leader Harry Reid, D-Nev., has promised a vote on the wage hike by the end of the year. But the measure is not expected to gain traction in the House, where Republican leaders oppose it.

Supporters of wage hikes have been successful at the state and local level. Last month, voters in New Jersey approved a hike in the minimum to $8.25 an hour, up from $7.25 an hour. California, New York, Connecticut and Rhode Island also raised their minimum wages this year.