travelguy
join:1999-09-03
Albuquerque, NM
| reply to marigolds
Re: Let me pay for what I want
said by marigolds  :said by travelguy :Channels and channel packages are priced by what people are will to pay - not by what they cost the distributor. Except for basic cable (where the shopping channels are carried), which by law must be priced according to the cost to the distributor. Since basic cable is the only package that a cable provider can force you to carry, this is an important aspect. Interesting - given the large number of shopping channels on most basic tiers, I'll bet the law was written to ignore those... Still - all these people who think ala cart is going to reduce their cable bill are in for a rude awakening.
The industry is built around average revenue of over $50 per customer. The huge capital investment requires that kind of revenue - not just the program providers. |
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marigolds
Gainfully employed, finally
Premium,MVM
join:2002-05-13
Saint Louis, MO
| said by travelguy :said by marigolds :Except for basic cable (where the shopping channels are carried), which by law must be priced according to the cost to the distributor. Since basic cable is the only package that a cable provider can force you to carry, this is an important aspect. Interesting - given the large number of shopping channels on most basic tiers, I'll bet the law was written to ignore those... The law does include those. The problem with the law is the franchise authority is responsible for enforcing the provisions. I've never heard of a state enforcing this provision, and municipalities only rarely enforce it. It is not that uncommon for the price of basic cable to decrease in municipalities that do actively monitor basic cable prices (and the companies are required to turn over the information in aggregate).
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