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Forums » Telcos May Have To (Gasp) Lower TV Prices » No Escape
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Telcos May Have To (Gasp) Lower TV Prices »
« Wages have not kept pace with inflation  
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ArgMeMatey

join:2001-08-09
Milwaukee, WI
·AT&T Midwest

reply to cooldude9919
Re: No Escape

Given that this {is/will be} the first large scale recession in the modern era of subscription TV, TV providers will feel plenty of deflationary pressure. Triple play is just marketing to the lazy, and Darwin says people get less lazy when money gets tight.

It's hard to imagine anybody with working legs treating cable TV as the equivalent of water, sewer, electric, telephone, or even internet service. Most of what TV does in my home is take up space and time. Why should I pay for that if I can't pay my other bills?

Deadbeat subscribers aren't going to see a big need to pay these bills, since the worst that can happen is the service gets shut off and there's an unenforceable money judgment on record.

When Joe Sixpack gets laid off, he is going to buy an antenna and a converter box and cancel cable.

Advertisers will see lower subscriber numbers and with their own lower profits, will demand lower rates or walk away. A few networks will fold or merge. The best will consult their cost accountants and actuaries, and they will change their terms to maintain a positive growth curve despite lower overall profits.
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kpfx

join:2005-10-28
Kerrville, TX
·RoadRunner Cable

reply to elray
said by elray See Profile :

Most broadcast stations aren't charging anything, instead expecting free carriage.
Most broadcasters are expecting to get paid just like the cable networks. Everybody wants a piece of the pie that's just getting smaller...

LIN TV, TWC Fight On Over Retrans Compensation
»www.multichannel.com/article/CA6604529.html

Cable-KSAT fight grows harsher
»www.mysanantonio.com/entertainme···her.html

Viewers take sides in cable vs. KXAN
»www.austin360.com/news/content/t···act.html

THE MEDIA BUSINESS; A Limited Showdown Over Cable
»query.nytimes.com/gst/fullpage.h···nted=all

That's just a few that have happened in the central-Texas area. Search and you'll find tons of disputes with dozens of cable operators and broadcasters at odds over the broadcasters demand for retransmission compensation.

elray

join:2000-12-16
Santa Monica, CA
·SONIC.NET
·RoadRunner Cable
·Verizon Online DSL

reply to baineschile
said by baineschile See Profile :

Until broadcast stations lower their prices, cable/telco wont; thanks for charging me 15 bucks a month, espn/espn2/espndeportes/espnclassic/espnu/espnnews/bigtennetwork/nflnetwork
Most broadcast stations aren't charging anything, instead expecting free carriage.

As for ESPN et al, there is no requirement on the part of telco or the cable companies to subscribe every customer or pay ransom to the content providers. Its just easier for them to hide behind it... "But Mom! He hit me back first"

We disconnected cable long ago, refusing to pay $60 a month to watch one channel. Cable could get us back, if they let us pay ala-carte. But to date, there are apparently too many sheep willing to pay for ESPN when they don't watch it.
But that will not last forever.


baineschile
2600
Premium
join:2008-05-10
Sterling Heights, MI

1 edit
reply to cooldude9919
Until broadcast stations lower their prices, cable/telco wont; thanks for charging me 15 bucks a month, espn/espn2/espndeportes/espnclassic/espnu/espnnews/bigtennetwork/nflnetwork

cooldude9919

join:2000-05-29
Cape Girardeau, MO
clubs:

Pretty much everbodys profits are down, i dont think the telco's and MSO's can escape the problem either.

With consumers looking for places to save money, they are going to have to start having some good offers or else the consumer will simply pass or go with cheaper packages.
Forums » Telcos May Have To (Gasp) Lower TV PricesTelcos May Have To (Gasp) Lower TV Prices »
« Wages have not kept pace with inflation  


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