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Skippy25

join:2000-09-13
Hazelwood, MO
reply to elray

Re: Sports need to be treated like movies

By as long as it takes I assume you mean until their competitors use this against them to take enough of their subs that they finally give in.

It will take all content providers to do it at the same time to hurt the content owners enough to cause them to rethink their model. Which is exactly why the owners negotiate contracts with long terms and with much different end dates.

The government could easily resolve this by simply stating that all contracts will be paid as agreed until X date and no new contracts can go beyond this date. That x date could be until the last big one expires (Say Comcast is the last to expire in 2/15). They can then couple this with a set mandatory expiration date for those that try to beat the deadline for when this rule comes into effect or if their contracts are already set to far out. Say 12/17 which would then provide all parties (content owners, sports leagues, productions companies) an opportunity to adjust their forecasted revenues and make the needed changes. Then ALL must be renegotiated with a la carte packaging for ALL channels along side of small, medium and large bundles. They can do bundles based on # of channels picked, content owners, themes or any other combination they see fit.


elray

join:2000-12-16
Santa Monica, CA
Reviews:
·Time Warner Cable
·EarthLink

said by Skippy25:

By as long as it takes I assume you mean until their competitors use this against them to take enough of their subs that they finally give in.

It will take all content providers to do it at the same time to hurt the content owners enough to cause them to rethink their model. Which is exactly why the owners negotiate contracts with long terms and with much different end dates.

Any one provider could achieve the desired result by holding out, as long as it takes. But they would have to assume the risk, when in today's climate, it is easier just to pass the cost on.

said by Skippy25:

The government could easily resolve this by simply stating that all contracts will be paid as agreed until X date and no new contracts can go beyond this date.
...
Then ALL must be renegotiated with a la carte packaging for ALL channels along side of small, medium and large bundles. They can do bundles based on # of channels picked, content owners, themes or any other combination they see fit.

I am ever reluctant to suggest that the government should interfere with the marketplace. But I'm not opposed to discussing the possibility of legislation, to motivate the players to be more competitive.

At some point, we need an iTunes Store model for video content leasing, with per-channel/episode/season/day/week/month/year, density and volume pricing options - which should actually yield more revenue than the current structure, while giving the consumer more freedom of choice. But we need industry to build it, not have it dictated from Washington.