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axus

join:2001-06-18
Washington, DC

reply to Skippy25

Re: Subsidies?

I think he's saying the cable Cos are paying HBO during the free promotions, while the customer isn't (directly).

I'm sure there's a laziness factor, where people would drop a bunch of money on a bundle, but not bother with 10 different subscriptions direct to the content providers. The person choosing the cable subscriptions isn't always the one working to pay for it

Skippy25

join:2000-09-13
Hazelwood, MO

That could be, but the bottom line is that they still get a vast majority of their money from subscribers and the rate is higher because they attach an artificially escalated value to the program by staying with cable.

It is basically a you scratch my back and I'll scratch yours deal like exclusivity, but without all the exclusiveness.


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