 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  |
 | 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. |