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tshirt
Premium Member
join:2004-07-11
Snohomish, WA

tshirt to skeechan

Premium Member

to skeechan

Re: Yay, predatory pricing returns to Comcast

That's Not what the law says. (which has not been used since the 60's on the federal level)
It says a wholesaler the owns some retail outlets can't sell to the company owned outlets for less they sell to otherwise identical non-company owned outlets UNLESS they can clearly show a difference in cost.
It does not prevent normal price competition with other retail sellers in the market or in select markets.

Other antimonopoly laws prevent "dumping" of product well below competitive pricing purely to destroy existing or new competitors.

skeechan
Ai Otsukaholic
Premium Member
join:2012-01-26
AA169|170

3 edits

skeechan

Premium Member

Read it again. The law prevents predatory pricing which is what Comcast is engaging in by charging one price to one franchise population and a much higher price to another.
quote:
...and where the effect of such discrimination may be substantially to lessen competition
Which is why Comcast is doing it. And notice that the law says, MAY BE...Google doesn't have to be significantly harmed or run out of business as the point of the law is to prevent the harm in the first place.

If Comcast wants to compete it should be on the merits of the product, not by using revenues from other franchises to subsidize lower prices in this one.

tshirt
Premium Member
join:2004-07-11
Snohomish, WA

tshirt

Premium Member

Comcast "price matching" does not " substantially to lessen competition in the market place shared with Google or in the area not competing with Google as a higher price should encourage/allow space for lower priced competitors (Google or other) to enter the and win market share.
I think you'll have a hard time showing applicability in any court with jurisdiction.

It would apply if ComCast offered NBC content to TWC at a different price then it's own systems in shared areas (if any) or offered it to dish/DTV for less then TWC based on similar factors.

skeechan
Ai Otsukaholic
Premium Member
join:2012-01-26
AA169|170

2 edits

skeechan

Premium Member

said by tshirt:

Comcast "price matching" does not " substantially to lessen competition

It absolutely does which is why Comcast does it, but evidently, programming, is not a commodity, according to a judge who obviously had no education in economics, and that is why they can get away with it. Seems strange since it does apply or airlines which don't provide a good but only a service. Courts aren't exactly known for their consistency I suppose.