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tlhIngan
join:2002-07-08
Richmond, BC

tlhIngan to zod5000

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Re: Shaw HS 10 up another 10%

It's not the cable channels fault - Shaw can easily drop a bunch of them and avoid paying the carriage fees.

The problem is that for cable, which is profitable, but not as profitable because of the internet. Things like Shaw On Demand are not making Shaw as much money as they used to (believe it or not, but cable companies made a ton of money on porn pay-per-view/on-demand).

Couple that with internet TV piracy, and well, Shaw's just making up their cable losses from people downloading TV shows (remember Shaw Media owned channels? Yeah, when you download, they don't get ad money). Add in Netflix, iTunes and other legit video services and basically the internet is eating them.

And yes, internet is VERY profitable, and you know some of that is to make up for lost TV revenue
zod5000
join:2003-10-21
Victoria, BC

zod5000

Member

said by tlhIngan:

It's not the cable channels fault - Shaw can easily drop a bunch of them and avoid paying the carriage fees.

Not as easy as you think. Content owners know when they have channels in demand and channels that aren't. Carriage fee's aren't the only thing they negotiate. They also negotiate carriage terms which includes things like bunding crappy channels in with popular ones (so they can sell the crappy channels).

The TV industry is way more crooked then you give it credit for.

You are right though. I think the Internet side of the business is becoming the profitibable one. The costs assosciated with licensing TV content are skyrocketing. Internet not so much.
Chilli
join:2013-10-05
Canada

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