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FBM
join:2002-07-25
Chicago, IL

FBM

Member

[Other] New Fees

Thanks for the extra $6 in fees, RCN. Happy New Year to you too!

Broadcast TV Surcharge .............................................$3.98
Sports Programming Surcharge ................................$1.97

Pacomartin
join:2013-03-18
Bethlehem, PA

Pacomartin

Member

Broadcast TV Surcharge .............................................$3.98

RCN offers the following history as a way of explanation

1972 The FCC implements the "Must Carry Rule". The Must Carry rule mandates that cable companies carry the signals of all local broadcasters within a 60 mile area.
1992 The FCC passes the Retransmission Act of 1992, gave stations a choice of requiring cable companies to carry them under the must carry rules or negotiating with cable companies for
compensation if they want to carry their broadcast signals.

1992 - 2005
Cable operators generally resisted broadcaster demands for cash compensation on the grounds that the programming was
available "off air" for free.

2005 - 2010
Broadcasters increase demands for cash compensation for programming carriage. Cable companies and other operators
begin to agree to cash payments. Occasionally, broadcasters remove a channel from cable operators when fees are in
dispute.

2011 - present
Broadcasters ask for gigantic fee increases from distributors as much as 300%! Broadcasters and operators engage in
several public disputes resulting in customer blackouts.
areyesrn
join:2005-12-24
Wilmington, DE

areyesrn to FBM

Member

to FBM
how many of us are ambitious enough to drop cable tv and put an outdoor HD antenna on our roof and just live on hulu, netflix, usenet, torrent sites, etc...

machpost
join:2002-01-11
Washington, DC

machpost

Member

said by areyesrn:

how many of us are ambitious enough to drop cable tv and put an outdoor HD antenna on our roof and just live on hulu, netflix, usenet, torrent sites, etc...

Not me, but I'd say that probably half of my friends are doing just that.
tivoNYC
join:2013-11-07
New York, NY

tivoNYC

Member

Time is money. These same people would be far better off spending their time watching Cramer and actively maintaining a diversified retirement fund (IRA & 401K). Instead they focus on a cable bill.

Of course if they're willing to steal off torrent sites to save money the retirement plan they are probably looking at is faking a disability claim.

Pacomartin
join:2013-03-18
Bethlehem, PA

Pacomartin to areyesrn

Member

to areyesrn
said by areyesrn:

how many of us are ambitious enough to drop cable tv and put an outdoor HD antenna on our roof and just live on hulu, netflix, usenet, torrent sites, etc...

I couldn't get any network stations with an antenna. Only news, PBS, and one religious station is within range.

My problem is the $59.99/mo +$3.98/mo broadcast surcharge + $1.97 sports programming. (Includes digital converter)

I feel that it is ridiculous to isolate these two cost groups and call them fees. There should be a fixed cost associated with the distribution, another cost with the equipment. Finally the corporation should itemize

ON DEMAND programming,
71 channels of HD Programming,
225 all-digital channels, and
45 commercial-free music channels.
Interactive Program Guide

You don't have to necessarily give customers the option to pick and choose individual channels, but if you are going to itemize, then itemize everything.
heehaw
join:2012-07-05
Chicago, IL

heehaw to FBM

Member

to FBM
I was just in a lengthy live chat and am paying 61.08 with the new fees. I for one can live without cable tv and inquired about dropping cable services. Apparently I'd be forced into the "retail rate" which is 100$ according to the person I was chatting with.

On an unrelated topic. My current 50mbps service cost 55$. Upgrading to 85 mbps service would cost 75$, and downgrading to 25 mbps service would cost 45$. Look at the rcn site for their rates and tell me how that makes sense.

Pacomartin
join:2013-03-18
Bethlehem, PA

Pacomartin

Member

These are the teaser rates offered in chicago for new customers
25 Mbps Internet
$34.99/mo
$41.99 with Modem

50 Mbps Internet
$44.99/mo
$51.99 with Modem

75 Mbps Internet
$54.99/mo
$61.99 with Modem

Whether it is right or not is immaterial. All service companies offer "teaser rates" significantly below regular rates to entice new customers. Their "retail rates" are ridiculous. This way you are always on some kind of "promotional rate" and they make it difficult to downgrade services to save money.
seanw65
join:2007-07-23
Woodlyn, PA

seanw65 to FBM

Member

to FBM
I actually posted about this back in December. Most of the cable operators are now posting the broadcast TV and sports programming surcharges as separate line items. The only way the networks are ever going to stop charging cable operators to retransmit their signal is by legislative action. I think the networks should be paying the cable operators to retransmit. »[CATV] ALL markets - information only - just my opinion....

Pacomartin
join:2013-03-18
Bethlehem, PA

Pacomartin

Member

YouTube's revenues are expected to be$5.6 billion in 2014. I don't know what their costs are, but I bet they are lower than NBCUniversal's cable division.They operate more like the wet-T shirt bar business, where instead of hiring entertainment you try and make entertainment out of the customers.

ESPN, should take $10 billion in revenue in 2013 (65% cable fees, & 35% advertising revenue).

NBCUniversal 2012
$8.154 billion Total revenue broadcast
$8.773 billion Total revenue cable

$7.785 billion Operating costs and expenses broadcast
$5.481 billion Operating costs and expenses cable

ABC division of Disney 2011
$5.233 billion Total revenue broadcast
$4.320 billion Operating costs and expenses broadcast

ABC is lower in revenue than NBC because they don't have the Olympics, and NBC has football on Sunday broadcast while Disney broadcasts Monday Night football on cable. Also NBCUniversal broadcast includes Telmundo.
But the operating income of ABC broadcast is higher than NBC.

As digital media makes people much more aware of paying for what you watch, will ESPN be able to generate $6.5 billion in fees for much longer?

I suspect that one of the broadcast networks is going to decide that NFL football is too risky. Despite the sky high revenues, the cost is just too high. If CBS wants to get out of football, I suppose ABC/ESPN might pick up their games and show them on ESPN. But how much higher can their fees go?
quattrog
join:2009-03-20
Northampton, PA

quattrog to FBM

Member

to FBM
I almost choked when I got my latest bill. I watch a handful of channels regularly, and they are all HD. Each is in a different "premiere package". So I have to pay for all. Take a look and you'll see what I mean. Many of the most popular channels have been split up between the premiere packages. I have all those SD channels that I NEVER watch and still have to pay for. And then the biggest cost to me is the rental fees. We are forced to rent a box for each TV set. I have 4 hd sets in the house. I think that's most likely average for a 4 bedroom family home these days. 4 HD boxes(1 dvr) adds up to about $48 + tax. just in rental fees. I've been a customer for going on 26 years. And who gets discounts? New customers. I would like to see a break down on RCN's revenues and what it makes on the rental fees. I would bet it's a large portion of income.

Pacomartin
join:2013-03-18
Bethlehem, PA

Pacomartin

Member

said by quattrog:

And then the biggest cost to me is the rental fees. We are forced to rent a box for each TV set. I have 4 hd sets in the house. I think that's most likely average for a 4 bedroom family home these days. 4 HD boxes(1 dvr) adds up to about $48 + tax. just in rental fees.

In Sep. 2009 (before set top boxes) the RCN bill was $167.68 for 5 STD TV's, phone 15 Mbps internet and basic cable.

Now we are paying $160 but we have Tivo on only 2 HD tvs, more VOD, Showtimes, TMC, and Starz. So in general RCN has been good about keeping costs down, but you don't have as many screens to watch.

But I agree that the rental fees are going to be the death of cable. For $48*12=$576 you could purchase the Roku boxes for four TV's and the payback time would be less than one year. So you can purchase video on demand plus Netflix, Amazon Prime, Hulu Plus, and Sports packages for less money in outyears.

=========
If you live in Northampton borough and have been a customer for 25 years, then right outside of town is the 17,000 square foot, 21 acre mansion built from the profits of the Twin County cable company which was sold to RCN .
quattrog
join:2009-03-20
Northampton, PA

quattrog

Member

said by Pacomartin:

If you live in Northampton borough and have been a customer for 25 years, then right outside of town is the 17,000 square foot, 21 acre mansion built from the profits of the Twin County cable company which was sold to RCN .

Not sure where this is. But I live just a mile from the RCN facility on Rt329.

I have two smart tv's and would so like it if there were apps available for these sets so that I could use Silicone Prime's HD Home run. I would rent a cable card and then be able to watch tv on any of the sets with the App or media extender. I just don't currently have any media extenders. And with wireless smart tv's, apps would be the way to go. I much preferred it when tv's came with cable cards. But we all know how that went.

Pacomartin
join:2013-03-18
Bethlehem, PA

Pacomartin

Member

said by quattrog:

said by Pacomartin:

If you live in Northampton borough and have been a customer for 25 years, then right outside of town is the 17,000 square foot, 21 acre mansion built from the profits of the Twin County cable company which was sold to RCN .

Not sure where this is. But I live just a mile from the RCN facility on Rt329.

From RCN facility north on Driftwood, west on Green Meadow, left on private drive in 400 yards. The mansion rivals Mario Andretti's place as the largest in the county.

Ryno
The Wanderer
Premium Member
join:2001-04-07
Danielsville, PA

Ryno

Premium Member

Click for full size
said by Pacomartin:

said by quattrog:

said by Pacomartin:

If you live in Northampton borough and have been a customer for 25 years, then right outside of town is the 17,000 square foot, 21 acre mansion built from the profits of the Twin County cable company which was sold to RCN .

Not sure where this is. But I live just a mile from the RCN facility on Rt329.

From RCN facility north on Driftwood, west on Green Meadow, left on private drive in 400 yards. The mansion rivals Mario Andretti's place as the largest in the county.

Wow nice....
quattrog
join:2009-03-20
Northampton, PA

quattrog

Member

Wow, never knew that was there. It's tucked away pretty nicely.
And Twin County didn't sell to RCN, they became C-tec before they became RCN.

Pacomartin
join:2013-03-18
Bethlehem, PA

Pacomartin

Member

said by quattrog:

And Twin County didn't sell to RCN, they became C-tec before they became RCN.

I believe that the Twin-County & C-TEC was more of a merger than a sale. C-TEC had voice, video, data and interactive service and Twin County brought cable TV. The Yee family retained executive positions. I believe they were trying to make themselves more attractive as a take-over.

Twin County Cable was founded in 1962 by Bark and Stella Yee, and their children, Raymond and Susan took over. The mansion belongs to Raymond.

lilhurricane
Crunchin' For Cures
Numquam oblita
join:2003-01-11
Purple Zone

lilhurricane

Numquam oblita

said by Pacomartin:

The mansion belongs to Raymond.

...and Susan's ok with that?

Pacomartin
join:2013-03-18
Bethlehem, PA

Pacomartin

Member

There were three children, Raymond, Susan and Kenneth. The mansion was built by Raymond. Susan and Kenneth went into business together. I think that Susan shared the parents home with her husband as her mother got older. Susan's husband tragically was killed by a drunk driver as he went to medical school in his 50's.