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Verizon FiosTV Sees First Rate Hike
Not so un-cable-like after all?
by Karl Bode 09:03AM Tuesday Nov 21 2006 Tipped by TheTony5 See Profile
"Verizon is planning to raise rates for new FiOS customers by January," writes in user TheTony. "While existing customers will continue with their current rates, they may later see the same increases," he notes. Verizon tells Multi-Channel News the hike reflects the "increased value for the service," which includes the addition of 20 additional channels. Users in our Verizon Fios forum discuss the hikes.

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pnh102
Reptiles Are Cuddly And Pretty
Premium
join:2002-05-02
Mount Airy, MD

1 recommendation

That Didn't Take Long!

How long has Verizon been in the TV racket? Five Minutes? They sure learn fast!
--
Only SHATNER is Kirk.

JeepMatt
C'mon the U
Premium
join:2001-12-28
Wilmington, DE
kudos:3

Re: That Didn't Take Long!

Why's everyone trashing Verizon? Their prices are still in line with satellite - and MUCH cheaper than Comcast.
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"ONE team - ONE city - ONE dream!!"

pnh102
Reptiles Are Cuddly And Pretty
Premium
join:2002-05-02
Mount Airy, MD

2 recommendations

Re: That Didn't Take Long!

said by JeepMatt:

Why's everyone trashing Verizon? Their prices are still in line with satellite - and MUCH cheaper than Comcast.
I don't know if satellite is that much cheaper than cable. Every ad I've seen for satellite always compares the price of the cheapest satellite package to the most expensive cable package. When I compare the price of the package that has what I actually want, then its comparable to cable or even more expensive.
--
Only SHATNER is Kirk.

N3OGH
Yo Soy Col. "Bat" Guano
Premium
join:2003-11-11
Philly burbs
kudos:2

Re: That Didn't Take Long!

When Fios TV comes to my area (in 2007) I plan on playing the 2 off each other every year. When Fios TV comes, I'll call Comcast and tell them I'm dropping them, and see what kind of deal they offer me, if I go to Verizon, after a year I'll tell them I'm leaving for Comcast, and try to get a deal out of them.

Internet is another story, I was very disappointed with Comcast HSI in my area, so I would probably take the Fios and run with it...
--
Never ask what sort of a computer a guy drives. If he's a Mac user, he'll tell you. If not, why embarrass him? -Tom Clancy
nasadude

join:2001-10-05
Rockville, MD
Reviews:
·Verizon FiOS
when I switched back to cable, it seemed cable offered more for the same or slightly lower price. I also got rid of the extortion tax for not bundling tv with my comcast internet. The biggest difference is the up front costs for an HD DVR - sat wants a large up front payment and monthly fees to lease you the box, comcast just charges the monthly fee.
UncleDirtNap

join:2006-08-26
Pittsburgh, PA
I had cable and now I have DishNetwork (at least until FIOS TV is turned on here) and my monthly Dish bill is far less with more channels than anything Comcast offered.

Jovi
Premium
join:2000-02-24
Mount Joy, PA
I am saving rougly $25 with my Directv, and get more channels than with Comcast.
--
"Where's my coffee? Oh. I guess it's my turn to make it."

markofmayhem
Why not now?
Premium
join:2004-04-08
Pittsburgh, PA
kudos:5

1 recommendation

FIOS was $20 more per month than the same channel listing with Comcast in my area. Only difference was ESPNU wasn't on the Comcast list. Only channels I want are my locals in HD, Noggin, ESPN and ESPN2 in HD, NFLN, The History Channel, and the CNN/MSNBC/Fox News trio, and a DVR. Comcast is cheaper than Fios and satellite in my area for a package for this. General sweeping "MUCH" statements don't help.

This is just more proof, it's not Verizon; it's not Comcast; it's not Cox; it's not Time Warner; it's not Dish; it's not DirecTV... it's the CHANNELS! Disney is the problem. Universal is the problem. Prices will continue to rise because of them. The more money that is lost in the theatres, the more they will charge you for USA Network and ESPN2 on your home TV bill.

FFH5
Premium
join:2002-03-03
Tavistock NJ
kudos:5

Re: That Didn't Take Long!

said by markofmayhem:

it's not Verizon; it's not Comcast; it's not Cox; it's not Time Warner; it's not Dish; it's not DirecTV... it's the CHANNELS! Disney is the problem. Universal is the problem. Prices will continue to rise because of them. The more money that is lost in the theatres, the more they will charge you for USA Network and ESPN2 on your home TV bill.
You have hit on the correct formula behind price increases. It is the content providers that cause rate increases, not the sat or cable companies.
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DaveDude
No Fear

join:1999-09-01
New Jersey
kudos:1
Reviews:
·Comcast

1 edit

1 recommendation

Re: That Didn't Take Long!

said by FFH5:

said by markofmayhem:

it's not Verizon; it's not Comcast; it's not Cox; it's not Time Warner; it's not Dish; it's not DirecTV... it's the CHANNELS! Disney is the problem. Universal is the problem. Prices will continue to rise because of them. The more money that is lost in the theatres, the more they will charge you for USA Network and ESPN2 on your home TV bill.
You have hit on the correct formula behind price increases. It is the content providers that cause rate increases, not the sat or cable companies.
Thats why we need alat carte so we can drop these channels.
--
Say NO to the "holidays" this Christmas!

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manfmmd
Premium
join:2003-01-14
Earth, TX
Reviews:
·CMA Access

Re: That Didn't Take Long!

said by DaveDude:

said by FFH5:

said by markofmayhem:

it's not Verizon; it's not Comcast; it's not Cox; it's not Time Warner; it's not Dish; it's not DirecTV... it's the CHANNELS! Disney is the problem. Universal is the problem. Prices will continue to rise because of them. The more money that is lost in the theatres, the more they will charge you for USA Network and ESPN2 on your home TV bill.
You have hit on the correct formula behind price increases. It is the content providers that cause rate increases, not the sat or cable companies.
Thats why we need alat carte so we can drop these channels.
Going ala carte is not the answer either. By going ala carte, you force the other channels to raise the re-broadcast rates that they are charging since their portion of the subscription rate is no longer spread amongst 50,000-100,000 people, it is now spread across 1,000-5,000 in a given market driving the cost up for those individuals. The same goes for channels that you would like to subscribe to.

I'm not saying I have an answer, but I believe that going ala carte is not the way to go... Now for the HBO, Cinemax, Starz, channels, ala carte would work a bit better, but you would still run into the increased rates. Afterall, who in a english-only speaking household, watches HBO en Español?
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bamabrad

join:2006-01-27
Port Orange, FL

Re: That Didn't Take Long!

The content game is changing big time-along with the delivery system and ad marketing. If the content providers don't wise up, they are gonna start feeling the pain from all the OTHER choices that are coming our way!

icp1
Premium
join:2000-10-13
Saint Louis, MO
Any WHY is it the channels? Because of ownership rules allowed by the guv'mnt allows just a few companies to own a huge portion of the media content in the country. So they have the power to say "You want X channel, well you must take channels z,q,p too or we won't give you X".

said by FFH5:

said by markofmayhem:

it's not Verizon; it's not Comcast; it's not Cox; it's not Time Warner; it's not Dish; it's not DirecTV... it's the CHANNELS! Disney is the problem. Universal is the problem. Prices will continue to rise because of them. The more money that is lost in the theatres, the more they will charge you for USA Network and ESPN2 on your home TV bill.
You have hit on the correct formula behind price increases. It is the content providers that cause rate increases, not the sat or cable companies.
Sammer

join:2005-12-22
Canonsburg, PA

The increased set-top box rentals bother me

Considering that FiOS TV doesn't have 70+ analog channels like cable IMHO Verizon went the wrong way with the set-top rentals. That should have been reduced 96 cents a box.

Alpine
Premium
join:2000-01-11
Atlanta, GA

No surprise...

They had to recoup those gigantic implementation expenditures somehow...

Adam

JeepMatt
C'mon the U
Premium
join:2001-12-28
Wilmington, DE
kudos:3
Reviews:
·Verizon FiOS
·Comcast

Re: No surprise...

Well lets just say in my instance - which is subscribing to "Everything"...

on Comcast I was paying $143 a month.

DISH, i'm now paying $106 a month.

FIOS, I'll be paying $106 a month.

To me, that's cheaper.
--
"ONE team - ONE city - ONE dream!!"

JamesPC

join:2005-10-12
Orange, CA
no one cares alpine
caco
Premium
join:2005-03-10
Whittier, AK

1 recommendation

Verizon say it ain't so!

»Those evil bastards. How dare they!

This is funny on so many levels.

Why anyone is shocked by this is beyond me. One of many prices increase to come from Verizon, get used to it people.
--
Election is over. Look for gasoline to be up to 3.00 a gallon by end of November. Bush's revenge baby!
JoeBubba

join:2006-11-20
Farmingdale, NY

Too Funny....

My Father-In-Law and I were just having this same conversation
nasadude

join:2001-10-05
Rockville, MD
Reviews:
·Verizon FiOS

yep, quicker than I thought too

1 wireline competitor + 1 wireline competitor = duopoly

satellite tv seems to be becoming a little less relevant, especially as more programming moves to HD. I switched back to cable because I couldn't upgrade to lease an HD DVR for less than $300 (on top of which I was paying about $115/mo for programming). I did not feel like paying $600 for a box that would be obsolete in a year.

I figured the cableco and the telco pricing for tv would eventually start rising in lockstep, after equilibrium was reached, but I didn't think the increases would start so soon.

Apparently that fios competition really is putting pressure on prices - they're just going in the wrong direction.
c4junk
Premium
join:2004-05-08
Orlando, FL

Verizon to raise rates for FiOS customers

You can leave Fios and go to sat or ca. but you ain't going back to copper--it is gone! when you went Fios..
Methadras

join:2004-05-26
Spring Valley, CA

how soon before...

people start asking government to begin subsidies for things like cable/fios/ftth because they won't be able to take the rate hikes...? This isn't a slam on anyone, I'm just curious to get a read on how people think and feel about this and whether or not if these services become to expensive they are willing to do without and if not, if they would get their government involved in rate relief of some kind...
Turbocpe
Premium
join:2001-12-22
IA

Not so un-cable-like after all

Karl's subtitle: "Not so un-cable-like after all" baffles me. As a long-term cable customer, it is existing customers that normally get the rate hikes while new customers receive most of the promotions and much lower prices.

Here, Verizon is raising rates for new customers, not existing customers (at this time).
bhorow

join:2004-05-17
Forest Hills, NY

Re: Not so un-cable-like after all

First of all let me address the new customer/ old customer..Old customers where there are very few FIOS TV Customers will probably enjoy the rate for 12 months. Its not a locked in rate. 42.95 is just the start. They are charging more for Premium channels than anyone else.

If you look at the average bill, it will be about the same as cable. Comcast tends to be more expensive than others, but eventually it will be all about the same.

Fios is already closing in on cable prices. They know they have to keep there prices low, otherwise they won't be able to enter. Verizon has to make this gamble in the short run.

By the way if you want to get Starz and movies cheaply Vongo Video download service is 9.95 per month and you get movies and Starz at no charge.

Again Verizon big effort will have to be bundles. Already Verizon raised prices and it hasn't been in the T.V. business for a year.

Verizon is going to have to find original content, because it won't be able to maintain the price level its at even now.

viperpa33s
Why Me?
Premium
join:2002-12-20
Bradenton, FL

This is nothing new

This is nothing new. Most companies will charge low for a new product or service and then raise the price when they believe they met there customer targets. Verizon may have raised rates to soon, it could leave a bad taste in some people's mouths.
johnsp

join:2001-02-07
Syosset, NY

I still want to know why rates increase

and all the cable channels have more and more commercials?

Boredness
The Lurker
Premium
join:2005-07-07
In Limbo

Re: I still want to know why rates increase

That is an excellent question! Too bad I don't have the answer!
Comcast's commercials are the worst and also the most annoying that I've ever seen!
tmc8080

join:2004-04-24
Brooklyn, NY
Reviews:
·ooma
·Optimum Online
·Verizon FiOS

beat the rate hike

Verizon must find a way to beat the yearly rate-hike game by creating their own movie channels and exclusive content (channels, not just the on-demand stuff). If you look at where the rate increases are, it is in the BASIC channel line-up.. the premium channels have found a way to hook subscribers by offering more channels for higher bundle rates (upwards of $40-60 per month) Which, packaged together with basic networks adds up to around $80-120+ a month just to watch TV..

Let's not forget the vision of a "$100" triple play package was a 1996 telcom reform act pipe-dream, while adjustments to inflation and foreign policy responses to national disasters such as 9/11 and oil company greed have caused all "prices" to rise into 'late 1970's style inflation. However, don't consider me an apologist for the cable networks who have greed on the mind.
Sooner or later, these networks will have to compete with ubiquity of "freely available" content, copyrighted or not from the internet.

FYI, the company most capable of leveraging that 'competitiveness' is Verizon.

And.. I leave you with this sprinkle of a factoid:
new years bring seasonal rate increases:
property taxes/school taxes
state fees (use your imagination, they're going UP)
mortgage rate adjustments
insurance premiums
cost of compliance laws (implemented 1/01/XX)
cost of a measly postage stamp
etc
B
Premium,MVM
join:2000-10-28

Re: beat the rate hike

I don't know -- that $100 "pipe dream" seems pretty successful to me! Paying $41 for broadband + $40 for satellite TV + $8 for unlimited phone. (Should be much less if I ever switch to FiOS.) No stupid year-limited cable bait and switch promos involved.

-- B
--
In a realm outside causality and function
tmc8080

join:2004-04-24
Brooklyn, NY
Reviews:
·ooma
·Optimum Online
·Verizon FiOS

Re: beat the rate hike

Sounds similar to IDT Verizon dsl broadband with dishnetwork, for $79+taxes/fees,no? If not, who are the providers & are your rates 'grandfathered'?

If it were a "cable company" it would be higher with a limited time offer thing, IMO. For those who are not bandwidth fiends... god bless, for the rest of us, we like to get close to the bleeding edge of fast as we can reasonably afford, which makes $100 triple play hard to accomodate.
B
Premium,MVM
join:2000-10-28

Re: beat the rate hike

Nope, just Earthlink over Time Warner Cable, DirecTV, and Sunrocket VoIP. No grandfathering required. And no freakin' BUNDLE required!

Part of my point was that the $100 price point is easily reached for many people, though NOT necessarily as a bundled triple-play deal.

My rates would go down by $10 or so if I go FiOS (or, alternatively, my speeds could go way up depending on the chosen FiOS tier -- that would certainly be near-bleeding edge speed and still well under $100 total).

-- B
--
In a realm outside causality and function

Rob A
Avoiding Opera 15
Premium
join:2005-01-17
Pompton Plains, NJ

Shocked

Didn't see that coming, may stick with DTV when available if verizon allows me too.