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Source: Comcast Launching HBO Broadband Bundle Aimed at Netflix

An insider familiar with Comcast's promotional plans tells DSLreports that the company is preparing a new broadband and HBO streaming bundle aimed squarely at Netflix. The new promotion will be called "Internet Plus," and will include Limited Basic TV (20 channels plus VOD), Comcast's streaming video service StreamPix, 25 Mbps broadband and HBO/HBO GO. The 12 month promotion is expected to retail for $40-$50 depending on the market (or, more specifically, the lack of competition in your market).

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The new option is launching this month, though it's unclear if it will be available in every Comcast market. After 12 months the bloom is off the rose -- the promotional price jumps to $60 to $70 for six months, then jumping to $70 to $80. After that, it's up to the user to negotiate a better deal.

The most interesting component of the offer is the inclusion of HBO and HBO Go. HBO has of course been very stubborn when in comes to the idea of a standalone HBO streaming option, though HBO and cable executives have been talking for much of the year about possibly bundling HBO with smaller broadband packages. Internet Plus is clearly the first tangible product of those talks.

"Nearly a decade of promotional offer designs, and we have never had a limited basic/premium combination," notes the source. Comcast executives clearly think the combination of 20 channels, HBO Go and Streampix is enough to prevent Netflix defectors, but whether that strategy works remains unclear.

Comcast launched their Streampix streaming video service last year, and while cheaper than Netflix ($5 for Comcast subscribers compared to $8 for Netflix) it suffers from a lack of content like many "me too" ISP streaming video options.

The cable industry wants to prevent customers from backing away from the larger channel bundles (and the relentlessly soaring prices the cable and broadcast industry insists on charging for them). So far, however, cable industry talk about competing more seriously on price has largely been empty lip service. While this tier is a step forward, the sharp bump in price post promotion reflects some ongoing industry tone deafness in regards to consumer value.

Meanwhile, this is likely only the beginning of a larger frontal assault on Netflix. In addition to these new smaller plans and Comcast's slow but steady march toward usage caps and overage fees, Comcast is working very hard on licensing deals (one with 21st Century Fox in particular) that make it much harder for Netflix to license mainstream content.
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floyd007
join:2004-06-07
Glen Allen, VA

floyd007

Member

Price point still too expensive....

Netflix 9.95, Comcast 45.00 average? I do not know if this is going to work though you do get more bang for your buck BUT the defectors just want a cheaper price.

baineschile
2600 ways to live
Premium Member
join:2008-05-10
Sterling Heights, MI

baineschile

Premium Member

Re: Price point still too expensive....

Yeah, but you still have to pay for internet service to get Netflix. Unless, you are the DVD only guy....
Skippy25
join:2000-09-13
Hazelwood, MO

Skippy25

Member

Re: Price point still too expensive....

Being that pretty much everyone would have internet to begin with that is not relevant.

Kind of like me saying I can get gas for $1/gallon and you tell me yeah... but you have to buy a car first.

anon coward
@comcast.net

anon coward

Anon

Re: Price point still too expensive....

The point is that the Comcast deal includes the internet service, while the Netflix rate does not, so Floyd007 was comparing apples and oranges.
Skippy25
join:2000-09-13
Hazelwood, MO

Skippy25

Member

Re: Price point still too expensive....

Point is, it doesn't matter as there are probably 2 people in the entire world that get internet to get Netflix.

Should we do a survey and isolate out those that have internet for other purposes so we can then average the people that buy internet just for Netflix and then those that get Netflix because they already have internet for 50 thousand other reasons?

juilinsandar
Texas Gooner
Premium Member
join:2000-07-17
San Benito, TX

juilinsandar

Premium Member

why not throw in cinemax/cinemax go also?

For the price they're contemplating, hbo alone wouldn't be worth it.

Karl Bode
News Guy
join:2000-03-02

1 edit

Karl Bode

News Guy

Re: why not throw in cinemax/cinemax go also?

I'd consider $40 for 25 Mbps, 20 channels and HBO Go. I'm paying Verizon more than that right now for a 15 Mbps FiOS line all alone. I guess it would depend on the non-promotional rate and how easy it would be to get a new promotion...
elefante72
join:2010-12-03
East Amherst, NY

elefante72

Member

Re: why not throw in cinemax/cinemax go also?

That's actually not a bad deal, however I don't see that lasting more than a few months.

I noticed that TWC has some back to school/fall deal going on where they are bundling HBO, 30/2 w/ internet and "basic" cable which is broadcast, but no movie VoD. But they want $80. Not much of a deal....Plus all their lease fees...

This smells exactly the same.

The killer as always is the outrageous terminal/modem fees. You could easily spend more in terminal fees than the promo.

jmn1207
Premium Member
join:2000-07-19
Sterling, VA

1 edit

jmn1207 to Karl Bode

Premium Member

to Karl Bode
Don't forget to add the $8 fee for the DVR service, $9.95 for each additional outlet, and $7 for the modem rental.

Maybe you can use an XBOX with a Gold subscription, an Apple TV device, or a Tivo; but all of those cost additional money.

Roku users can look elsewhere with Comcast service.

Edit: It looks like the entire package is only valid on single outlet. So if you want this service on more than one TV in the house, you might have to pay for this service for each TV, provided that they will even install it to multiple outlets.

Karl Bode
News Guy
join:2000-03-02

Karl Bode

News Guy

Re: why not throw in cinemax/cinemax go also?

I think the bundling of HBO with 25 Mbps is a nice first step, but yeah. They shoot the value in the foot by hiking the promotional offer, failing to offer it to existing loyal customers, layering the fees...all the usual stuff they're going to somehow need to learn to stop doing.

Ebolla
join:2005-09-28
Dracut, MA

Ebolla to jmn1207

Member

to jmn1207
you would just pay for additional outlets not a whole new service.

jmn1207
Premium Member
join:2000-07-19
Sterling, VA

jmn1207

Premium Member

Re: why not throw in cinemax/cinemax go also?

This deal specifically states it is limited to a single outlet, so I'm not sure how this would be handled. No other package makes this restriction in the terms, but who knows?

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

tshirt

Premium Member

This is what I want...

... or at least phase one.
give me limited basic, basic broadband and let me buy other channels via "on demand" (bandwidth included) and I'll fill in with Netflix, hulu, amazon, etc. AND pay overages above the 300-500Gig.) an all round win for those of us unwilling to pay for the full monty packages.

dvd536
as Mr. Pink as they come
Premium Member
join:2001-04-27
Phoenix, AZ

dvd536

Premium Member

* y a w n *

lukewarm at best. pricing is a snore.
their streaming catalog will have to be much larger to get netflix' attention.

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

tshirt

Premium Member

Re: * y a w n *

The HBO is the draw here, with other premiums probably following IF people keep it after the promo.

dvd536
as Mr. Pink as they come
Premium Member
join:2001-04-27
Phoenix, AZ

dvd536

Premium Member

Re: * y a w n *

$30 for hbo? i don't think so.

blessedswine
@comcast.net

blessedswine

Anon

Re: * y a w n *

im paying 45$ right now for just comcast internet, so for me this is a no brainer of a deal
ADL
join:2000-12-20
USA

ADL

Member

Solid Promo Pricing

I'd like to see the non promo rate.

telcodad
MVM
join:2011-09-16
Lincroft, NJ

telcodad

MVM

Re: Solid Promo Pricing

The "Internet Plus" package for my area starts at $49.95. Non-promo rate is $69.95 after 12 months:
quote:
Details & Restrictions

Offer ends 1/31/14 and limited to new residential customers. Not available in all areas. Requires subscription to Internet Plus with Limited Basic TV, XFINITY Streampix™, Performance Internet and HBO® service. After first 12 months, monthly service charge goes to $69.95, or if any service is cancelled or downgraded, regular rates apply. Comcast's current monthly service charge for Internet Plus is $69.95. TV and Internet service limited to a single outlet. Equipment, installation, taxes and franchise fees extra.

dvd536
as Mr. Pink as they come
Premium Member
join:2001-04-27
Phoenix, AZ

dvd536

Premium Member

Re: Solid Promo Pricing

GEEZ!
88615298 (banned)
join:2004-07-28
West Tenness

88615298 (banned)

Member

It's a start

I've said all along cable companies should offer stand alone HBOGo. You need an ISP to use HBOGo and cable companies are also USPs. So they still make money HBO still makes money. Not quite there yet even with this offering but they almost get it.
amacleod426
join:2012-03-27
San Diego, CA

amacleod426

Member

Re: It's a start

It's up to HBO if they want to offer standalone HBOGo, not the ISP. Neither Comcast nor any other cable provider can offer it without HBO's permission. That goes for every channel offered via mobile streaming apps - the terms of the contracts between the channel owners and the cable/telco provider are VERY specific about how that content is allowed to be delivered.

anonome
@verizon.net

anonome

Anon

Decisions, decisions...

If a storm hadn't damaged the tower/transmitter used by our local PBS station early this year, preventing (still) any reliable OTA pickup, I wouldn't even consider it. But being able to get those 4 PBS channels again reliably and Internet service that's plenty fast for anything (in theory) might be worth it for the year or two it'll apparently take them to finally repair the tower/transmitter. (Now, Comcast... how much more for taxes and fees?)
mogamer
join:2011-04-20
Royal Oak, MI

mogamer

Member

There's also Blast Plus

This is basically the little brother to Blast Plus. Slower Internet, less channels, but HBO and Streampix also included. The regular non-promo price for Blast Plus is $79.99, so you're getting a lot less (after promo pricing) for not that much less cost. For only $10 less, why choose this over Blast Plus?

telcodad
MVM
join:2011-09-16
Lincroft, NJ

telcodad

MVM

Re: There's also Blast Plus

The promo price for "Blast Plus" is my area is $59.99 for the first 6 months, jumps to $69.99 for the next 6 months, and then costs $89.95 after that, $20 more than "Internet Plus" (it shows that HBO is included at no extra charge for only the first 6 months, so that's why it jumps $10 then). It does say that Streampix is included, though.

As you said, besides the faster HSI speed, Blast Plus does include the "Digital Economy" TV tier, which adds a number of popular "cable" channels over just the Limited Basic tier included with "Internet Plus."
mogamer
join:2011-04-20
Royal Oak, MI

mogamer

Member

Re: There's also Blast Plus

The NJ market must be higher priced than the Detroit market. Because $79.95 is the non-promo price for Internet Plus w/ Blast (formerly Blast Plus) which includes HBO for me.

telcodad
MVM
join:2011-09-16
Lincroft, NJ

1 edit

telcodad

MVM

Six Reasons For Comcast's Varying Prices

said by mogamer:

The NJ market must be higher priced than the Detroit market. Because $79.95 is the non-promo price for Internet Plus w/ Blast (formerly Blast Plus) which includes HBO for me.

An article on the Forbes site today about the variability of Comcast's package pricing:

Six (Often Frustrating) Reasons For Comcast's Varying Prices
By Adam Tanner, Forbes - November 18, 2013
»www.forbes.com/sites/ada ··· -prices/

EDIT: Also on the Consumerist site now: »consumerist.com/2013/11/ ··· to-care/

anonome
@verizon.net

anonome to mogamer

Anon

to mogamer
Because you get all that you might want or need for $10 less? In other words, why pay $10 more for something that does not provide you with something with more value?

Probitas
@teksavvy.com

Probitas

Anon

Not sure if this is good enough

People wanting to get HBO and Netflix with the idea of cord cutting likely aren't going to bite, not when facing a final price around $80 and taxes; how is that cheaper than cable now?

Yucca Servic
join:2012-11-27
Rio Rancho, NM

Yucca Servic

Member

Lunch is ready

It sounds like just a bigger sh*t sandwich. There will always be a catch somewhere. Sheepele will never get it.
Netflix will always be a better center for on demand.

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

1 recommendation

skeechan

Premium Member

What about the caps

300GB won't last long on a primarily streaming service.

•••••••

IowaCowboy
Lost in the Supermarket
Premium Member
join:2010-10-16
Springfield, MA

IowaCowboy

Premium Member

Blast plus

Blast 50/10, Digital Economy (40 channels), and HBO is $89.99 in my area at full price.

Good for when grandma is hogging all of the satellite tuners on my genie with their numerous recordings.

Comcast always charges more for internet without TV. Someday, they'll win the war on cord cutters by forcing you to bundle basic cable with internet like Verizon did with landlines and DSL.

••••••••
westdc
join:2009-01-25
Amissville, VA

westdc

Member

Just the start

Of the Death Spiral - Do I buy HC or Pay for TV or Rent

bella
@verizon.net

bella

Anon

comcast promotional aimed at netflix

Not a good deal capping GB usage and charging fee's for overage! $10.00 for every 50 GB. This as the article states is aimed at Netflix, I like Netflix and regular TV with antenna. Now I can watch TV in HD FREE. I use Verizon DSL and have no problems streaming with the ROKU. No Comcast for 6 month's and saved $120.00 a month, had no HD better picture now. DSL $30 (promotion for a year $15) Netflix $7.99 tons of thing's to watch. Plus with a router other TV's and Computer's hooked up with no problem's.
XJakeX
join:2005-03-05
Coventry, RI

XJakeX

Member

Still too high

$70.00/month for 25mb Internet, over the air local channels I can already get for free, HBO, and access to on demand. Not even close.

Offer me even 15MG Internet, with HBO and Showtime, leave out the OTA channels, and I'll take it for $50.00/month

boog
Premium Member
join:2000-07-24
Trenton, OH

boog

Premium Member

Streaming channels

I don't understand why Channels like HBO, Showtime, AMC and others just don't join forces (or even separately), to make streaming channels on their own for Roku and Apple TV type devices. Heck, maybe you could even mix and match them for a certain price.
catnapped
join:2010-11-22
Elizabethtown, PA

catnapped

Member

Even $80/month would be cheap here

64.95/mo for Performance (25/4) internet by itself. Add HBO and limited basic and you're close to, if not over $100/mo. Which is why I don't see them offering it here with next to no competition.

Kevin12345
@rr.com

Kevin12345

Anon

Netflix killer

You want to build the perfect netflix killer, take all the streaming movies for 6.99 a piece and charge just one monthly fee of 20.00 for all the new/old movies and netflix is toast.

mingo
@comcast.net

mingo

Anon

Needs some work...

I've called twice so far to try and sign up for this package. Since I'm paying $70 for internet and limited basic (I just want HD locals, really), I figured I might as well since the non-promo price for this is the same.

Both reps, after trying to update my service, told me they could not since I have an HD DTA assigned to my account (which I only got because Comcast encrypted all channels in my area last month, disabling QAM tuner access). I would need to either downgrade to an SD DTA or upgrade to a standard HD STB. There's something backwards about this plan that they need to figure out. They require use of a DTA in areas where all channels are being encrypted, but this plan (possibly due to the inclusion of HBO) is not available if you have a DTA? It's a mess.
Rick5
Premium Member
join:2001-02-06

Rick5

Premium Member

Launching?

I've had this for a few months now. Or, actually, what I would consider to be a BETTER variation of this.

Blast PLUS package which is:

1) Blast internet ..here's my speed test
81.04MB down 11.70MB up

2) Economy tv package (better than the limited basic)

3) HBO

4) Streampix

Price = 50.00 x 6 mos
which then goes to 70.00 x 12 mos

Then to the regular price which is 89.95 (yea like that will happen )

And Karl, I think you overstate the fees.....my total bill is 53.80. (I own my own modem). And so "fees" are 3.80.

I was an internet only subscriber and they called ME to offer ME this package.
I mean..how could I say no? This was a few mos. ago and actually i'm probably close to coming off the 50.00 level and going to the 70.00 which is still a great deal considering this IS blast as well.

I guess these things just vary by market and by who's doing the selling. The incentive here for them was obviously to get me on their TV service. I barely even WATCH it But hey, i'll take it if they price it at this level. The HBO has been nice and I've caught some good movies. And the HSI speeds are absolutely killer and I've seen even to 90MB + at times.

As for what made Comcast do this? I dunno...maybe they liked my BBR logo

Anyways...not sure if this is available now but i'd suspect you'd FIRST need to be a non TV customer to make it happen.

Good luck all !

~Rick

tunke
@simmons.edu

tunke

Anon

Re: Launching?

Blast Plus is apparently being discontinued (in my area, at least). The fine print says that existing customers will be able to keep it as their package "until further notice."
Rick5
Premium Member
join:2001-02-06

Rick5

Premium Member

Re: Launching?

where did u see that tunke? on your bill?
I haven't seen it on mine.
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