[opendtv] Re: Analysis: Broadcast's $1 Billion Pot of Gold

  • From: "John Shutt" <shuttj@xxxxxxxxx>
  • To: <opendtv@xxxxxxxxxxxxx>
  • Date: Wed, 9 Jul 2008 09:44:19 -0400


----- Original Message ----- From: "Craig Birkmaier" <craig@xxxxxxxxx>

What I do know is that I am paying subscriber fees for channels that I NEVER watch, and I am watching commercials on channels for which I am paying a subscriber fee.

I'd be very happy if I could just get all of the History Channels, all of the Discovery channels, the Military Channels, the Weather Channel, Fox News, and the off-airs. However, the channels that I watch on a regular basis are not the same channels that my 15 year old and my 11 year old children watch, and the channels my wife watches on a regular basis are different still.

The ala carte system of paying for cable sounds good at first until you figure out that 1) because of reduced revenue from a smaller subscriber base, the ala carte price for each channel would be higher than the current per-subscriber fee the cable company pays on your behalf, and 2) if you include all of the channels your entire family enjoys, you'd most likely end up paying more than you do now. Ala carte only makes sense for single households.

And yes, the commercials help pay for the channels, as does the subscriber fee. If there were no commercials, you'd be paying closer to the per month charge for commercial-free HBO, Showtime, etc. Likewise, if there were no local insertion ads, you'd be paying more directly to your cable company as well.

John






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