[opendtv] Re: We Need Real Competition, Not a Cable-Internet Monopoly
- From: "Manfredi, Albert E" <albert.e.manfredi@xxxxxxxxxx>
- To: "opendtv@xxxxxxxxxxxxx" <opendtv@xxxxxxxxxxxxx>
- Date: Sat, 15 Feb 2014 02:31:06 +0000
Craig Birkmaier wrote:
> An interesting analysis!
>
> The author provides a very good explanation of why we are in such a
> sorry, expensive mess in the U.S. when it comes to the relationship
> between government and the media oligopoly.
>
> In essence the author tells us we need an "Act of Congress" to
> restore competition.
>
> Maybe Bert can argue with him!
I have to admit, it really makes me laugh when I see people whining about their
addicition. Plus, this article, like so many others I've seen, paints with too
broad a brush. They need to break down the costs.
I think we pay $30/mo for broadband (ADSL, 1.5-2 Mb/s down), much like they
quote as starting price for the UK; I get 51 channels of free H/DTV, much like
the UK; I get thousands of other FOTI TV programs too. So honestly, those who
feel compelled to pay $150-$200/mo cable TV bills don't get a lot of sympathy
from me. Perhaps the author is unaware that FOTA and FOTI DTV exists? Wouldn't
not surprise me.
(Plus, examples where TV is paid for by TV tax revenues are HARDLY relevant
here.)
However, we *do* pay through the nose for telephone service, combined land line
and cellular. And quite honestly, a HUGE fraction of that is taxes. So in spite
of what Susan Crawford was quoted as saying, it's most likely not broadband
*or* TV that costs a lot here. It's instead our heavily taxed telephone
service. Maybe that's because we have to subsidize phone service to people who
live in the middle of the Rockies, I don't know. Certainly, countries like
Korea and Japan don't have that problem.
If cable TV subscribers "pay too much," that's because MVPDs are not heavily
regulated like the utilities, and because MVPD subscribers are unrepressed. I
think it's funny to hear Craig asking for "an act of Congress" to protect
unrepressed people from themselves. Inelastic demand begs for high prices. Duh.
I anything, the FCC attempt to classify broadband as a telco service can only
make matters worse. Just like telephone service.
Also, of course, compare apples with apples. What is this $30 triple play
service in Zurich? How many TV stations? I'll bet it's the TV selection that
the Swiss want to migrate to OTA. They get what, 4 channels for free now?
Hopefully, 4G and 5G will give the wired broadband providers some more
competition, but I don't see that as the long pole in this tent.
Bert
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