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A La Carte Cable Could Be Coming To Vermont

Several things strike me about this article.

1. It is ridiculous for the federal government to give a company $93 million dollars for a project like this. If it's a good business idea, the company should get a loan and do it. Don't go to taxpayers to make them pay for it.

2. A legal challenge trying to force companies to make their channels available on an a la carte basis will not succeed. There are no federal regulations requiring a la carte and it's not a violation of law to not offer a la carte. The company has no legal basis for suing any of these companies to make them sell the company a product at terms they want. The two sides have to agree or there's no deal. If one side does not agree, there's no deal. It's just that simple. It would be like a cable company suing to demand a judge force ESPN to agree for a rate of a penny per subscriber.

3. If congress steps in to force a la carte on the cable industry, cable bills will skyrocket and the number of channels will plummet. Channels like USA, ESPN, TBS, etc will almost certainly switch to being offered as "premium" channels like HBO. You'll have to pay several dollars a month for each or you won't get them. Smaller channels like Bravo, TLC and Discovery will simply not be able to bring in enough subscriber and advertising revenue to maintain their programming and profitability and will simply go dark.
 
Many cable channels are already dark in my house.

Why am I paying for 200 channels and only watching 50? Because that's all that are worth
watching. If 50 (also ran) channels left........who would really miss them? You can pay $3
a month extra for the golf channel if you want it. To me, it's not worth the 25 cents I'm probably paying right now.

I'd rather pay for the ones I watch, instead of the ones you watch. And I disagree, I think prices would come down. Some would pick the 25 channels they really want and cut their bills in half.
 
The problem is, only the 25 most popular channels would survive, and they would be the 25 channels you hate. Wonder how many layoffs that would mean for Scripps Networks here in Knoxville TN.?
 
A La Carte is a thing that is long overdue. As for whether or not it'll have a negative effect on cabe channels, think about this -- a person who wants to buy a magazine isn't forced to buy twenty other titles they aren't interested in, just so they can read the one they wanted.
 
gr8oldies said:
The problem is, only the 25 most popular channels would survive, and they would be the 25 channels you hate.

No, they would be the 25 most popular which, statistically, would be those I watch (at least some of the time).

gr8oldies said:
Wonder how many layoffs that would mean for Scripps Networks here in Knoxville TN.?

I don't like to see anyone lose their job...but...they can get another. I don't have the choice to go to another sat/cable provider offering ala carte.
 
"A la carte" has been debated here before, so I'll repeat my viewpoint. Cable and satellite providers are in business to make money. They'll only give up their current business model if forced to by market pressures. And if that happens, they'll find a way to make as much money with a la carte as they do now.

So if it catches on, we'll end up paying much more per channel than we do now. Many people who post here who claim they're fine with access to just a few channels. These people might save a few bucks. To each his own. This isn't 1975 - I like having access to lots of channels.

People like me who watch a couple of dozen channels in any given week, and a few more over the course of any given month - will end up paying more than they do now.

Be careful what you ask for.
 
Lkeller said:
"A la carte" has been debated here before, so I'll repeat my viewpoint. Cable and satellite providers are in business to make money. They'll only give up their current business model if forced to by market pressures. And if that happens, they'll find a way to make as much money with a la carte as they do now.

So if it catches on, we'll end up paying much more per channel than we do now. Many people who post here who claim they're fine with access to just a few channels. These people might save a few bucks. To each his own. This isn't 1975 - I like having access to lots of channels.

People like me who watch a couple of dozen channels in any given week, and a few more over the course of any given month - will end up paying more than they do now.

Be careful what you ask for.

And, as I've said several times before, history does not support your position.

In the days of the Big Ugly Dish (C and Ku-band) there were programmers who offered both tiered and ala carte subscriptions. And even though it was a bit more complicated and expensive to administrate they still made money with both business models AND those of us who were their customers were pleased with our options.

And....

Paying incrementally more for each desired channel is not important when the total subscription price is lower than paying for 200 channels you never watch.

Personally, I'm on the cable/sat bench unless and until it makes economic sense for me to subscribe. Right now the cost is excessive for the limited number of services I would watch. Combined with the excessive number of commercials on virtually every service their is little to pique my interest in cable/sat again. The programmers can either provide a more flexible and reasonable subscription scheme or forgo my money.

Wait a few more years when programming will be delivered over the Internet and it may not make any difference. Cable and sat will both be gone.
 
If a la carte was adopted I'd expect

1.) Probably one weekend a month you could view MOST CHANNELS to see if you would
like to ad any.
2.) If you really wanted to view a sports game on ESPN and were not a subscriber, you
would be allowed to pay a one time fee to watch that one program.

Add in the extra fees and the cable/satellite servers would not be giving up too much,
but the power would be in your household instead of theirs.
 
If a la carte were to be implemented, I'd expect it to play out much as I understand it already does north of the border: once you get past the basic tier, you can select individual services - but by the time you've picked more than a handful of those individual channels, you'll find it cheaper and easier to buy a packaged tier of channels.

If you really truly only want to ever watch six channels, maybe you'll come out ahead, but my guess is probably not by much; if a la carte is ever implemented, count on the cable companies finding some regulatory way to levy something similar to the "distribution charge" that now shows up on my power bill every month. Sure, I have the "choice" of several different electricity providers - but the company that actually delivers the electricity to my house still gets a fairly hefty chunk of the bill regardless of whether I use one kwh or thousands of 'em.

Be sure, too, that there will still be some sort of bundling: it's hard to imagine an a la carte regulatory scheme that would prevent ESPN, let's say, from offering ESPNNews, ESPN Classic and ESPNU for a tiny nominal charge to anyone who buys ESPN and ESPN2 at "full price," and who's to stop them from setting the "full price" of main-channel ESPN at a level that's still sufficient to cover the incremental cost of running the other networks in the bundle?

The experience of the cell-phone carriers is instructive here: maybe I only send 62 text messages in the course of a month - but the vast majority of wireless customers who text, given the choice, would rather pay for a bundle that includes "unlimited" texting than worry about running up the meter by paying "a la carte" per text.
 
Scott Fybush said:
Be sure, too, that there will still be some sort of bundling: it's hard to imagine an a la carte regulatory scheme that would prevent ESPN, let's say, from offering ESPNNews, ESPN Classic and ESPNU for a tiny nominal charge to anyone who buys ESPN and ESPN2 at "full price," and who's to stop them from setting the "full price" of main-channel ESPN at a level that's still sufficient to cover the incremental cost of running the other networks in the bundle?

Bingo. Then you would see similar bundles with all the Fox owned cable channels, NBCU channels, etc. By the time you're done, you'll have to pay more for less.
 
Yeah, a la carte cable sounds like a good theory, but they will find ways to get the same or more money out of customers [up to the point they can't get any more].
 
Scott Fybush said:
If a la carte were to be implemented, I'd expect it to play out much as I understand it already does north of the border: once you get past the basic tier, you can select individual services - but by the time you've picked more than a handful of those individual channels, you'll find it cheaper and easier to buy a packaged tier of channels.

If you really truly only want to ever watch six channels, maybe you'll come out ahead, but my guess is probably not by much; if a la carte is ever implemented, count on the cable companies finding some regulatory way to levy something similar to the "distribution charge" that now shows up on my power bill every month. Sure, I have the "choice" of several different electricity providers - but the company that actually delivers the electricity to my house still gets a fairly hefty chunk of the bill regardless of whether I use one kwh or thousands of 'em.

Be sure, too, that there will still be some sort of bundling: it's hard to imagine an a la carte regulatory scheme that would prevent ESPN, let's say, from offering ESPNNews, ESPN Classic and ESPNU for a tiny nominal charge to anyone who buys ESPN and ESPN2 at "full price," and who's to stop them from setting the "full price" of main-channel ESPN at a level that's still sufficient to cover the incremental cost of running the other networks in the bundle?

The experience of the cell-phone carriers is instructive here: maybe I only send 62 text messages in the course of a month - but the vast majority of wireless customers who text, given the choice, would rather pay for a bundle that includes "unlimited" texting than worry about running up the meter by paying "a la carte" per text.

My point exactly - but you said it much better, Scott.
 
Scott Fybush said:
The experience of the cell-phone carriers is instructive here: maybe I only send 62 text messages in the course of a month - but the vast majority of wireless customers who text, given the choice, would rather pay for a bundle that includes "unlimited" texting than worry about running up the meter by paying "a la carte" per text.

Not a valid comparison. I'm talking about variety. You're talking about quantity.

And, I surmise, most texters consider their cell phone a much more valuable appliance than cable TV at this point.
 
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