New FCC study contradicts previous one

[gbjbany]

From DSLreports.com


A La Carte a Good Idea Afterall


In 2004 the FCC issued a report based on cable-industry data that claimed "a la carte" cable pricing (being able to pick and choose your cable channels) was not economical. In late 2005, pressured by indecency groups and IPTV telcos eager to disrupt the current broadcasting business model, the FCC pulled a 180. Today the FCC released a new report lauding the pricing scheme (see press release and the report itself, both in pdf), and attacking the previous study as flawed and "biased".

"The Further Report finds that the 2004 report also relied upon unrealistic assumptions and presented biased analysis in concluding that a la carte “would not produce the desired result of lower MVPD rates for most pay-television households.” The Further Report identifies mistaken calculations in the Booz Allen Study, which was originally submitted by the cable industry for Commission consideration."​

The new data indicates cable and satellite customers could see their bills fall by as much as 13% if the pricing scheme was implemented. Not only could the new pricing scheme reduce prices, it could increase demand for services, the report concludes. </B></I>story continues..

 

[catnap1972]

I wouldn't read too much into this. Next week they'll be saying something else entirely (once the NAB/cable industry does some more arm-twisting)

 

[Doctor Bob]

People on both sides of this issue are lying and giving false testimony!!! LOL

It is going to cause rates to go up; niche programs will go away, because there won't be enough demand for them; and the Consumer will be hurt by the end result.

What is so difficult about telling the truth??? Television programs used to be free, and the local programs from Off Air Antenna's still are free!!! The Advertisers pay for the programming...

 

[riffjim4069]

There will always remain a need for niche programming...they just need to find other programmers willing to to carry their wares or use a different medium, like the Internet and IPTV, to deliver their goods. It seems to me that Consumers will benefit under al a carte: pay for programming they wish to receive, get rid of the 85% of the garbage they don't watch, and force the programmers to produce a desirable product of find another line of work. No more free rides!

If you're into telling the truth, don't forget to mention we're all paying for "Free TV" each and every time we purchase an advertised consumer product. Manufacturers, programmers, and providers are getting into our pockets more than we care to admit...let's just make sure we're paying for a service we actually want.