Directv Going To Lease Only On 3/1/06

[robo5280]

I would say that u would be under a lease.

 

[JustBob]

It should be that you could do it either way, just like a car. Buy it outright or lease it. That way everyone would be happy.

Well I doubt it's possible to make everyone happy.

Anyhoo, perhaps they should have used a word other than "Lease". I'm not sure what the driving force was for this move by DirecTV. But it seems like to the average consumer it won't be that big of a change. You'll just have to return the boxes to DirecTV if you leave. The costs seem about the same. I still have some old DirecTV boxes at home that they can have if they want. According to one of their graphs on "churn" it appears there's a lot of people who drop after 12 months, probably because their committment is over. So if there's a lot of boxes that are only 1 year old, this lease program could allow DirecTV to send those boxes to new customers and save some money. However after 2 or more years, is there really much value in the receivers anymore? Usually there's a newer model out by then.

-JustBob

 

[lovswr]

Just off the phone with Directv. The charge is $499 for the HD-DVR (MPEG-2) "hardware upgrade" for current customers under the lease program, which is hardly a lease by the standard definition. Thats the same price as buying the thing in February. His explanation of the advantage of leasing? With the lease, if the box breaks you get a new one. Wow, what an offer!

The way he explained it, for this "hardware upgrade," current customers must pay $499 (this is exactly what he said) and agree to a 24-month commitment. You do the math as to the per month lease charge. Would you ever buy a car on lease and pay the entire amount up front? How about the cable model, whereby you pay $10 a month with no upfront fee? What happened to that?

Directv seems to be on a real money grab with its bogus lease program, but it's gonna backfire big time in my view. The poor soul on the other end said he would pass my comments (I tried to be civil) to his supervisor. Yeah, right.

And this price, $499, is for the "lease" on the soon-to-be obsolete HD-DVR. Am I in a bad dream? Looks like Comcast is gonna be my provider in the next few months, unless things change dramatically. Or maybe even FIOS via Verizon. In my view, Directv will lose a boatload of customers after this news gets out.

The only thing that would make any sense at all is that the HD Tivo is 500, but the D branded (in June so they say ) HD DVR is only going to be 99. This is almost enough to make me go to Charter.

 

[vurbano]

Just off the phone with Directv. The charge is $499 for the HD-DVR (MPEG-2) "hardware upgrade" for current customers under the lease program, which is hardly a lease by the standard definition. Thats the same price as buying the thing in February. His explanation of the advantage of leasing? With the lease, if the box breaks you get a new one. Wow, what an offer!

And many places offer a 5 year warranty on the box when you buy it outright anyway. So all of the people trying to rationalize that as part of the "good" deal need to just forget it. That dog just wont hunt. Besides what is stopping you from getting their "protection" plan after it breaks and reporting it broken the next month, of course I would never do anything like that. LOL

 

[Andyman33]

If it was only 99 bucks for an HDDVR unit, then I'd be all over satellite. . .however, 420 dollars after tax I was quoted (they just discounted the price and didn't make me do a MIR) is insane and UNBELIEVABLE. Yea. . .I don't want to own my box so the lease program for me is the smart idea. I think they'll also keep the regular sat customer happy. . .its just the HDDVR people which SHOULD be what EVERYONE should want to go to. The difference between cable, 0 dollars and satellite 420 dollars over 2 years is almost 20 dollars per month, JUST for the box to use. . .its NOT 20 dollars cheaper to go to Sat. . .in fact, its a little more since for internet I have to have a phone line too for DSL, but a LITTLE more would be fine with me since I'd be getting ESPNU and ESPNHD2 as well as access to Sunday Ticket. . .20 bucks a month is a little outrageous though. . .

 

[smackman]

The entire decision/structure of the new D* lease program baffles me. I cannot find any significant reason that going to a lease structure would be beneficial for an end consumer. Given the previous comment sin this thread, such as the $470 fee for returning a damaged unit, $499 up front cost, etc., everything only seems to benefit D*.

I, too, expect D* customers to leave in droves when they hear about and understand the details of this new structure.

I'm going to probably hang around D* for a while yet and see how things play out - I can't see this new lease deal working out well for anyone, so something is going to have to change - hopefully to benefit the consumer a little bit.

 

[mikew]

Why would existing subs, who already have equipment, be leaving in droves? This program will simply curb D*'s growth and give a bigger advantage to E*'s growth. If I were looking for a system today, I'd go with E*. Since I already own my equipment, there's nothing to be upset about.

 

[smackman]

Your point is well taken. I should have been more clear that I was focusing on customers wanting to get an HDDVR, not those who already own all of their equipment.

 

[lou_do]

You have to remember this program just went into effect, and I am sure that D* officials are watching it very closely. I am sure that adjustments will be made to it as needed, to keep competitive with E*. If they see a big drop in new customers, or current customers leaving, you will see changes made to the program to keep them competitive.
~~~~~~~~~~~~~
Actually by going on D* & E* web site, the cost is very close now.
You go onto D* site, as a new customer, and order 1 new HD receiver and programing. The receiver is free. Equipment cost is $0.00.

Now I go to E* web site, as a new customer, and order 1 HD receiver and programing and it ends up costing me $49.00 for a lease fee for that receiver.

Result as a new customer wanting 1 HD receiver, I can get it for free from D* or pay $49.00 from E*. Both required commitment, D* was 2 years and E* was 18 months.
~~~~~~~~~~~~~~
If I go to D*, as a new customer, and order a HD-DVR and programing, it will cost me $399.00. When I go to E* it only cost me $299.00 for a HD-DVR.

So when purchasing a HD-DVR as a new customer, I can save $100.00 by going with E*. Both required commitment, D* was 2 years and E* was 18 months.

Both companies are under a lease program, so I don't understand why the recent change of D* to a lease program, going to have a big drastic effect, like a few are saying.

 

[Andyman33]

It's going to keep ALL cable customer's who want HDDVR units away. . .

 

[herdfan]

Both companies are under a lease program, so I don't understand why the recent change of D* to a lease program, going to have a big drastic effect, like a few are saying.

But don't you end up owning the equipment with E*'s version. I know that's how I got my 811. The guy we bought the house from left it since he was through with his commitment.

 

[lou_do]

It's going to keep ALL cable customer's who want HDDVR units away. . .

Our local cable company charges no up front fee, about $10.00 a month for their HD-DVR.

 

[vurbano]

Why would existing subs, who already have equipment, be leaving in droves?

Because we will need new mpeg4 HDDVR equipment and the deal sounds like a screw job and I believe they require a 2 yr contract with a 300 dollar cancellation fee even to upgrade. Good god, we already paid the heavy price to get into this HD programming as well as 500-1000 to own an HDDVr for what? a year or 2? and theyve built it on our dollars and now they want us to pay again?

 

[baurecomm]

I guess it's official. I just got an email from D* saying that the lease will be effective March 1st.

 

[JetJam]

the whole thing stinks, E* should have been left alone to die with the lease model, D* would have come out ahead and not two step's back.

as for us owning are own equipment, big deal. its all out dated junk and I don't think we will get upgraded for free, and now with a 2 year commitment.

cable has none of this upfront cost and commitment crapp.

I (a customer since 98 w/6 box's and pay over $120 a month) have been in limbo for more then a year waiting on one box that can do everything D* offers now and what I have been paying for, you would have to have 3 box's hooked to one TV to take avantage of the service they offer now.

for ex-sample I get the NFL ST every year and last year had to order superfan to get the HD games but could not take avantage of the whole superfan package because they don't have a adequate box to do so.

D* has SD, HD, LIL HD(mpeg4), mix chan, DVR, (oh and more to come) and not one box that can do it all. I'am tiered of hearing about all of the vapor-ware for over a year, and not have a box that can work with all services they offer and I have been paying for.
so now that D* changes to this dumb (up-front cost long term) lease program, now do you think they will be real nice about giving me some of that updated vapor-ware (if it ever comes out) equipment, at a low cost and reasonable term. I don't think so...

I may soon be heading for that crowded exit door.

 

[Andyman33]

Lou - That is exactly what I was saying. I have charter cable with HDDVR and the only problems I have are the lack of FOXHD(damn greedy sinclair) and lack of ESPNU/ESPN2HD. I looked at sat to see if I could get a similar deal, however, 400+ dollars upfront is ridiculous...no cable customer would dream of switching.

JetJam - come over to the dark side(cable) and you will see how NICE cable has become. I guess it more depends on what area you are in, but I pay 130 a month for the following:

HD-DVR features with every channel available (premiums included, as well as ON DEMAND premiums which is probably the coolest feature ever)
3 MB/sec High speed internet with modem rental

My HDDVR box is the motorola version with Moxi and I really like it alot. With the exception of not getting HDFox or a ton of sports channels, I really don't think it can be beat in terms of value. You're spending similar amounts of money. . .but I am also getting cable internet which IS better than DSL. . .I don't care what they say!

 

[chrisexv6]

Why would existing subs, who already have equipment, be leaving in droves? This program will simply curb D*'s growth and give a bigger advantage to E*'s growth. If I were looking for a system today, I'd go with E*. Since I already own my equipment, there's nothing to be upset about.

Eventually I will be *forced* by D* to upgrade to MPEG4 (I currently have on HD receiver, and supposedly my area is coming online in April). Once that happens, are they going to force me to pay for the upgrade too? Are they really just handing people new MPEG4 boxes to replace their MPEG2 units? And if I have to pay, I get to give the equipment back if (more like when, at this point) I jump ship? I dont care how much my 3 year old Samsung HD box is worth..........*I* paid for it with money that *I* earned. D* can have it if they pay *me*, not if I pay them to upgrade and they take that box away anyway.

My other equipment is a wash pretty much. Paid 99 and 35 for 2 Tivos. But the $600.00 I paid for my Samsung when brand new was *not* subsidized by D* (they even said so by saying HD receiver purchases did *not* require another annual commitment). So they have no right to take back a replacement for a box that they never helped me pay for in the beginning.

Since I am an HD customer, if they do force me to upgrade, I may just jump ship. For now its OK, but if I have to start cutting vinyl siding to put up the monstrosity of a dish they are handing out *and* owe them the most expensive piece of equipment I purchased to use with *their* service, its no longer OK. At least with cable I dont have to pay for a box and THEN rent it too.

-Chris

 

[newsposter]

My HDDVR box is the motorola version with Moxi and I really like it alot.

how's the FF compensation on the moxi? My local company had one but I got my OTA up and running so dont need cable anymore for HD.

 

[Andyman33]

not exactly sure what you mean by FF compensation, but if you mean that when you fast forward and it goes back just a little bit I think its great. It is all determined by what speed you are FF at. If you have 3 speed, then it goes back a ways, but then if you just hit the ff button again once, it slowly speeds forward and you can get back to your show. I think that I have gotten commercials down to about 3 seconds on ABC (somehow it goes extremely fast there) but CBS takes more like 5-10 seconds. It does take concentration lol, or you will be flyin through your show haha and have to rewind. You will find it to work really well as I think it is very user friendly!

 

[lou_do]

Lou - That is exactly what I was saying. I have charter cable with HD DVR and the only problems I have are the lack of FOX HD(damn greedy Sinclair) and lack of ESPN/ESPN. I looked at sat to see if I could get a similar deal, however, 400+ dollars upfront is ridiculous...no cable customer would dream of switching.

I would not even consider our cable. They have a lousy grainy analog picture on their first 100 channels, don't even carry one of the local sports networks, don't carry the RSN sports package, as well as lack a lot of the other sports networks you can get on D* or E*.

I don't use a DVR, my VCR and my DVD recorder work just fine for me, so DVR is not an issue with me.