FCC Green Lights a la Carte
Given Federal Communications Commission Chairman Kevin Martin's earlier opinions suggesting a la carte is a viable model for selling video programming to consumers, it's not surprising the agency and its Media Bureau came out with a one-sided report that stated program choice is workable in the pay-TV marketplace.
The FCC's a la carte report was released Thursday, and proposed that consumers could be better off under a la carte. The report also explored several a la carte options consumers and industry companies could consider when studying program choice.
The FCC report also took aim at what it calls "mistaken calculations" in a 2004 study on a la carte conducted by Booz Allen, which was originally submitted by the cable industry for commission consideration. The Media Bureau said the Booz Allen Study failed to net out the cost of broadcast stations when calculating the average cost per cable channel under a la carte. As a result, the study overstated the average price per cable channel by more than 50 percent.
The report said the current industry practice of bundling programming services may drive up retail prices, making video programming less affordable and keeping some consumers from subscribing to a pay-TV service. For many popular networks, advertising and subscription fees may rise as viewers shift to a la carte programming options, even if consumers opt to watch only a few channels, stated the FCC report.
Also, a la carte could make it easier for programming networks valued by a minority of viewers to enter the marketplace, the report said.
Key lawmakers commented on the FCC move.
Ted Stevens, the Alaska Republican and chair of the Senate Commerce Committee, said if a la carte is not more expensive for consumers, "I will support an effort to take such an approach, subject to discussions with providers on the downside of such a process."
Said Sen. John McCain (R-Ariz.), "The report confirms what I have believed for years - if consumers are allowed to choose the channels their families view then their monthly cable bill will be less. Choice is far preferable to being
REPRINTED FROM SkyReport 2.10.06
i really think you a la carte guys will rue the day that this takes effect.
do you believe that dish or directv will do free installs OR provide you with programming at only .....12.00 per month,,, it AINT GONNA HAPPEN.....EVER!!
Given Federal Communications Commission Chairman Kevin Martin's earlier opinions suggesting a la carte is a viable model for selling video programming to consumers, it's not surprising the agency and its Media Bureau came out with a one-sided report that stated program choice is workable in the pay-TV marketplace.
The FCC's a la carte report was released Thursday, and proposed that consumers could be better off under a la carte. The report also explored several a la carte options consumers and industry companies could consider when studying program choice.
The FCC report also took aim at what it calls "mistaken calculations" in a 2004 study on a la carte conducted by Booz Allen, which was originally submitted by the cable industry for commission consideration. The Media Bureau said the Booz Allen Study failed to net out the cost of broadcast stations when calculating the average cost per cable channel under a la carte. As a result, the study overstated the average price per cable channel by more than 50 percent.
The report said the current industry practice of bundling programming services may drive up retail prices, making video programming less affordable and keeping some consumers from subscribing to a pay-TV service. For many popular networks, advertising and subscription fees may rise as viewers shift to a la carte programming options, even if consumers opt to watch only a few channels, stated the FCC report.
Also, a la carte could make it easier for programming networks valued by a minority of viewers to enter the marketplace, the report said.
Key lawmakers commented on the FCC move.
Ted Stevens, the Alaska Republican and chair of the Senate Commerce Committee, said if a la carte is not more expensive for consumers, "I will support an effort to take such an approach, subject to discussions with providers on the downside of such a process."
Said Sen. John McCain (R-Ariz.), "The report confirms what I have believed for years - if consumers are allowed to choose the channels their families view then their monthly cable bill will be less. Choice is far preferable to being
REPRINTED FROM SkyReport 2.10.06
i really think you a la carte guys will rue the day that this takes effect.
do you believe that dish or directv will do free installs OR provide you with programming at only .....12.00 per month,,, it AINT GONNA HAPPEN.....EVER!!
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