Time Warner Dumps CBS in Major Markets

[BigJ]

Interesting.

My assumption is that CBS will want an offer that coincides and is similar to their other deals with the other providers.

 

[totalburnout]

Interesting.

My assumption is that CBS will want an offer that coincides and is similar to their other deals with the other providers.

This article is essentially the point that I made in my initial post.

The stations want to bundle their packages because CBS commands a significant price, as do some of their other channels, but they have X more that basically lose money and are only interest specific channels. I.e., the majority of the public would choose not to pay for those channels, if they were given the option.

The cable providers have been fighting for years to "unbundle" the channels and offer them a la carte. You can see why CBS, has every interest in not unbundling their channels, even if it would benefit the end consumer - it would be to their detriment from a revenue perspective. TWC just made this offer public, so the public backlash shifts from TWC to CBS - as it largely should.

You can argue that TWC is trying to pay CBS a song for their service - but how much more can they pay them? As I already mentioned and then people basically provided anecdotal evidence, that the general mindset is that cable is overpriced and many of us are moving away from it and pursuing other sources. So how much then, can TWC increase rates and pass on to end consumers, before they start losing more customers?

Bad deal for customers.

 

[BigJ]

Exactly. Everyone will hold their margins and pass on the expense to customers. In most cases its still inelastic.

 

[DarkHand]

I've got the most basic cable tv service possible just to get internet access. It's actually a few dollars more to get plain cable internet without a TV package.

Now once they can figure out ala carte channel packaging they've got me by the balls. Broadcast channels plus Cartoon Network, Spike TV, Speed Channel, Indy Network, and TV Japan without all the crap in between? Shut up and take my money.

 

[Briansol]

That's what I used to have too. Comcast just killed basic cable in my area and I was basically forced to upgrade.

so I got hbo, showtime, a dvr, and doubled the internet speed for about 40 bucks more a month combined (80-130).

1 girpe- the remote doesn't glow in the dark. HATE IT! lol

 

[BigJ]

Bundling was invented by Salesman for a reason. There is always a benefit to bundle services/products together.

 

[invisibledemon]

That's what I used to have too. Comcast just killed basic cable in my area and I was basically forced to upgrade.

so I got hbo, showtime, a dvr, and doubled the internet speed for about 40 bucks more a month combined (80-130).

1 girpe- the remote doesn't glow in the dark. HATE IT! lol

you're welcome.