Cable TV Puts FCC In Hip Pocket…..You Lose

With a myriad of content providers, the Cable TV industry is about to put themselves in the driver’s seat one more time.

They give up the TV side, and the competition with these content providers, and technologies but, they all still have one thing in common.  The internet.

Cable gives you the access, and you stream as you please.  Cable (usually a monopoly) is the most efficient possibility for streaming.

As I understand it, the Federal Communications Commission wants to step in, and regulate the internet.  They call it ‘Net Neutrality’  legislation.

The following is conjecture on my part based on what I’ve heard, and read, so far.  It is an end result that I see emanating from this regulation, if enacted.

Bottom line:  It will be easier for Cable providers to establish internet tiers.  You will pay for different tiers of the internet.  Guess where streaming TV & Movie content will be priced?  Like HBO direct from your Cable provider if, you’re lucky.  It will be blocked unless, you pay for premium internet.

Yes, there will now be parts of the internet you will be unable to reach without the appropriate subscription.

So sure, it is true that Netflix, Hulu, Amazon, and ROKU have been in a healthy, fair competition with Cable TV.  They were, and are a natural evolution of new technology.

It sounds like the Federal Communications Commission is going to ‘neutralize’ the Cable TV income deficit being pushed to the wall by the normal evolution of technology.

In other words, they will not fall to new technology.  Instead they’ll recover fees lost on the television side with new fees for internet access.  Brilliant!

If this ridiculous regulation goes through, Netflix, Hulu, ROKU, Google and Amazon may lose a large part of their customer base.

Why bother?  The price for them will become exorbitant as they may be placed on the highest premium tier of the internet.  The toll to reach them will be a fortune to some.

So, the Cable industry is fighting back, and your U.S. A. government is hard at work trying to figure out how they’re going to sell this atrocity to you.

I can only imagine.  The lowest priced tier will be extremely inexpensive but, not even web based email may be on that tier.

What’s going to happen when someone, somewhere invents an efficient, reasonably priced device for home use that is able to receive the internet without a provider?  Then what?

Technology will flourish, and Cable will fade to nothing.

Those living in the past, and didn’t plan for the future will do their best to suppress the natural evolution of things to come.  It’s scary for them, and their entire focus is on their imminent demise.  They know it’s coming.

Cable could evolve by, simply switching their focus to their survival.  Embrace the coming technology because, it is here.  Cable’s focus should be on how they will join this next level of technology.

Cable is breathing heavily, waiting to die.

CNBC offers a commentary on the possible legalities, and politics that apply.

NBC Universal & CableOne Solicit The Free Labor Market

Each company wants me but, unwilling to pay me.

Just this morning, I was on social media, and NBC Universal or, an agent of theirs began to inundate me with obviously directed solicitations to argue a dispute the company is having with CableOne.

CableOne is under an illusion that they somehow are fighting to keep my rates low with continued disputes with content providers, and they also ask that I as a customer go argue their case.

I’m a customer not, an employee.  Each company probably has people hired to argue these cases.  Don’t drag me in to your business problems.  As a customer I am interested in the end product, and it is not my business how much it cost you to get there, and what the internal problems of the business might be.

I don’t think it’s the only reason for rate hikes although a good excuse.  It may be a reason some of the time.  Don’t kid me though, it is not the only reason for raising fees, and charges.

It wouldn’t be CableOne soliciting new customers with introductory rates which for some are life time rates that I subsidize with an exorbitantly high bill as my reward for staying with them for a number of years?  That wouldn’t be part of it, would it?

Okay.  One thing at a time.  Many of these content providers are taking advantage of three income streams, at least one undeserved.

Years ago, tv was free with analog, and everybody could pick up local stations in their home without a provider.  Each station derived an income from advertising.  Now, content providers have a second stream of income.  You, and me.

Your local service provider carries content provider networks at a cost to them usually on a cost per viewer.  Those charges are charged forward to the customer base at large.  In other words, you, and I are charged a fee for having each content provider network via cable.

In this case, that would be CableOne.  Also in this case the content provider, NBC Universal responsible for MSNBC, CNBC, SYFY, USA, etc.

One stream of income is advertising.  We ultimately pay approximately +20%  for ‘paid advertising’ blocs to watch advertising they have already been reimbursed for.  The estimate is based on the equation of minimally 12 min./hr. of advertising, with the + for a number of extended paid advertising blocs beyond an estimated 12 min./hr.

All I know is, The Content Providers and/or Cable Providers owe each customer approximately 20% of that fee as that represents the amount of time we were given pre-paid advertising not, program content.

I think it would be fair to assume that if they want to charge viewers for content, there should be a credit issued of 20% plus a percentage for large blocs of advertising for income already derived by them from advertising back to the cable company, and credited to each customer’s cable bill.

There are plenty of premium content provider networks without advertising.  Should NBC Universal wish to enter that arena they should certainly entertain that idea at a corporate board meeting.

Right now, NBC Universal, and other content providers get a user fee/viewer, advertising income paid by the advertiser, and a +20% premium on advertising content paid for by the viewer via the user fee.

So, I submit to NBC Universal, and CableOne to go about your business without involving your viewer customer base to enter one web sight or, another to support one of you over the other.  That is not my job.  It isn’t my job unless you expect me to play a key arbitration role, and I am paid handsomely to do it.

I have a choice to either continue with CableOne or, change providers, and I reiterate it is not my business nor do I care how CableOne arrives at its’ end product.

These little rate hike wars are part of your business not mine, and I implore all cable providers, and content providers to deal with it!

12-24  NBC Universal continues with their continued scare tactic with a crawl (moving text) at the bottom of the screen which uses a warning tone with CableOne customers that we are about to lose the following (list) networks under their control.  The crawl is an unwelcome interruption during time I pay for via the user fees.

My final sentiment to NBC Universal.  Go!!!!