[opendtv] Re: F.C.C. Sees Cable Savings in à la Carte

  • From: "Albert Manfredi" <bert22306@xxxxxxxxxxx>
  • To: opendtv@xxxxxxxxxxxxx
  • Date: Sat, 11 Feb 2006 19:17:38 -0500

Richard Hollandsworth wrote:

>There is a huge difference between announced FAMILY FRIENDLY
>digital tier (starts next month) and the least expensive digital tier
>which would include most of those same channels.

I'm not sure what point you're making, Richard. The FCC, in its previous 
report, had already supported greater variety in tiers (bundled programs). 
What they are saying now is pure a la carte is cheaper. Of course, it can 
be, for those who will remain satisfied with very few channels.

Also, they admit that there will some channels that will get axed under pure 
a la carte, for lack of interest from subscribers. I find this natural, of 
course, but I know there are some on here who have often argued on behalf of 
unknown producers getting a chance. The same people who want a la carte 
program selection.

If these iunknown producers had any chance under bundled programs, because 
many TV viewers *do* surf channels when they have nothing specific to watch, 
and would therefore stumble upon shows they otherwise would have missed, the 
unknowns would very likely get no chance with a la carte. Here's part of the 
quote:

"49. In addition, while the First Report focuses on a possible negative 
impact of a la carte on smaller networks, highly valued networks may find an 
increase in revenues under a la carte. As discussed below, a la carte could 
weed out those networks that consumers value at less than the networks? 
costs, thereby shifting some viewers to more valuable networks. As a result 
of this shift, more valuable networks? ratings might rise, which could lead 
to additional revenues for those networks."

Exactly.

All in all, it seems to me that the savings with pure a la carte appear to 
be slim, or sometimes none, while some of the benefits of exposure for 
unknown producers, which have been touted as a good thing, will be lost.

I'm frankly puzzled by this latest report. I'd love to see Booz Allen's 
rebuttal. It sounds suspiciously like the FCC didn't get the answers they 
wanted to see. It's inconceivable that the previous report could have been 
so full of flaws and have passed muster then.

Bert

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