Twenty Eighth Blog Entry Mon Sept 5th

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In my last post I described the controversial issue of broadcast retransmission and how greedy programmers who require providers bundle channels thus preventing consumers from getting the few channels they want a la carte more cheaply keep driving up prices when contracts are up for renewal. I mentioned how even basic cable for cable customers has 70+ bundled channels.  Consider for a moment your cable or satellite TV bill and that even if you have a basic package the cost of the basic package might increase if the programmers who own channels in that basic package demand higher retransmission fees from your provider. That is even if you lack the top 100, top 200, or top 300 channels, a DVR and/or Video On Demand service your prices could still go up. This certainly would not seem fair for consumers and it is wrong for greedy programmers especially in an economy with high unemployment to try and gouge the providers and consumers for more money.

Nonetheless the programmers continue to do so each time contracts are up for renewal and providers have two options cave and raise prices on consumers to compensate for the higher fees they have to pay or fight and lose access to some channels their customers like. The only best case scenario is for them to reach a fair compromise that ensures the programmers are fairly compensated and providers don’t have to pay too many more fees that must be passed on to their customers.

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