Broadcasters LOL at MVPD 'Ransom' Campaign
Broadcasters fired back Wednesday (Oct. 4) at an American Cable Association "Ransom TV" campaign blaming broadcasters for retrans blackouts and escalating retrans fees.
That came in a blog post on the TVFreedom.org Web site, a consortium of broadcasters trying to preserve the retransmission consent regime that ACA, both individually and as part of the American Television Alliance (ATVA), wants the government to revisit and reform.
Related: ATVA: Cable Act Was Disaster for Consumers
"ACA and ATVA are correct: a ransom is being demanded in the pay-tv market, but it’s not coming from broadcasters. It’s the King’s Ransom demanded by pay-TV companies every time a customer opens a monthly bill," said TVFreedom. "Start with $20 set top box fees, then add the oft-hidden fees for DVRs, second remotes, and other equipment. Include the double-digit monthly Regional Sports Network fees – for programs that many viewers never watch. Don’t forget the unannounced price increases at double the rate of inflation and harassing telemarketing calls either. And do pay-TV companies offer rebates to customers constantly subjected to blackouts caused by passing rainstorms? Not a chance."
To read the entire statement, go here.
ACA and ATVA are pressing the issue as broadcasters and MVPDs start renegotiating carriage agreements that are expiring toward the end of the year. MVPDs say broadcasters are using undue leverage provided by government to extract excessive fees, fees that hit their customers in the pocket books or lead to blackouts when deals can't be struck.
Broadcasters counter that they are only now starting to get the real value of their must-have signals in what they argue is a fair marketplace negotiation.
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Contributing editor John Eggerton has been an editor and/or writer on media regulation, legislation and policy for over four decades, including covering the FCC, FTC, Congress, the major media trade associations, and the federal courts. In addition to Multichannel News and Broadcasting + Cable, his work has appeared in Radio World, TV Technology, TV Fax, This Week in Consumer Electronics, Variety and the Encyclopedia Britannica.