Cox Raising Arizona (by $2)

Cox Communications Inc. will raise rates by $2 per month in the Phoenix area, The Arizona Republic reported Wednesday.

The hike will boost the cost of the operator’s 22-channel basic service to $17.95 per month from $15.95, and its "Classic" package will rise to $39.95 from $37.95, according to the Republic.

Premium channels, such as Home Box Office, will also go up 95 cents per month, the newspaper added.

However, subscribers to the MSO’s “triple-play” bundle -- digital cable, high-speed data and telephone -- will be unaffected by the rate hike.

Cox vice president Ivan Johnson told the Republic the rate increase was the result of rising costs to meet customer demands for more channels, as well as competition from direct-broadcast satellite.

"Our customers tell us they want more, and there is a cost associated with that," he told the newspaper.