OT: The best news all year

Started Jan 3, 2013 | Discussions thread
offroadcmpr
Forum MemberPosts: 72
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Re: Sound like "vaporware" so far
In reply to Jim Cockfield, Jan 3, 2013

I think the article mentions it a bit, but I have a hard time seeing them able to do it. The thing is that the big ones (ESPN, TNT, CNN,...) will only do it if they can be assured that their revenue will not decrease.

Currently ESPN charges around $5 per person. Estimates say that about 25% of people would continue paying for it if it was not bundled.

So just making up numbers, let's say that there are 10 million people currently paying for ESPN, at $5 that would mean ESPN makes $50,000,000 a year. Under the a la carte system there would only be 2.5 million subscribers. For ESPN to continue to have their same revenue then they will have to charge $20 per subscriber. And that is just for one channel. Add a few more channels and you might be looking at $40 or $50 for just a few channels.

So while I would l would love to have the al la carte system, I just can't see it happening any time soon. Currently I just pay for internet and do not do cable at all. But if I could get a few channels for $10 to $15 a month I would go for it. The cheapest plans in my area start at around $30 to $40 a month on top of my internet bill and I just don't think I would use it enough to justify it.

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