Despite the fact that Netflix, HBO Now, Hulu, Amazon, and other streaming services are demonstrating that consumers are tired of paying high rates for cable bundles, some Hollywood execs are still enamored with that model.
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Speaking on his studio’s recent fiscal call, 21st Century Fox COO Chase Carey told analysts that he feels that consumers still prefer to get their home entertainment in cable channel bundles rather than standalone video services.
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Said Carey:
“I don’t think [consumers] want to buy à la carte . . . We continue to believe that the vast majority of subs will continue to want a bundle of channels that is priced appropriately as opposed to a limited number of premium-priced channels.”
Do you think Carey is stuck in the past and clinging to a dying model, or are there still many consumers who are just fine with the cable bundle?
[via Home Media Magazine]
You have to read between the lines. They mean as opposed to them way over-charging you for specific channels, they would have no intention of charging you for a channels actual worth. I call bull, we watch dozens of hours of tv a month and most is local channels and 10 or less of the cable channels. It’s more or less easier to set up season passes on a DVR and to see syndicated shows this way but as the youngest one in the house I’d cut the cord for cable in a second if I was on my own, ststreaming is much cheaper for what I really want
I cut the cable sometime back. Never looked back.
I have over the air. 63 channels. Only watch about 5 of them if that.
I have NetFlix online & in the mail. Warner Bros archives online & HULU.
More then I ever need. All under $40.00 a month.
No need for Cable TV..
it’s a nuanced answer if you really read what he said. They want a bundle that is appropriately priced. See we have always thought that a la carte would be cheaper, but he’s basically saying they would make it so it’s not.
A la carte would be expensive, because right now they get paid to throw in a bunch of crap channels. If we weren’t bundling those, the cable companies wouldn’t make money from the crap channels, then they would pass the cost on to us on the a la carte packages.
You know what cable companies? I would gladly pay $150 a month for say 30-40 of the most desired channels, if you would make them all commercial free. Can you imagine, only having the best and most watched 30-40 channels, and not ever having to watch another ad? Cable companies might actually see people ‘un’cutting the cable.
It will never happen…
I “don’t have a problem” with commercials: I simply don’t watch them. In the early days, I’d mute the TV when they start and only pay attention with the corner of my eye to whether the fracas has stopped and the program has resumed. Now, I time-shift everything – and I mean everything, including the live-est of all, even if I could be there when it’s playing. I’d record the game (including playoffs) and start watching some time after it has started, and fast-forward through commercials, including the nasty in-play commercials. I’ll even go as far as blocking my view of the nastiest in-picture commercials (you know, where they’d stick a commercial in the game stats block). I’ve gotten so good at this, it is no effort for me to do it. I do the same on the computer with various super-effective tools (yes, even on pages where they detect standard ad-blockers). But I’ll support anything I like and use (e.g., Wikipedia). If you want a service to be free and support itself somehow, people will find a way to support it. Or if it’s good enough, make it for-pay. I don’t need anything that uses ads to support itself.
Commercials are not about the service provider, they are about the network. Commercials fund the production costs for the shows they air. If you remove the commercials, you are going to be inundated with product placement and blatant in programming product tie ins that are far worse than specific 3 minute intervals every 12 minutes that you can choose to tune our or pay attention to.
Trust me, you prefer commercials to any alternative.
Trust me, I will not watch commercials under any circumstances, ever! As I said, I’ll use a service only if they don’t try to mess with me. There are plenty of movies already made to last me a lifetime (and for free), and live shows will lose all interest (not just me) if they take it much further, so I’m not concerned there, at all. All entertainment industries will go bankrupt before they even start bothering me.
It’s a good thing they can’t put ads in food.
Most people don’t realize we already have a company that provides a la carte with no commercials and it’s called Apple TV. I’ve been using it for years and haven’t missed any of my favorite cable shows. No commercials, no ads and you can watch it over and over like a DVR anytime.
I believe every on would like alacarte for their programming. Unfortunately it is not in the near future. I for one do not need 10 cooking/news channels along with all the other garbage on bundled services. For that reason i am one of the unplugged. We are growing
Cut the cord a month ago. Couldn’t be happier. I have a OTA now picking up 140 channels. I watch maybe 10 of them. The picture is by far better than anything Direct Tv or the Cable companies can offer. Plus with Netflix and Hulu Plus that puts me at $16.00 a month total. On top of this I have a Channel Master DVR that has $0 monthly fee and I record all my over the air programming that gives me hours of late night programming I don’t stay up late enough to watch.
So cut the cord you will find out that you will live with out it and watch what you have access to which is hours of programming. I typically can knock out a good series in a few weeks with watching stuff on Hulu
140 cannels OTA. WOW! Where do you live? I get maybe 27 in Pittsburgh.
With a powered antenna, we get *44* channels in Upper St. Clair.
Alas, most are redundant, shopping or gospel. :(
I do want bundles as well as A La Carte. I want cable to be like ordering at a Chinese food restaurant, where I have a choice to buy just the specific things I want, or I can pay a little more (or possibly a little less) for a pre-determined combination of several popular items. Then, I can choose what gives me the most value for my dollar (which won’t necessarily always be the cheapest option).