Tuesday, March 2, 2010

Nothing new - cable rates rise again


It's an annual rite of cable companies to raise their rates because, they claim, content providers raise it on them.

Yes, that is true. But, this time around, BendBroadband is jacking up its Internet rates to offset the increases in cable TV fare.

For those without cable TV, Bendbroadband's basic Internet goes from $46.95 per month to $48.49. That's the first increase in 12 years. The money Bendbroadband makes from the internet is pure gravy. It offsets all other costs.

Somewhat.

Bendbroadband's TV service most comparable to satellite is going from $43.75 per month to $45.29. That's not all. Each TV must have a BendBroadband-supplied converter box. They did cost $2 month per box. That escalates to $3 per box.

So, a home with three TVs will pay $45.29 per month plus another $9 for converter boxes, plus franchise fees and taxes and it's $60 a month for a service that is largely unused. So, for $720 a year for TV alone, you get scores of channels with nothing on.

There are options out there to counter this ripoff.

You can go satellite, but its costs will ultimately be comparable to cable.

Or, you can do what I did and countless others: Use those converter boxes you should have purchased with the $35 government gift per box and watch TV for free. Just like the old days. We get all the major networks, ABC, NBC, CBS, Fox, CW and four PBS channels, plus Telemundo. The clarity of over-the-air broadcast is better than cable or satellite.

Yes, your choices are limited. But, you can always watch The Colbert Report or The Daily Show on your computer, provided, of course you pay BendBroadband's Internet extortion rates. (Didn't we already pay for this Internet with our tax dollars?)

But, there really isn't that much to watch on television. To paraphrase NBC, the less you watch, the more you know.

Also, a la carte pricing, where you pay for only the channels you want, is not likely to lower you cable bill, according to a recent article in the New Yorker magazine.

The only hope on the horizon for those addicted to TV is the convergence of the Internet and your television. More and more TVs are coming equipped with ways to access the Internet without much trouble. This will only increase over time. In a few years, you'll be able to watch what you want when you want.

Gee, what a concept.

1 comment:

  1. Hi Xray!

    I wouldn't believe everything that you read. A La Carte on average might not save EVERYONE money. But for people who watch on average less than 20 channels, you are subsidizing the heavy users.

    Canada didn't just win a gold medal in hockey last week. They also became the first North American country to offer a la carte cable. Bell TV provides the service charging users a base rate of $2/channel while the networks are free.

    If you'd like to join the movement to save money on entertainment, surf over to TV A La Carte.

    http://www.tvalacarte.org/news/2010/02/conventional-wisdom-against-a-la-carte/

    ReplyDelete