in a move to formalize a reversal of prior policy, the fcc issues findings of a study of benefits of 'a la carte' pricing in cable television.
In Thursday's report, FCC staff said its November 2004 report was wrong to conclude that the average cable household -- which watches about 17 channels -- would likely face a monthly rate increase of up to 30 percent under a la carte.while the cable companies may have a point that DC should/could not dictate industry behavior (what about those licenses granting blessed monopolies?), a gouged consumer can dream
In fact, consumers could receive as many as 20 channels without seeing an increase in bills, the FCC staff said Thursday, blaming its earlier finding on faulty data it obtained from the cable industry.
The latest report also said in most cases subscribers would save 3 percent to 13 percent on their bills under a la carte. It noted that earlier assumptions that a la carte would lead consumers to watch two hours less of TV -- and thus decrease revenue for cable TV companies and increase costs -- lacked factual support.
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