Wednesday, September 14, 2011

Small cable TV providers are raising the red flag on the new ESPN/NFL contract

In another attempt to push for ala-carte cable TV packages (more than likely another failed attempt), the American Cable Association is calling on Congress and the FCC to allow cable providers to carry ESPN and other sports channels in an ala-carte package.

According to the Politco Web Site, the American Cable Association is claiming that the new ESPN/NFL TV contract valued at $1.9 billion per year will lead to higher cable rates that all subscribers will pay, regardless if they watch ESPN or not.  The American Cable Association represents nearly 1,000 small cable TV providers.

In an ala-carte world, you can say goodbye to niche channels like the Oprah channel, DIY, RFD-TV, etc, the niche channels just wont survive in an ala-carte world.  Regardless if I watch a niche channel, just like the non-sports fans who have to pay for ESPN, I have to pay for the niche channels as well and I can  most certainly live with out the Discovery Networks, DIY and I've seen enough of Man vs Food, so I would have no need for The Travel Channel either.

Regardless of which sport it is, sports programming on both cable & over the air TV are putting up huge, huge, TV ratings and with live sporting events being DVR-proof, they will continue to put up huge TV ratings and will continue to generate big time advertising dollars.

If the non-sports fans get their wish and ala-carte cable TV becomes a reality, we'll have a cable TV lineup consisting of about 5 general entertainment networks like USA, TNT, etc. who will continue airing 10 hour marathons of the various Law & Order and CSI series, all of the sports channels, and all of the home shopping and religious channels one person can handle because those channels pay the cable & satellite providers to be carried on their respective systems.

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