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a la carte


Programmers came out in force against any proposed a la carte regime in comments filed with the Federal Communications Commission Friday.

In its filing, Turner Broadcasting said a la carte would harm programmers and consumers, making it more costly to create and distribute - as well as more expensive for consumers to view - fewer video offerings.

"High quality video programming is extremely expensive to create, and bundling is the most efficient way to price and distribute it," the programmer said. "Undermining efficient distribution would not benefit consumers. Instead, they would pay more for less."

Viacom, which controls key programming assets such as MTV Networks and Showtime, challenged supporters of a la carte.

"The suggestion of a few parties that an a la carte option would save consumers from being forced to pay a 'tax' for unwanted program services misses the mark entirely," the company said in its FCC comments. "As has clearly been demonstrated in this proceeding, the current program distribution system is highly efficient for all consumers."

Court TV said an a la carte regime would destroy some existing cable networks, discourage the emergence of new networks, disrupt business models, and lead to higher prices for consumers.

However, some voiced support for a la carte, including New Jersey's Division of the Ratepayer Advocate. "It comes as no surprise that the cable industry would so fervently oppose any form of a la carte pricing but the fact remains that cable prices have been increasing at an alarming pace since the deregulation of the cable industry in 1996 and a la carte pricing, if applied appropriately, is the first step in controlling these escalating cable prices," the entity said in its comments.
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Re: a la carte Pressure Tap 8/16/2004 9:56:00 PM