TMCnet News
Comcast testing theme-based cable packages in CT; a national first for Choice?Sep 28, 2011 (The Hartford Courant - McClatchy-Tribune Information Services via COMTEX) -- Comcast is rolling out a theme-based cable TV menu -- MyTV Choice -- that allows consumers to fine-tune their channel selections, a step the company says is the first of its kind in the nation. In Connecticut, the plan -- a market trial -- is being offered to customers who also buy Internet and digital phone service in bundled packages. Under the plan, customers get a discounted rate of either $93 or $110 a month for a bundle that inclues basic cable plans, and can add on any of four theme-based packages for $10 each: the 11-channel "Kids" package; the 20-channel "News & Info" package; the 31-channel "Entertainment & Lifestyle" package or the 16-channel "Movies" package. Cable TV companies have long been under pressure from consumer groups and government regulators to offer menu options so customers can pay less for a more limited set of channels that they want to watch. "MyTV Choice allows consumers to create a tailored video product built around genres that appeal to them. For the first time in the U.S., this trial is bringing consumers theme-based packaging," Kristen L. Roberts, Comcast spokeswoman, said. MyTV Choice does not replace the company's traditional packaging, which is still available. "It simply represents another choice for consumers," Roberts said. Phillip Swann, president of the technology-oriented website TVpredictions.com., said Comcast's new option is neither a new concept nor a bargain. "I have indeed seen TV providers offer packages that they will characterize as themed. They might offer a movie-lovers package or a sports-lovers package in which get basic channels and they add certain channels like sports or movies. In that respect, it's not really that new." "When you look at this plan and starting adding it up...it's a lot of money," Swann said. "The price tag is in the same ballpark as what they have offered as a promotion to new customers in which you get voice, video and Internet." The difference in MyTV Choice, Roberts said, is that the rates are not a promotion that will expire after a year. "This is everyday pricing," she said. Moreover, Roberts said, if a customer only chooses one or two packages, his or her monthly bill will be lower than the standard rate -- so the packages are not add-ons to the standard rate, but true choices. "If somebody wanted all four theme packs, for them it's better to be in the traditional Triple-Play bundle," Roberts said. MyTV Choice is currently available throughout Connecticut, except in the Lakeville areas and the cities of Branford, Clinton and Shelton. Swann added, however, "It's still far away from the concept of pick your channels because you're still paying for premium channels." However, Reuters reported Tuesday that cable operators are trying to engineer a plan that would force programmers, such as ESPN, to "unbundle their networks and allow customers to subscribe to" individual channels. Reuters called it a "complete reversal from cable operators" historical opposition to 'a la carte' programming, which would allow consumers to choose only the channels they view. The cable industry has been fiercely protective of its right to bundle programming, rebuffing attempts by regulators to implement such a la carte programming. "We feel that some of those expensive channels should be offered a la carte so only those people who want to watch them actually pay for them," Jerry Kent, chief executive of Suddenlink, which has 1.3 million cable customers, told Reuters. Rocco Commisso, chief executive of Mediacom, which has 1.2 million customers, "sent a letter to Federal Communications Chairman Julius Genachowski earlier this month that suggested 'instituting a carefully designed a la carte system, so that decisions about what video services are bought are made by consumers themselves, rather than by content owners," Reuters reported. However, Swann said the economics of an a la carte system would "put a lot of channels out of business. They wouldn't be able to offer some channels like the military channel because very few people would buy it a la carte," Swann said. Cable operators, such as Comcast and Time Warner, are worried that consumers, particularly younger consumers, are turning to Internet websites to watch the programs they want instead of subscribing to extended or high-end cable packages, experts say. Comcast and Time Warner Cable, the two largest cable operators, "have lost 1.2 million video customers in the 12 months to June 30," Reuters said. ___ (c)2011 The Hartford Courant (Hartford, Conn.) Visit The Hartford Courant (Hartford, Conn.) at www.courant.com Distributed by MCT Information Services |