USA Today reports that the cable industry criticized the Federal Communications Commission for its report last month that concluded many consumers could reduce their monthly bills if they could subscribe just to channels they want.
The National Cable & Telecommunications Association and Disney released separate studies each commissioned that reached a similar conclusion: The FCC made errors in its analysis, and as a result, favors a policy of a la carte pricing that would result in higher prices as well as fewer and less diverse programming options.
Meanwhile, The FCC stood by its study. Why? The new reports are a sign of "industry hysterics," says Consumers Union's Gene Kimmelman. "In Canada, you can buy a la carte as many channels as most Americans watch for about 20 percent less. In France, you can get ESPN for 40 cents a month, so it's hard for me to believe it would be $20 here in the U.S."
Moreover, PCCW offers IPTV-based a la carte programming within the Hong Kong market, and subscribers are clearly able to pay less than American consumers, which begs the question -- could the U.S. MSOs learn from more progressive service providers in other countries?
The National Cable & Telecommunications Association and Disney released separate studies each commissioned that reached a similar conclusion: The FCC made errors in its analysis, and as a result, favors a policy of a la carte pricing that would result in higher prices as well as fewer and less diverse programming options.
Meanwhile, The FCC stood by its study. Why? The new reports are a sign of "industry hysterics," says Consumers Union's Gene Kimmelman. "In Canada, you can buy a la carte as many channels as most Americans watch for about 20 percent less. In France, you can get ESPN for 40 cents a month, so it's hard for me to believe it would be $20 here in the U.S."
Moreover, PCCW offers IPTV-based a la carte programming within the Hong Kong market, and subscribers are clearly able to pay less than American consumers, which begs the question -- could the U.S. MSOs learn from more progressive service providers in other countries?