Cable bills going up this year - and next year, and the year after that - with no end in sight
Published January 7th, 2010
According to CNN Money, cable TV subscribers should prepare themselves for a new round of rate hikes as the industry tries to sort out its problems by having customers foot the bill.
Networks are suffering as advertising dollars fall. Cable providers are faced with competition from satellite providers and telecoms, as well as ballooning technology spending required to deliver extras like high-definition TV and programming on demand.
Currenlty, the average digital cable customer already pays about $75 a month, according to research firm Centris. And many subscribers pay more than $100 to tune in to everything from "The Daily Show" to "Jersey Shore."
Customers see an average annual price hike of 5%, analysts say -- which means that in five years they'll be shelling out more than $95 a month for TV.
"There will always be an increase in cable bills," said Miller Tabak & Co. media analyst David Joyce. "Times are changing and providers have to make up losses somewhere, so consumers bear the brunt of it."
Read the full report at the CNN Money Web site.
http://www.timesnews.net/article.php?id=9019586
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