Quote:
Originally Posted by arsenal
Rather than a pure pay per channel model, you could a hybrid. Still pay for channel packs, but you choose which channels are included rather than the cable or internet company choosing.
Say standard local stations = $10/month
HD Package includes 5, 10, 15 channels of your choice = $10/$15/$20
and so on.
It is still very close to the current model, but it gives more power to the user to select which channels they want to subscribe to rather than the cable companies packaging channels together. Then it's up to the cable provider to distribute funds to channels from the subscribers funds. You would very quickly see unpopular channels go away, and the most popular ones will probably increase in revenue.
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Doesn't really work out that way though. I don't know the exact numbers, but I'd guess if you looked at a typical American television bill without equipment rentals or premium channels, it would be about 200 channels for $40-50. About $20 would go to a handful of sports networks, about $5 would go to the other 190 or so channels, and the rest would go to the carrier for infrastructure, operating costs and profit. The vast majority of channels, you are not really paying for anyway, they make their money by being available for free and are ad supported.