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Cable companies compensate most of the channels they offer, sharing a portion of the money they get from subscribers with the individual stations— but apparently Time Warner Cable doesn't share the wealth with broadcast networks —- and Austin, TX NBC affiliate KXAN is having none of it. They want some money!
KXAN's website has a lobbying section that compares TWC broadcasting their network for free to someone bottling water from a drinking fountain and selling it.
KXAN says:
Here is a basic analogy: If you were to get a drink of water at a public drinking fountain, it is free, but once the water is placed in a package, it is no longer free. The same holds true for local television programming delivered through a subscription-based provider.
...
Time Warner Cable pays cable networks, such as ESPN, TNT, Disney, Lifetime, Nickelodeon, and the list goes on and on. Cable companies often say that local broadcasters have “unreasonable demands” and they are trying to “protect their subscribers from increasing their rates”. If that were true, why are they paying cable networks that have far less viewership than KXAN-TV?
We do not believe that a penny a per day per subscriber is an unreasonable demand for our award-winning news, sports and entertainment programming. It is actually much less than what cable companies compensate many of its cable networks, most of which do not have the high viewing of your local NBC station.
The station also says that they've reached agreements with every other provider — including DISH network, DirecTV, and AT&T.
Time Warner Cable, on the other hand, claims that KXAN is damaging its reputation as a news outlet by "conveying one sided, misleading information to the public." And has set up its own "Anti-KXAN" website.
Time Warner Says:
KXAN is demanding money from our customers to pay for a signal that has been and is free. That's right. They get it free from the Federal Government, but they want you to pay. We don't want that to happen just so KXAN can add to their revenue base.
KXAN is trying to subsidize their business by charging cable customers money. By doing so, they not only add to their revenue base, but take advantage of their viewers by charging for a signal that is FREE.
This may sound familiar to some of you, as the same struggle is going on all over the country, where other stations owned by KXAN's parent company, LIN TV, will also be dropped from TWC on October 2nd if a deal isn't reached.
There are 15 LIN TV-owned stations carried by Time Warner: Austin, Texas; Buffalo, N.Y.; Columbus, Ohio; Dayton, Ohio; Fort Wayne, Ind.; Green Bay, Wis.; Indianapolis; Mobile, Ala.; Springfield, Mass.; Terre Haute, Ind. and Toledo, Ohio.
So what's a consumer to do? Well, you can wait it out and hope that the stations reach a deal with TWC, buy a good antenna, or you can make plans to switch. LIN-TV is encouraging TWC's customers to switch to DISH Network — and also told Multichannel News that customers in the Buffalo area and the Fort Wayne market can switch to FiOS.
If you're in Austin, Buffalo, Columbus, Dayton, Fort Wayne, Green Bay, Indianapolis, Mobile, Terre Haute and Toledo markets you can receive a $50 incentive to switch to DISH.
I love how each time this happens Time Warner offers the same, only one side of the story, and the local station replys with something along the lines of TW being greedy and evil...
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War is an ugly thing, but not the ugliest of things. The decayed and degraded state of moral and patriotic feeling which thinks that nothing is worth war is much worse. The person who has nothing for which he is willing to fight, nothing which is more important than his own personal safety, is a miserable creature and has no chance of being free unless made and kept so by the exertions of better men than himself.
I love how each time this happens Time Warner offers the same, only one side of the story, and the local station replys with something along the lines of TW being greedy and evil...
Like politicans, both sides use the blame game and won't own up to their own greediness.
Same goes for DirectTV and AT&T.
Most of my friends are leaving DirecTV in droves after being with them for so many years and going with AT&T. They have become upset with the slight rise in cost over the years and yet when they call to get a deal, like new customers would,) DirectTV says they can't help them. BS.
Pick a company and service you're happy with and treats you right and go with them, much like cell phone service. Frankly, I don't think any one can actually be declared the best.
__________________ And so it has come to this. Such a sad state we now live in.
Don’t let Time Warner distort the truth. KSAT12 is trying to negotiate a fair contract based on facts.
FACT:
KSAT12 is not the only station having a difficult time reaching an agreement with Time Warner Cable. Just look at what’s happening at a station in Austin.
“KXAN and Time Warner Cable Dispute…”
“Local NBC affiliate KXAN announced today that it may be taken off of Time Warner Cable's broadcast service in early October if current contract re-negotiations don't work out. The station, which has been around since the 1960s, is part of parent company LIN TV, which owns local stations around the country.”
…more
Austinist – September 15, 2008
FACT:
In May of 2000, Time Warner Cable removed 7 ABC stations from cable systems it operates. Preston Padden, the executive vice president for governmental relations at Disney, said, “They’re liars and monopolists.” Robert A. Iger, the president of Disney, said: “They told consumers a blatant lie in saying we pulled the plug. The last time I checked, they were responsible to local authorization for their franchises.”
Credit: NY Times, May 2, 2000
FACT:
In 2006, another cable company called “Brighthouse” reached an agreement to continue carrying WKMG in Orlando, Fl. In coming to agreement with WKMG, Brighthouse said “We remained optimistic that we would find common ground. We have completed an agreement that is beneficial to Bright House Networks customers and both companies,” said J. Christian Fenger, president of Bright House Networks Central Florida Division. “This agreement works well for WKMG, for Bright House, but most importantly, it’s for our customers.” “Local 6 and Bright House Networks will continue to be partners in this community and I am very pleased that the result of our negotiation will not impact our viewers financially.”
FACT:
KSAT12 and Time Warner’s extension agreement ends October 15th. We have been extending the agreement deadline for over a year in order to keep KSAT12 on Time Warner Cable and in hopes of signing an official contract.
FACT:
You as a subscriber pay for all local channels since they are included in your basic cable package. Ask Time Warner if they have a FREE local channels only package. You will be told you have to buy the basic cable package. Truth is they charge you and you are paying for local channels.
FACT:
We are not asking subscribers to pay for anything. We are just informing our viewers that there is a possibility they will not see KSAT12 on Time Warner Cable if we don’t have a signed contract by October 15th.
FACT:
You can watch KSAT12 FREE over the air with an antenna attached to your TV. You can also get KSAT12 on Dish Network , Direct TV, AT&T's U-verse, Grande Communications and all the other service providers in town.
FACT:
You as a subscriber pay for all local channels since they are included in your basic cable package. Ask Time Warner if they have a FREE local channels only package. You will be told you have to buy the basic cable package. Truth is they charge you and you are paying for local channels.
It's true, basic cable is like $20 for only local channels. the Basic Standard plan is what most people consider cable.
FACT:
You as a subscriber pay for all local channels since they are included in your basic cable package. Ask Time Warner if they have a FREE local channels only package. You will be told you have to buy the basic cable package. Truth is they charge you and you are paying for local channels.
that's the whole argument right there.......and TWC has no comeback for it.
FACT:
You as a subscriber pay for all local channels since they are included in your basic cable package. Ask Time Warner if they have a FREE local channels only package. You will be told you have to buy the basic cable package. Truth is they charge you and you are paying for local channels.
Some random thoughts...
What an incredibly stupid statement this is, the reason you choose cable is FOR the other channels other than the FREE local ones. I am not paying for free channels, I am paying for the other cable channels it is offering. It is nice to get the local channels bundled with cable and I would seriously think about dropping them if they lost them.
The reason the local channels are free is because they get their revenue mainly from advertising, so to get anything from the Cable company can be pure profit for them.
If this is so brilliant, wouldn't the same logic work against those Dish networks as well? You have to pay for their BASIC package too!
Amente has it right, they all suck so find a package that is right for YOU. I guarantee TW won't keep many subscribers if they lose the local channels. But, who knows.
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Signature deleted; did not meet forum guidelines. At least thats what I was told.....
What an incredibly stupid statement this is, the reason you choose cable is FOR the other channels other than the FREE local ones. I am not paying for free channels, I am paying for the other cable channels it is offering. It is nice to get the local channels bundled with cable and I would seriously think about dropping them if they lost them.
The reason the local channels are free is because they get their revenue mainly from advertising, so to get anything from the Cable company can be pure profit for them.
If this is so brilliant, wouldn't the same logic work against those Dish networks as well? You have to pay for their BASIC package too!
Amente has it right, they all suck so find a package that is right for YOU. I guarantee TW won't keep many subscribers if they lose the local channels. But, who knows.
Yeah, I think both sides suck but in the end, it's business.
I also think TW needs KSAT more than KSAT needs TW and they'd be fools to allow KSAT to drop. I believe KSAT when they say they are trying to negotiate what they feel is a "fair" deal.......but that's like saying paying guys like Rasho $6 or $7 freakin million a year is a fair deal.........ultimately, it's the consumer that ends up paying out the arse for these 'fair deals'.
Linear Mode
