Home » Consumer News »Cox »Video » Currently Reading:

Cox Cable Raises Rates 18% in Virginia – Local TV Fees Blamed for 2nd Hike in 10 Months

Phillip Dampier March 29, 2012 Consumer News, Cox, Video No Comments

In late February, LIN Television, owner of Norfolk’s NBC affiliate WAVY and Hampton Roads’ Fox station WVBT was engaged in a high profile battle with Cox Cable over retransmission consent fees — the price the cable company pays to put over the air broadcast stations on the cable dial.  While neither side would say exactly how much money was involved, Cox Cable customers will foot the bill starting April 2nd, when the Virginia cable operator raises rates up to 18.3% for basic cable — the fourth rate hike since 2009 and the second in 10 months.

A breakdown:

  • TV Starter (broadcast basic + a handful of basic cable networks) up 18.3% — was $18, now $21.30
  • TV Essential (local stations + 40 popular basic cable networks) up 5.5% — was $59.99, now $63.29
  • Digital set top box rental up $1 to $6.99
  • Cox Internet Essential (3Mbps) up 16% — was $24.99, now $28.99

LIN Media owns local stations around the country.

Cox officials blamed the rate increases on the cost of programming, notably for local stations.

“Programming costs are rising much faster than the rate of inflation,” Felicia Blow, a Cox spokeswoman, wrote in an email to the Virginian Pilot. “While we absorb much of the increase incurred [...] we must pass on a portion of the increases to our customers.”

Local broadcasters across the country are aggressively pursuing retransmission consent fees as the traditional advertising model for free, over the air television, has been challenged by the soft economy and poor ad sales.  Parent companies that own clusters of local stations also see the fees as a lucrative new revenue stream for themselves and their investors.

Over the past decade, Cox generally has raised its prices about once a year, notes the Virginian Pilot. The company began speeding up the timetable in 2010. With the latest change coming in April, Cox will have boosted rates for at least some parts of its service – particularly the cost of its most popular package – four times since November 2009.  Approximately 90 percent of 416,000 Hampton Roads-area Cox customers will be paying more for cable service this spring as a result.

http://www.phillipdampier.com/video/WAVY Norfolk Attention COX Communications Subscribers 2-29-12.mp4

WAVY in February reported on its parent company’s battle with Cox Cable in this self-serving story aired on its evening newscast.  (3 minutes)

Share






Search This Site:

Contributions:

Recent Comments:

  • diet tips and fitness goals reviews: Hi i am kavin, its my first occasion to commenting anyplace, when i read this article i thought i could also create comment due to this good post...
  • Tax Services: Heya this is somewhat of off topic but I was wanting to know if blogs use WYSIWYG editors or if you have to manually code with HTML. I'm starting a...
  • psychologie: What really can rip appart a vurlnerable partnership is money issues....
  • agen bola terpercaya: If you are a fan of the World Cup then you probably already have plans to get together to celebrate with family and friends. These folks are really ...
  • Jim Livermore: Another great report, Phillip. While extortion might be a little strong, it is a response to the 6-strike noise by a third party offering a middleman...
  • internet providers belmore oh: Remarkable! Its genuinely amazing article, I have got much clear idea regarding from this piece of writing....
  • loaning money: Do you mind if I quote a few of your posts as long as I provide credit and sources back to your webpage? My website is in the very same area of int...
  • txpatriot: Phillip: do you have a link to the E&Y report? The reason I ask is because you refer to EBITDA margin as "cash flow margin". I know what EBI...
  • สร้างบ้านสวย: Article writing is also a fun, if you know after that you can write otherwise it is difficult to write....
  • DeanInNC: I live in a suburb of Winston-Salem where I can get TWC or Windstream. Windstream employees flat out tell people "we suck" as I have to deal with the...
  • Amy: Called today - spoke to a super friendly, easy-to-understand rep in the retentions dept. I was looking at $175 a month plus taxes/fees with my package...
  • Floyd Murphy: I live in rural Oklahoma and have had windstream for three years. No competition means that while paying for three megs and running at kbps and latenc...

Your Account: