The Tories running the Canadian federal government are on a mission to slash government spending.  In addition to budget cuts, Ottawa is about to start pink-slipping public service workers.  But executives at Rogers Communications, Canada’s gi-normous media conglomerate can rest easy knowing their corporate welfare payments are still safe from the government axe.

At a time when North Americans are abandoning print media in droves, it’s more than a little odd that Rogers is getting a government handout for a whole mess of magazines the company still prints and sells to an increasingly disinterested public.

It turns out the Canada Periodical Fund exists to throw nearly $71 million a year in subsidies to magazines ranging from the endangered to the ubiquitous.  Among the titles getting taxpayer handouts include those even Americans recognize.  Rogers is getting $1.5 million a year in free money just for printing Maclean’s.  They get the same for Chatelaine, Canada’s version of Reader’s Digest, and Canadian Living.

In fact, more than a dozen well-known magazine titles get a cool million plus from the federal government, just for… existing.

Ironically, Canadian Heritage defends the subsidy program as an effort to ensure “Canadians have diverse Canadian print magazines, non-daily newspapers, and digital periodicals.”  Canadian publishing, much like its telecommunications marketplace, is increasingly about as non-diverse as you can get, as a handful of giant corporations consolidate their ownership of most major print publications.  Transcontinental and Rogers together account for half of the top 50 magazines in Canada.  Smaller titles are fading through a combination of increasing postal rates and decreasing interest on the part of an online-0bsessed culture.

The Ottawa Citizen thinks it has all gotten out of hand:

The central problem with this government program is that big magazines don’t need government help and the little ones aren’t worth it. A really generous observer could see public value in Atlantic Horse & Pony, Modern Dog or Hardware Merchandising, but this is Canadian culture writ extremely small.

The magazine program clearly helps prevent a Darwinian reduction in the astounding number of Canadian magazines. Thus we have Big Buck Magazine ($40,521) a quarterly periodical devoted to deer hunting. Subscribers who enjoy pictures of dead animals might also like Western Canadian Game Warden ($18,626), Ontario Monster Whitetails ($8,488) or The Canadian Trapper ($5,303).

Farm publications are soundly supported, including Canadian Ayrshire Review ($12,319), Canadian Cattlemen ($158,952) and Cowsmopolitan Dairy Magazine ($16,504). It includes no sex tips, by the way. The biggest beneficiary is The Western Producer, a weekly farm newspaper that takes in nearly $1.6 million.

Religious publications also do well, including Canadian Mennonite ($152,957), Mennonite Brethren Herald ($85,590), The United Church Observer ($191,592) and Presbyterian Record ($156,373).

Even the satirical magazine Frank collected $57,517 from the taxpayers, surely one of its best pranks.

[...] The taxpayers might not get much value from the Canada Periodical Fund, but the Conservative government is making the most of it. In the Canadian way, the magazine and weekly newspaper grants have been turned into pork. Local MPs announce these silly little grants, using standard language about how the giveaway contributes to the economy and the diversity of Canadian content.

A few thousand dollars could do wonders for most digital versions of small print publications, all without killing trees and wasting energy delivering them to a dwindling number of readers.  But giant-sized conglomerates like Rogers don’t need the handouts.  Not when the company enjoys a revenue largesse from its current holdings.  You cannot promote diversity handing out checks to companies that would like nothing better than to use the money to merge and acquire their way to an increasingly concentrated media marketplace.  Nobody has proved that better than Rogers Communications.

Would-be customers of Time Warner Cable’s broadband service in Vienna, a small town in Oneida County, N.Y. are confused about why the cable company will not provide them with broadband service, even though cable company lines pass right over their respective driveways.

Pete Rauscher sees neighbors within a mile away happily using Time Warner’s Internet service, even though he cannot buy it for himself.

“I’d like to get the service…so do [my neighbors],” Rauscher told WSYR-TV in Syracuse. “It isn’t right that somebody within a mile of us has the same cable service, but we don’t.”

Rauscher and his neighbors are victims of a de-facto cable industry standard that says wiring fewer than 35 homes within a mile is not financially viable.  Rauscher might understand this, if a Time Warner-owned cable line didn’t pass straight over his driveway.

The cable company says it would cost at least $17,000 to provide Rauscher with broadband service, an installation fee way out of his budget.

Parts of Oneida County are still without any broadband service, except for those lucky (and wealthy enough) to receive and pay for a wireless 3/4G broadband connection from Verizon Wireless.  That company charges $80 a month for up to 10GB of usage, much more expensive than what Time Warner would charge.  DSL is not provided in that section of Vienna.

Time Warner says it regularly re-evaluates expansion into currently unserved sections of its service area.  Two sections of nearby Camden now receive cable service from the company, partly thanks to new housing developments in the rural region.  But for now, the cable company remains resolute in not serving customers who do not meet its population density test.

http://www.phillipdampier.com/video/WSYR Syracuse Fight for High Speed Internet 1-12-12.mp4

WSYR-TV tells the story of rural Oneida County residents who cannot get Time Warner Cable broadband service, even though the cable company lines cross their driveways.  (2 minutes)

Comcast’s e-mail service failed for customers across the country this morning, creating a storm of complaints on Comcast’s customer support forum.

The outage appeared to begin at around 10:00 ET this morning and blocked access to customers relying on Comcast for their electronic mail.

Stop the Cap! reader Bob dropped us a line to let us know about the problem, and its impact appears to be near-universal for Comcast/Xfinity customers.

One reader who managed to get through on Comcast’s overwhelmed customer support phone line sent along this news:

“I contacted Comcast and got a recording that their email servers are having technical issues and their techs are aware of the problem and are working to resolve the issue. They did not give a time frame when the servers would be back on line.”

A Comcast employee reported:

Users of other web-based e-mail services like Gmail are unaffected.

Some Comcast Cable customers in Montgomery County, Maryland are due refunds ranging between $19.95-39.95 for “truck trip fees” that came as a complete surprise.

Since 2007, Comcast has been quietly charging customers for service repair calls that the cable company determines are the result of inside wiring defects, customer-instigated equipment failure, or “no-cause” visits that find no problems with the customer’s service.  But after 85 Comcast customers in the county complained about service call fees that were never disclosed to them, Comcast is agreeing to return the money to affected customers.

In an agreement with the Montgomery County Office of Consumer Protection, Comcast must disclose that service call fees may be applicable under certain circumstances.  Customers must be given the option of canceling the service call with no penalty.

Service call fees are not charged when the company finds trouble in its own equipment or wiring.  In many cases, service call fees come at the discretion of the service crew dispatched to customer homes.  Customer attitude towards the cable company employees can make a big difference in getting them to waive fees, even if the problem turns out to be the customer’s responsibility.

Comcast is not alone charging fees for customer-created problems.  Verizon charges up to $110 in Maryland; RCN — a competing cable company — charges up to $49.95.

Under the terms of the settlement, Comcast does not have to admit any wrongdoing.

Time Warner Cable has opened up access to HBO GO and Max GO to all customers who subscribe to the premium movie channels.  A brief beta test for Time Warner’s super-premium Signature Home customers concluded earlier this week and the service is now available to all.

Stop the Cap! tested the HBO GO service earlier today and can report the service is up and running for Time Warner customers.

The most cumbersome part of both services is the authentication process.  Graceful it is not.  Customers have to start their journey at either the HBO or Cinemax “TV Everywhere” portal, select their cable operator, and then get prompted to authenticate their cable TV service.  Time Warner’s authentication process makes this especially confusing by notifying customers not to use their bill payment service account username and password.  Instead, customers are told to use login credentials for the cable company’s customer information and authentication portal — My Services.  It is easy to get confused which username and password to use.  If you do not have a “My Services” account, the registration process is even more tedious, because you have to wait for confirmation e-mail messages and hunt down a current cable bill, if you receive one in the mail at all.

Having registered for other TV Everywhere services from Time Warner Cable before, it was more than a little annoying going through the same process all over again for HBO.  HBO and Max GO also require the subscriber to choose a username and password on those sites as well, which means yet another account and password to remember.  After about 10 minutes of the irritating multi-step process, access was finally granted.

HBO Go currently has 230 movies available for instant viewing, a large number of which are hardly recent.  The 1953 version of Titanic, for example.  Really?  Oh, God with George Burns and John Denver, the 1979 please-edit-me snoozefest Star Trek: The Motion Picture, and all three Back to the Future movies seemed like a lot of dated filler material for a $15 a month premium movie channel.  Better offerings were found under the series, specials, and comedy categories which delivered a full library of a number of HBO productions, as well as current events shows like Real Time with Bill Maher.  (The latter only included a handful of episodes from the current season and some earlier editions.)

Our biggest trouble came when we tried playing from the menu of titles.  This is no Netflix.  We found picture quality often lacking, with plainly visible screen anomalies, and the stream was interrupted several times for buffering.  Either pent-up demand for HBO Go is causing Time Warner customers to pound the service during the business day, or HBO needs to beef up its server capacity. We did several speed tests and found our connection stable at 30/5Mbps, so this was not a Time Warner Cable broadband problem.

The best part about HBO and Cinemax GO is that it comes free with subscriptions to one or both channels.  We’d have a hard time justifying paying extra for the current online viewing experience.  It also remains ironic that Time Warner Cable executives continue to foster a desire to implement Internet Overcharging schemes like usage caps and/or consumption billing while encouraging customers to consume more bandwidth with online video services such as these.

Time Warner Cable partner Bright House Networks is anticipated to launch both services themselves shortly.

A California federal judge has thrown out most of a class action lawsuit that charged Comcast with marketing broadband service plans without disclosing extra fees for cable modem equipment.

The head plaintiff, Athanassios Diacakis, claimed Comcast sold Triple Play promotions over the phone and in the media without mentioning customers would also have to pay additional fees to lease a cable modem.  Diacakis accused the cable operator of violating California’s tough false-advertising laws by not fully disclosing all fees and surcharges while explaining the promotion.

U.S. District Judge Saundra Brown Armstrong disagreed, however, dismissing most of the plaintiffs claims.  The judge didn’t declare Diacakis’ claims untrue, but ruled they were insufficiently documented to proceed to trial.

“The [amended complaint] fails to specify when or where Comcast advertisements were viewed, the content of those advertisements, or which of them in particular Plaintiff relied upon,” Armstrong wrote.

Diacakis is free to submit an amended complaint if he wishes to proceed with his class action case.

Comcast charges customers $7 a month to lease cable modem equipment, but invites customers to purchase their own cable modems to avoid rental fees.  Many customers do just that, choosing from several dozen approved models Comcast will provision for broadband customers.  The cost to purchase cable modem equipment ranges from $50-125 on average, depending on the cable modem selected.  It takes less than two years for purchased cable modems to effectively pay for themselves at Comcast’s current rental rate.

Republican FCC Commissioner Robert McDowell is questioning whether Comcast misled the federal agency when the cable company acquired wireless spectrum it now says it had no intention of ever using.

McDowell was reacting to Comcast chief financial officer Michael Angelakis, who admitted this week his company really never had any interest in competing in the wireless space.

“Were they purchased under false pretenses?” McDowell asked.

Comcast has since sold their acquired spectrum to Verizon Wireless, which in Angelakis’ view makes sense.

“We never really intended to build that spectrum, so therefore it’s a really good use of that spectrum,” Angelakis said.

That admission puts Comcast in a difficult position, because FCC rules mandate that companies acquiring scarce wireless spectrum make a good faith effort to use it.  In McDowell’s view, had Comcast never intended to put the frequencies to use, the FCC probably would have disallowed the acquisition.

Verizon Wireless also plans to pick up unused spectrum originally acquired by Time Warner Cable in a deal that would let both companies cross-promote cable and wireless products and avoid head-on competition.

Both Comcast and Time Warner Cable have warehoused unused spectrum for several years.  Neither company appeared serious about building competing wireless networks, and with the spectrum off the market, would-be competitors couldn’t launch service either.

Verizon agreed to pay $3.6 billion to acquire the cable industry-owned spectrum, which it intends to use to bolster its LTE 4G network.

The FCC is now seeking public input on whether it should approve the spectrum sale. The Justice Department is also considering its antitrust implications.

http://www.phillipdampier.com/video/BBC News Will 4G be faster than home broadband 1-9-12.flv

The BBC produced this mini-documentary about 4G LTE wireless broadband’s impact in Europe and the United States.  Providers in the UK and northern Europe see wireless 4G as the solution to rural broadband scarcity, but consumers in urban and rural settings won’t put up with stingy usage caps and ridiculously high prices.  Sweden pioneered 4G wireless, running the oldest and most robust 4G network in the world.  In Sweden, TeliaSonera delivers wireless broadband at speeds of up to 84Mbps — many times faster than what Verizon Wireless offers.  But even with those speeds, just 9,000 Swedes have signed up — rejecting the company’s “very high priced” service — $50US a month for 10GB.  (Verizon Wireless charges $80 a month for the same amount of data usage, a testimony to the price sensitivity of a much-more regulated and competitive European wireless marketplace.)

While Europe enjoys faster speeds at lower prices, providers in the United States are treating 4G as a luxury item.  With that in mind, plans by some U.S. carriers to create a home broadband replacement service for rural America that relies on 4G wireless networks will likely face strong consumer resistance because of the extremely high prices and low usage caps.  (The abrupt end of the video is intentional.) (10 minutes)

 

When Massena, N.Y. town supervisor Joseph D. Gray balked at Time Warner Cable’s demands for a 15-year franchise renewal agreement, especially after the cable company never bothered to show up at a hearing on the subject, he thought he could send a message by supporting a renewal expiring after just one year.

But there was a reason Time Warner never bothered to show up to defend their performance in northern New York State over the last decade of increasing rates and unwanted channels shoveled at subscribers — they did really have to answer to local officials.

Gray assumed playing some hardball with the cable company might get their attention and bring them to the table to discuss the demands of local Massena residents he hears from all the time.  At the top of the list is a-la-carte cable — paying only for channels you want.

No deal.

Mr. Gray has since admitted in conversations with the Watertown Daily Times he is frustrated by the town’s inability to effect “any real change.”

This despite the state cable franchise law which declares communities have the right to establish and negotiate “cable-related community needs” as part of the final contract with cable operators.

In fact, the cable industry has spent millions lobbying federal and state governments to deregulate their operations, even though most communities are served by just one cable operator.  While phone companies have made limited progress competing in larger urban areas, most of upstate New York is left choosing between a satellite provider or a cable company — usually Time Warner Cable.

That lobbying paid off in the 1990s when the federal government swept away considerable government oversight of cable operations.  While municipalities technically still control the basic franchising process, those dissatisfied with service from an existing provider rarely find other companies willing to take over.  That leaves Massena stuck with Time Warner Cable, who isn’t giving an inch on how they package their programming.

“We can make some gains for the community. Can we get free service for a couple of municipal buildings? Probably,” Mr. Gray told the newspaper. “They continue to say there’s nothing they can do about programming, there’s nothing they can do about bundling.  That’s from the programmer.  Until we get … a la carte, where people get the channels they want, we’re never going to satisfy people.”

With no progress in sight, stalled contract negotiations between a popular sports cable network and New York’s dominant cable TV company continues to test the patience of customers and sports fans across the state.

Scores of Buffalo-area sports bars have canceled their commercial cable service with Time Warner Cable, generating plenty of business for DirecTV, which still has MSG on the lineup.  Customers across New York have also started to demand a refund of the estimated $4.50 a month Time Warner Cable no longer pays MSG, but still collects from cable subscribers.

http://www.phillipdampier.com/video/WGRZ Buffalo Time Warner and MSG Network plan meeting this week 1-8-12.flv

Time Warner Cable and MSG’s dispute is ticking off Buffalo sports fans.  WGRZ visits area sports bars and talks with both sides in the dispute to learn the latest.  (4 minutes)

Now New York Attorney General Eric Schneiderman is brokering discussions between the two sides, in an effort to restore coverage of the Sabres, Rangers, and Knicks games all displaced from the Time Warner Cable dial.

“We have had constructive discussions with Time Warner and MSG Networks as part of an ongoing effort to facilitate progress in their talks,” said Schneiderman. “We are hopeful that the two parties will come to an agreement in short order.”

So far, those negotiations seem to be going nowhere, and Time Warner released a statement stating they have not had any further discussions with the network.  The cable company has also hardened its position with respect to refunding customers for the lost networks.  While early attempts to win credit were successful, Time Warner representatives are now refusing to compensate customers for the loss of MSG.  Instead, they are offering a free month of their mini-pay sports programming tier, which must be requested to access.  After the first month, the cable company will bill customers $5.95 a month for the channels.

“That’s no help,” says Stop the Cap! reader Jean, a Sabres fan in Amherst, N.Y.  “Not only don’t we get our $4.50 back, they want to set us up to pay an extra $6 a month after the 30-day trial of their ‘compensation’ is up.”

Many of her friends who live in suburban Buffalo are dumping Time Warner in favor of Verizon FiOS.  Area sports bars are following.  At least a dozen have canceled their commercial service contracts with Time Warner Cable, many switching to satellite provider DirecTV.  Buffalo’s love affair with hockey is so intense, 5,000 people showed up last week at the First Niagara Center stadium to watch the Buffalo Sabres away game on large screen televisions hung above the rink.

Sports bars depend on lucrative sales during major sports events, so being without the Sabres proved unacceptable, a point driven home by MSG itself which continues to host free viewing parties at local establishments.  Buffalo wings were included for free.

Stop the Cap! reader Ruth Grunberg, who lives in Cortland, N.Y., has started a petition to demand the cable company refund subscribers the $4.50 a month effectively paid for channels they no longer receive.

“They recently raised rates 7% for the second time in a year and they no longer are sending this money to MSG,” Grunberg says. “They have no right to keep it and pay their bloated executives even more money. It is fraud and bait and switch to promise one thing and deliver another. They should offer a la carte service to solve a multitude of problems.”

The city of New York apparently agrees and continues efforts to pressure the cable company into compensating subscribers for the network loss.

http://www.phillipdampier.com/video/WIVB Buffalo Bars Cancel Time Warner 1-10-12.flv

WIVB in Buffalo reports area sports bars are canceling Time Warner Cable in droves as its programming dispute with MSG drags on with no end in sight.  (2 minutes)