Comcast is planning to debut its new streaming TV platform under the NBC “Peacock” brand next April with a lineup of original shows starring well-known talent including Alec Baldwin, Demi Moore, Christian Slater, and Ed Helms.

Peacock will most closely resemble the advertiser-supported Hulu platform, with 21 million Comcast cable television customers getting access for free. Comcast is reportedly also negotiating with other cable, satellite, and telco TV providers about bundling free basic Peacock subscriptions for their cable TV customers as well. Those who never subscribed to cable TV or cut the cord will be offered the option of a lower cost, commercial-filled subscription or a more expensive ad-free option, presumably at prices similar to what Hulu charges ($5.99-11.99).

Peacock’s subscription model is designed to protect Comcast’s cable TV revenue. For existing Comcast cable TV customers, giving ad-supported subscriptions away for free may add to the value proposition of keeping a cable TV subscription. By charging subscription fees to everyone else, Comcast is not ‘giving away the store for free.’ If it did, it could upset other pay television companies that are facing ever-rising retransmission consent fees and programming costs for Comcast/NBC-owned TV stations and cable networks including CNBC, MSNBC, and the USA Network.

Comcast is confident its long experience offering streaming TV Everywhere services including live streaming and on demand programming will mean it will not face the kinds of scaling mistakes other streaming services have had. Bonnie Hammer, the NBCUniversal executive appointed to run Peacock, believes the service’s deep content catalog, starting with 15,000 hours of NBC and Universal Studios TV shows and movies complimented with other acquired and original productions will give viewers plenty to watch.

“I’m not sure anybody else out there can do what we can do,” Hammer told the Wall Street Journal. “We expect to have great content and a great product [that] is really easy to use.”

In addition to scripted content, Peacock will also feature live and recorded news and sports programming from NBC.

Among the shows featured on the Peacock platform:

Original Drama Series

ANGELYNE (limited series)
Limited series based on The Hollywood Reporter feature that explored the identity of L.A.’s mysterious billboard bombshell.

BATTLESTAR GALACTICA
Battlestar Galactica reboot.

BRAVE NEW WORLD
Based on Aldous Huxley’s 1932 novel, Brave New World. The series envisions life in a utopian society that bans monogamy, privacy, money, and never discusses history.

DR. DEATH
Inspired by a podcast by the same name. Dr. Death follows the true story of Dr. Christopher Duntsch (played by Jamie Dornan), a rising star in the Dallas medical community who also emerges as a deadly sociopath. Duntsch’s successful neurosurgery practice gradually deteriorates into a horror show of permanently disabled or dead patients. Two fellow doctors, played by Alec Baldwin and Christian Slater, fight an entrenched medical bureaucracy designed to protect money-making doctors to get his practice shut down.

ONE OF US IS LYING (pilot)
Based on the novel One of Us Is Lying, the crime series follows the unfolding of events after five people spend an afternoon in detention, but only four leave alive.

UNTITLED REAL HOUSEWIVES SPINOFF (no details provided)

Original Comedy Series

A.P. BIO (Season 3)
Picks up where the original NBC TV series left off. When disgraced Harvard philosophy professor Jack Griffin (Glenn Howerton) loses out on his dream job to his rival Miles Leonard (Tom Bennett), he is forced to return to the small town Toledo, Ohio and work as an advanced placement biology teacher at the fictional Whitlock High School. Jack makes it clear to his class that he will not be teaching any biology. Realising he has a room full of honor-roll students at his disposal, Jack decides to use them for his own benefit: getting revenge on Miles. Eager to prove that he is still king of the castle, Principal Durbin (Patton Oswalt) struggles to keep Griffin under control.

PUNKY BREWSTER (pilot)
This continues of the iconic 80s sitcom about a bright young girl raised by a foster dad features Punky as a now single mother of three trying to get her life back on track when she meets a young girl who reminds her a lot of her younger self.

RUTHERFORD FALLS
A small town in upstate New York is turned upside down when local legend and town namesake, Nathan Rutherford (Ed Helms) fights the moving of a historical statue.

SAVED BY THE BELL (reboot)
When California governor Zack Morris gets into hot water for closing too many low-income high schools, he proposes they send the affected students to the highest performing schools in the state – including Bayside High. The influx of new students gives the over-privileged Bayside kids a reality check.

STRAIGHT TALK
Straight Talk examines what happens when two opposing ideologies are forced into an odd coupling. The main characters will be challenged by one another, making the moral lines at which they once stood harder to define.

Original Unscripted Shows 

THE AMBER RUFFIN SHOW
A weekly show featuring Amber’s “signature smart-and-silly take on the week.” The show will de-emphasize talking with guests and spend more time on comedy routines.

WHO WROTE THAT
A docuseries designed to showcase Saturday Night Live’s comedy writers.

Original Made-for-Peacock TV Movie

PSYCH 2: LASSIE COME HOME
Based on the USA Network show Psych, Santa Barbara Police Chief Carlton Lassiter is ambushed on the job and left for dead. In a vintage Psych-style Hitchcockian nod, he begins to see impossible happenings around his recovery clinic. Shawn and Gus return to Lassie’s side in Santa Barbara and are forced to navigate the personal, the professional, and possibly the supernatural. Separated from their new lives in San Francisco, our heroes find themselves unwelcome in their old stomping grounds as they secretly untangle a twisted case without the benefit of the police, their loved ones, or the quality sourdough bakeries of the Bay Area. What they uncover will change the course of their relationships forever.

Legacy Shows in the Peacock Catalog

Bates Motel
Brooklyn Nine-Nine
Cheers
Chrisley Knows Best
Covert Affairs
Downton Abbey
Everybody Loves Raymond
Frasier
Friday Night Lights
House
Keeping Up with the Kardashians
The King of Queens
Married … with Children
Monk
Parks and Recreation (exclusive, available Oct. 2020)
Parenthood
The Office (exclusive, available Jan. 2021)
Psych
The Real Housewives
Royal Pains
Saturday Night Live
Superstore
30 Rock
Top Chef
Will & Grace
100 Dias Para Volver (Spanish-language)
Betty in NY (Spanish-language)
El Barón (Spanish-language)
Preso No. 1 (Spanish-language)

Peacock’s Legacy Movies Catalog

American Pie
Back to the Future
A Beautiful Mind
Bourne franchise
The Breakfast Club
Bridesmaids
Brokeback Mountain
Casino
Dallas Buyers Club
Despicable Me franchise
Do the Right Thing
Erin Brockovich
E.T. The Extra Terrestrial
Fast & Furious
Field of Dreams
Jaws
Knocked Up
Mamma Mia!
Meet the Fockers
Meet the Parents
Shrek

Charter Communications has set the stage for a Wall Street-pleasing boost in average revenue per user (ARPU) with a major broadband rate hike planned for this fall.

The rate of U.S. broadband subscriber growth slowed significantly in the second quarter of 2019, as the marketplace for internet access remains saturated and current customers are largely staying with the provider they know.

A MoffettNathanson report to investors shared by Light Reading reported subscriber growth is down from 3% during the first three months of 2019 to 2.8% over the late spring and early summer. In total, cable and phone companies added 438,000 new broadband customers in the second quarter, a significant drop from the 570,000 they added at the same time last year.

The number of new household formations continues to decline in the United States, presumably because younger Americans saddled with student loan debt are having a tougher time buying property or justifying high rent payments. Providers also believe the ongoing shift away from copper telco DSL service to cable broadband has slowed to a trickle, with those still loyal to DSL not concerned about internet speed, are happy with lower cost service, or do not have any other option. Craig Moffett, chief analyst for MoffettNathanson believes much of the growth in cable broadband at this point is coming from customers switching from services like AT&T U-verse, which still offers top speeds of under 30 Mbps in some areas. Other phone companies still relying on fiber-to-the-neighborhood service are likely also seeing customer departures triggered by recent discontinuation of video service. In most areas, cable operators are still the largest beneficiaries of provider changes. Phone companies relying on DSL continue to report broadband subscriber losses. Last year during the second quarter, phone companies lost 127,000 subscribers (a 1.1% decline). This summer, they lost 172,000 subscribers (a 1.3% decline).

With slowing cable broadband growth, companies are still under pressure to report positive quarterly results to shareholders. Without a significant number of new customers, Moffett believes operators will raise broadband prices to deliver higher revenue, especially in light of ongoing video cord-cutting. Moffett points to Charter Communications’ Spectrum in particular. Spectrum has one of the cable industry’s lowest ARPU numbers, because it does not impose cable modem rental fees or usage caps. That may explain the company’s plans to hike general internet pricing 6% starting in October, soon collecting $69.99 for Standard 100 (or 200 Mbps) service and $75.99 a month for customers bundling Standard Internet with Wi-Fi.

“The broadband increases alone would suggest significant upside to Charter ARPU estimates,” Moffett said. He also noted Charter’s plan to dramatically increase video pricing also “underscores their recent pivot towards ‘letting’ video customers leave if they want, and repricing those who remain for profitability.”

That means customers outraged by Spectrum’s cable TV rate hikes will not get much sympathy from customer retention agents. Moffett believes customers will be invited to cancel cable television service, because Charter does not make as much profit on the service as it used to, and customers will probably still keep their Spectrum internet service, which is enormously profitable for the cable operator. Customers will also pay an even higher price for standalone internet service once they stop bundling television service, increasing Charter’s profits even more.

Ironically, the more Spectrum customers drop cable TV packages, the more profit Charter can report to shareholders. Those keeping cable television won’t hurt Charter’s bottom line either. Customers that readily agree to pay more with each cable TV rate hike are statistically the least likely to complain or cancel.

WASHINGTON, Aug 1 (Reuters) – The U.S. Federal Communications Commission (FCC) last week voted 3-2 to tighten rules governing the franchise fees paid by cable companies to local authorities, a move that cities warn could result in public access channels going off the air or in municipalities losing free service.

Congress previously capped the franchise fees that cable operators pay for using public property, among other factors, at 5% of gross revenue on cable bills. The FCC vote requires non-financial “in kind” contributions made by cable operators must be assigned a value and counted against the cap.

Those costs that now must be counted against the cap include contributions for public, educational, and government access channels, institutional networks and other services like free cable for municipal buildings.

FCC Chairman Ajit Pai said “every dollar paid in excessive fees is a dollar that by definition cannot and will not be invested in upgrading and expanding networks.”

Cable operators pay roughly $3 billion annually in franchise fees to state and local governments.

New York told the FCC all city fire stations get free cable and internet service from cable providers.

“There are no viable alternative services available to the city. The only potential long-term solution would be to build a parallel network which will take years and cost a massive amount of money,” the city said in a July 25 letter.

Pai

The FCC also voted Thursday to bar municipalities from regulating or imposing fees on most non-cable services, including broadband Internet service.

NCTA – the Internet & Television Association representing major cable companies like Comcast Corp, Charter Communications Inc and Cox Communications Inc – said the vote “will help promote broadband investment, deployment, and innovation, to the benefit of all Americans.”

FCC Commissioner Geoffrey Starks said “free or discounted service to cash-strapped schools, provision of critical (institutional network service), discounts to vulnerable communities … are a small imposition given the value received by providers.”

Republicans commissioners point out that cable companies have been forced to fund other events like ice cream socials or offer free service for government-owned golf courses.

Local communities including Atlanta, Boston, Dallas and Los Angeles told the FCC in a joint statement local governments will “be forced to make difficult decisions about reductions in service (i.e., coverage of governmental meetings, community media, and broadband to schools) or increases in local revenue sources.”

Reporting by David Shepardson; Editing by Bernadette Baum

As some Netflix shareholders grumble about the company’s massive investment in developing original content, some of Netflix’s smaller rivals claim the streaming service cannot forever depend on subscription fees alone to cover the billions being spent on new series and movies.

NBCUniversal’s Linda Yaccarino and Hulu’s Peter Naylor both believe Netflix will eventually have to begin inserting advertising into shows if it wishes to continue its spending spree on content while avoiding steep rate increases.

At a Cannes Lions panel held last week, content companies discussed the evolution of streaming services and their embrace of traditional advertising.

“When you have to make more programming that’s not guaranteed to be a hit, you have to spend more money, you have to build your brand, you have to help the consumer discover your stuff — the price will go up for the subscription, and it would be logical to mitigate those increases to take ads,” Yaccarino said.

Hulu remains the biggest and best-known example of a streaming service built on a traditional advertising model. Customers pay $5.99 a month for advertiser-sponsored content, similar to traditional linear television. Customers can buy their way out of advertising interruptions by paying $11.99 a month for a commercial-free plan that is roughly double the usual price. Just under 30% of Hulu subscribers currently select the commercial-free option.

Hulu’s bathroom break ad, displayed when a video is paused.

Naylor claims traditional advertising need not continue to resemble commercial broadcast television, despite the fact Hulu is still mimicking that experience.

“The future of ad-supported media does not resemble what we’re doing today in terms of ad load or even ad shape,” Naylor said. “It can be interactive advertising or nonintrusive advertising. I think you’re going to see a lot of innovation from all of these new OTT providers because we’re allowed to. We’re not married to the clock. Fifteen and 30-second ads were a product of linear TV. When everything’s on demand and served through an IP address, the ad experience is going to dramatically improve.”

Hulu has been experimenting with different ad formats to gauge subscriber acceptance. Interactive advertising, viewer-selected ads, and banner ads that appear when programming is paused are all being tested. A 2 feet by 6 feet banner is perfect for making a big impression.

Although Hulu is dabbling in original content, NBCUniversal spent more than $28 billion on content acquisition and development last year. In contrast, Netflix spent $12 billion. Yaccarino said that as more streaming services launch, particularly those from Disney and WarnerMedia, Netflix will have to further increase its spending to keep up.

A Netflix spokesperson told CNBC all this talk was “wishful thinking from an advertising conference.” Netflix is not currently focused on incorporating ads into any of its shows, the spokesperson confirmed.

Locast, the not-for-profit cooperative that has successfully streamed local, over the air stations without running afoul of copyright law and attorneys, has announced a big expansion into the cities of Los Angeles, San Francisco, Sioux Falls and Rapid City (South Dakota).

The free, donation-supported service now covers (in addition to the aforementioned) New York City, Philadelphia, Boston, Washington, D.C., Baltimore, Chicago, Houston, Dallas, and Denver.

In each city, Locast streams all the major network stations, almost all independents, some low power outlets, and a host of digital sub-channels featuring digital multicast networks like MeTV, Grit, Comet, and many others. It skips home shopping outlets and some minority language stations. Viewers get a program grid to know what to watch, and picture quality is generally very good to excellent.

Locast has staked its position as a “virtual translator” operation. FCC rules allow independent groups to pick up and rebroadcast television stations without the permission of the stations involved, as long as the operation is not-for-profit:

Before 1976, under two Supreme Court decisions, any company or organization could receive an over-the-air broadcast signal and retransmit it to households in that broadcaster’s market without receiving permission (a copyright license) from the broadcaster. Then, in 1976, Congress passed a law overturning the Supreme Court decisions and making it a copyright violation to retransmit a local broadcast signal without a copyright license. This is why cable and satellite operators, when retransmitting a broadcast signal, either must operate under a statutory “compulsory” copyright license, or receive permission from the broadcaster.

But Congress made an exception. Any “non-profit organization” could make a “secondary transmission” of a local broadcast signal, provided the non-profit did not receive any “direct or indirect commercial advantage” and either offered the signal for free or for a fee “necessary to defray the actual and reasonable costs” of providing the service. 17 U.S.C. 111(a)(5).

Sports Fans Coalition NY is a non-profit organization under the laws of New York State. Locast.org does not charge viewers for the digital translator service (although we do ask for contributions) and if it does so, will only recover costs as stipulated in the copyright statute. Finally, in dozens of pages of legal analysis provided to Sports Fans Coalition, an expert in copyright law concluded that under this particular provision of the copyright statute, secondary transmission may be made online, the same way traditional broadcast translators do so over the air.

For these reasons, Locast.org believes it is well within the bounds of copyright law when offering you the digital translator service.

Earlier efforts to stream over the air stations without the permission of the networks or stations involved quickly resulted in lawsuits and eventual forced closedowns. Locast is the exception, at least so far, having launched first in New York City in January 2018. Since that time, no lawsuits have been filed against the service despite its rapid expansion.

Locast suggests viewers donate $5 a month to help cover its costs and is soliciting donations to launch in more cities. Currently, Seattle, San Diego, Alexandria, La., and Albany, N.Y. are the top contenders.

The service is geofenced, so only those present in a Locast-serviced city can access the service.