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FCC votes to ban termination fees for cable and satellite services

cnbc.com

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Re: FCC votes to ban termination fees for cable and satellite services

#2
Unfortunately, they will probably respond by raising rates to cover lost revenue from early termination fees and the loss of lock-in. This is arguably better though, since there is up-front pricing.

EDIT: Perhaps the only situation where it isn’t is where they are the only game in town and you intend to ride out the whole contract.

Re: FCC votes to ban termination fees for cable and satellite services

#3
post #2

Unfortunately, they will probably respond by raising rates to cover lost revenue from early termination fees and the loss of lock-in. This is arguably better though, since there is up-front pricing. EDIT: Perhaps the only situation where it isn’t is where they are the only game in town and you intend to ride out the whole contract.

He said "probably".. rofl..

edit: I stand by it. I have fucking decades of history behind my statement so just enjoy being wholly inaccurate!

Re: FCC votes to ban termination fees for cable and satellite services

#4
post #2

Unfortunately, they will probably respond by raising rates to cover lost revenue from early termination fees and the loss of lock-in. This is arguably better though, since there is up-front pricing. EDIT: Perhaps the only situation where it isn’t is where they are the only game in town and you intend to ride out the whole contract.

The economics doesn’t fully allow for that, due to both visibility and time preferences

Re: FCC votes to ban termination fees for cable and satellite services

#5
post #2

Unfortunately, they will probably respond by raising rates to cover lost revenue from early termination fees and the loss of lock-in. This is arguably better though, since there is up-front pricing. EDIT: Perhaps the only situation where it isn’t is where they are the only game in town and you intend to ride out the whole contract.

> Perhaps the only situation where it isn’t is where they are the only game in town and you intend to ride out the whole contract.

They should use loyalty discounts then, or any other system where the business incentives align with the customer incentives. ETF's are the exact opposite of that.

Re: FCC votes to ban termination fees for cable and satellite services

#7
post #2

Unfortunately, they will probably respond by raising rates to cover lost revenue from early termination fees and the loss of lock-in. This is arguably better though, since there is up-front pricing. EDIT: Perhaps the only situation where it isn’t is where they are the only game in town and you intend to ride out the whole contract.

[deleted]

Re: FCC votes to ban termination fees for cable and satellite services

#8
post #2

Unfortunately, they will probably respond by raising rates to cover lost revenue from early termination fees and the loss of lock-in. This is arguably better though, since there is up-front pricing. EDIT: Perhaps the only situation where it isn’t is where they are the only game in town and you intend to ride out the whole contract.

Some ISPs make it really hard to know what the 'up-front' price is after all the bs fees and taxes that get added

Re: FCC votes to ban termination fees for cable and satellite services

#9
post #2

Unfortunately, they will probably respond by raising rates to cover lost revenue from early termination fees and the loss of lock-in. This is arguably better though, since there is up-front pricing. EDIT: Perhaps the only situation where it isn’t is where they are the only game in town and you intend to ride out the whole contract.

He said "probably".. rofl.. edit: I stand by it. I have fucking decades of history behind my statement so just enjoy being wholly inaccurate!

They're going to raise rates no matter what.

It's difficult to know how much this will impact what they raise rates by.

Re: FCC votes to ban termination fees for cable and satellite services

#10
post #2

Unfortunately, they will probably respond by raising rates to cover lost revenue from early termination fees and the loss of lock-in. This is arguably better though, since there is up-front pricing. EDIT: Perhaps the only situation where it isn’t is where they are the only game in town and you intend to ride out the whole contract.

Not necessarily and not straightforwardly. At least theoretically, the monthly fees are already at the maximum they an extract. Making them higher means less customers and that trade off did not changed.

Companies are not trying to earn enough to cover expenses. They are trying to earn maximum possible.

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