Time Warner Cable

[Jadaki 0]

That sounds like complete bs to me. The cable company makes a ton of money. They charge a lot because they can. What they are banking on is that you will just continue to pay your bill after the introductory offer has expired regardless of how ridiculously high it is. They raise the rates because they like money, not because they are going broke because of "whiny" folk.I don't have cable. Should I feel guilty for not contributing?

You're incorrect.Cable companies are for the most part break even (if they are lucky) on cable television packages. The reason cable companies have expanded into internet service providers and offering VOIP is because they are much more profitable ventures than television. The majority of profit from television they make comes from advertising and selling PPV/On Demand services. The average consumer has no idea how much it costs to actually get a signal to your house. I've seen those numbers, it's not cheap.

[vbnautilus 48]

Cable actually does, but there is enough competition that is moot.

I don't think I know anyone who has a choice in cable companies. There is one cable company that services my area and I can either use them or not have cable. The only competition is from one single satellite company, and in some cases where cable is not available, that is the only pay tv service one can get. Doesn't seem like a lot of competition to me.

[Jadaki 0]

I don't think I know anyone who has a choice in cable companies. There is one cable company that services my area and I can either use them or not have cable. The only competition is from one single satellite company, and in some cases where cable is not available, that is the only pay tv service one can get. Doesn't seem like a lot of competition to me.

Cable companies generally own the entire cable plant that runs signal to subscribers in an area. You won't see two cable companies in the same market for that reason. It would cost way to much to come in build another plant and compete for 1/2 the business. It would be a great way for the companies to go bankrupt. Generally cable companies expand by purchasing various markets from other companies, however with the current stock prices for cable companies hardly anyone is buying or selling territories right now because those deals are typically predicated on some exchange in shares.

[vbnautilus 48]

Cable companies generally own the entire cable plant that runs signal to subscribers in an area. You won't see two cable companies in the same market for that reason. It would cost way to much to come in build another plant and compete for 1/2 the business. It would be a great way for the companies to go bankrupt. Generally cable companies expand by purchasing various markets from other companies, however with the current stock prices for cable companies hardly anyone is buying or selling territories right now because those deals are typically predicated on some exchange in shares.

Ok, those are the reasons why there is no competition, but the fact that there isn't any has to affect costs. We recently had Verizon come to us and offer to install FIOS to our building, which would provide a second option for tv service. Time Warner doesn't want to lose us, but Verizon's service is cheaper. Competition is always good for the consumer, and this is an industry where there generally hasn't been any, so I doubt that prices are as low as they can be.

[Jadaki 0]

Ok, those are the reasons why there is no competition, but the fact that there isn't any has to affect costs. We recently had Verizon come to us and offer to install FIOS to our building, which would provide a second option for tv service. Time Warner doesn't want to lose us, but Verizon's service is cheaper. Competition is always good for the consumer, and this is an industry where there generally hasn't been any, so I doubt that prices are as low as they can be.

I agree with what you are saying in general as far as competition being beneficial for the consumer, but in a lot of ways competition with overlaying cable plants would not improve anything. That is why the competition is cable vs satellite. You would have two cable companies losing money paying for upkeep on equipment because they would not each have the number of subscribers needed to support themselves by splitting a market. The standard practice right now by the successful cable companies is to get cable to as many customers as possible by offering the best prices they can on their basic services. Then they make money on other services those same customers use, not cable. You would have a hard time finding any cable company making money on what subscribers pay for purely cable television services alone. Also you have content companies like Sinclair who are trying to start charging cable companies 3-4x as much as they used to for providing content. Who do you think absorbs that cost if the contract gets more expensive? Until a different model is developed to provide the same service without the costs of maintaining a cable plant proves successful, not much is going to change. There are companies attempting things, but nothing has really latched on so far.Sidenote: I'm a woefully underpaid employee for a cable company that I can't stand. I have no reason or desire to justify their business practices. I'm just letting you know how it works.

[runthemover 39]

Section 8? This is a legitimate situation where other folks actually get screwed on their taxes to help you.

I was just making a joke based on mdg's comment about me trying to get a cheaper cable billI'm just looking for a new/cheaper place to live

[mrdannyg 274]

I don't think I know anyone who has a choice in cable companies. There is one cable company that services my area and I can either use them or not have cable. The only competition is from one single satellite company, and in some cases where cable is not available, that is the only pay tv service one can get. Doesn't seem like a lot of competition to me.

Jadaki's made better points than I even could, but I'll accept wrongness on this one. I live in Eastern Canada, and we have two cable options. With all the ads for American services, I just assumed Americans had as many choices, if not more.

[vbnautilus 48]

I agree with what you are saying in general as far as competition being beneficial for the consumer, but in a lot of ways competition with overlaying cable plants would not improve anything. That is why the competition is cable vs satellite. You would have two cable companies losing money paying for upkeep on equipment because they would not each have the number of subscribers needed to support themselves by splitting a market. The standard practice right now by the successful cable companies is to get cable to as many customers as possible by offering the best prices they can on their basic services. Then they make money on other services those same customers use, not cable. You would have a hard time finding any cable company making money on what subscribers pay for purely cable television services alone. Also you have content companies like Sinclair who are trying to start charging cable companies 3-4x as much as they used to for providing content. Who do you think absorbs that cost if the contract gets more expensive? Until a different model is developed to provide the same service without the costs of maintaining a cable plant proves successful, not much is going to change. There are companies attempting things, but nothing has really latched on so far.Sidenote: I'm a woefully underpaid employee for a cable company that I can't stand. I have no reason or desire to justify their business practices. I'm just letting you know how it works.

Yeah there was a whole situation here when Fox? decided they were going to start charging more and TW was in a showdown with them and were prepared to stop delivering all those channels. They sent me like six emails in order to make it clear that they were getting screwed and they weren't screwing me.

[Nikki_N 17]

You're incorrect.Cable companies are for the most part break even (if they are lucky) on cable television packages. The reason cable companies have expanded into internet service providers and offering VOIP is because they are much more profitable ventures than television. The majority of profit from television they make comes from advertising and selling PPV/On Demand services. The average consumer has no idea how much it costs to actually get a signal to your house. I've seen those numbers, it's not cheap.

Okay, so I'm wrong on that. I don't think it changes my point, though. If I want a cheaper rate and I'm not willing to pay more, then the company can give me the cheaper rate or I can cancel my service. I'm not beholden to the other customers to pay more than I think the service is worth to me. The rates charged are completely the responsibility of the cable company.

I was just making a joke based on mdg's comment about me trying to get a cheaper cable billI'm just looking for a new/cheaper place to live

I know. I was joking back. I'm not a good comedian.

[mrdannyg 274]

Okay, so I'm wrong on that. I don't think it changes my point, though. If I want a cheaper rate and I'm not willing to pay more, then the company can give me the cheaper rate or I can cancel my service. I'm not beholden to the other customers to pay more than I think the service is worth to me. The rates charged are completely the responsibility of the cable company.

Not that my opinion matters at all, but if I was stating an ethical position, I would have no problem with someone 'demanding' a lower fee from the company, or they'd cancel their service. Then it is the company's decision. I doubt a company would allow you the service at an unprofitable price for an extended period, but if they think they can get money from other people to do so, that's fine.It's the fake complaining in exchange for less money, or people who think they've beat the system by asking for lower rates when they would be willing to pay the full rate that bugs me. And yes, I have worked in customer service recently...

[David_Nicoson 1]

It's the fake complaining in exchange for less money, or people who think they've beat the system by asking for lower rates when they would be willing to pay the full rate that bugs me. And yes, I have worked in customer service recently...

Does it bother you more, less, or the same as a company that asks for one price but would really be willing to accept something lower?

[mrdannyg 274]

Does it bother you more, less, or the same as a company that asks for one price but would really be willing to accept something lower?

I don't really care what the company does. All companies are dishonest, I hold individuals to a higher standard. Price discrimination is economically efficient, so I'm usually for anything that is vaguely legal or honest that promotes it.This might be the first time in FCP history someone has actually asked for my opinion. I'm so giddy, I barely know what to do. Even if you were making fun of me, I'm going to savour this moment.

[El Guapo 8]

I don't really care what the company does. All companies are dishonest, I hold individuals to a higher standard. Price discrimination is economically efficient, so I'm usually for anything that is vaguely legal or honest that promotes it.This might be the first time in FCP history someone has actually asked for my opinion. I'm so giddy, I barely know what to do. Even if you were making fun of me, I'm going to savour this moment.

Well, you took this one opportunity to spout biased hyperbole that means nothing, so way to go.

[mrdannyg 274]

Well, you took this one opportunity to spout biased hyperbole that means nothing, so way to go.

Not really. The only thing that potentially fits that description is "all companies are dishonest," which is really just semantics. But who asked for your opinion?

[vbnautilus 48]

I don't really care what the company does. All companies are dishonest, I hold individuals to a higher standard.

I guess next time I want to do something really bad I'll just put together a company to do it.

[runthemover 39]

[mrdannyg 274]

I guess next time I want to do something really bad I'll just put together a company to do it.

Or, you could become a roadrunner and do the splits.