Subscribers Will Pay for Fox/Time Warner Deal

Channels up and down the dial are asking for more money
By Kevin Spak,  Newser Staff
Posted Jan 4, 2010 10:00 AM CST
In this Feb. 2, 2009 file photo, a Time Warner Cable truck is parked in New York.   (AP Photo/Mark Lennihan, file)

(Newser) – It’s no coincidence that on the day Time Warner and News Corp. resolved their long, ugly contract negotiations, the cable provider also announced a rate increase. Get used to it, says the New York Times, because soon all the broadcast networks will be lobbying for more dough, as will a host of channels further up the dial.

CBS started asking for fees years ago, and ABC is expected to ask for a healthy cut this year. Meanwhile, cable networks, which are spending more on shows than ever, argue that they deserve more dough as well. All of which will wind up costing subscribers. “We hear from consumers that they are paying too much and getting too little for it,” says a consumer advocate group, “and there seems to be no end to the rate hikes in sight.”

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