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by Samuel_Michon
4828 days ago
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I agree with all of sentiments in the blog post but this: “Why should almost 40% of my time be taken up by adverts for something I am ALREADY paying for?” Your cable subscription is a partial payment for viewing the shows. It's works in the same way as buying a newspaper or magazine: the revenues from newsstand sales are a fraction of what it costs to create and distribute the publication. The rest is paid through advertising. Even more, subscription prices are kept low so that the publishers can claim a certain degree of readership, thus being able to ask certain advertising rates. |
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Alas, the cable TV market is not perfect. Not by a long shot. Too many barriers to entry, too few players for competition.
The end result is that consumers are certainly overpaying for cable TV, be it through the subscription price or the advertisement time price.
[1] http://www.investopedia.com/terms/e/economicprofit.asp