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<blockquote data-quote="RonJohn" data-source="post: 1004616" data-attributes="member: 2426"><p>It is the old model of channel bundling, which is still in effect. Fox negotiates higher rates for the Big Ten Network in areas with Big 10 teams with the cable/sat/streaming companies. Those companies then build it into the price overall, or like DirecTV, add a regional sports fee to cover the difference. People pay because they want cable TV. Some only watch the local stations, and still pay $150 per month including sports, drama channels, history channels, reality TV channels, etc that they never watch. People don't understand why cable TV rates are so high. The content providers and cable companies don't want people to understand, because it is a cash cow, even to this day. Every subscriber in NY pays more than $1 extra for the Big Ten Network because the contracts are written that way, and none of the consumers understand anything about it. Every subscriber in Atlanta pays more than $1 extra for the SEC Network, even if you are heavily anti-SEC because that is the way the contracts are written, and the consumers do not understand how it works. Even if the consumer understands how it works, the only choice is between having a subscription and not having a subscription. How much the Big Ten Network or SEC Network get from your subscription is totally out of your control.</p><p></p><p>Everybody is paying for everything, whether they ever watch it or not. It is a dying business model, but it has been dying for 15 years now and is still very profitable. It will likely continue to be profitable until at least the next rounds of conference media contracts.</p></blockquote><p></p>
[QUOTE="RonJohn, post: 1004616, member: 2426"] It is the old model of channel bundling, which is still in effect. Fox negotiates higher rates for the Big Ten Network in areas with Big 10 teams with the cable/sat/streaming companies. Those companies then build it into the price overall, or like DirecTV, add a regional sports fee to cover the difference. People pay because they want cable TV. Some only watch the local stations, and still pay $150 per month including sports, drama channels, history channels, reality TV channels, etc that they never watch. People don't understand why cable TV rates are so high. The content providers and cable companies don't want people to understand, because it is a cash cow, even to this day. Every subscriber in NY pays more than $1 extra for the Big Ten Network because the contracts are written that way, and none of the consumers understand anything about it. Every subscriber in Atlanta pays more than $1 extra for the SEC Network, even if you are heavily anti-SEC because that is the way the contracts are written, and the consumers do not understand how it works. Even if the consumer understands how it works, the only choice is between having a subscription and not having a subscription. How much the Big Ten Network or SEC Network get from your subscription is totally out of your control. Everybody is paying for everything, whether they ever watch it or not. It is a dying business model, but it has been dying for 15 years now and is still very profitable. It will likely continue to be profitable until at least the next rounds of conference media contracts. [/QUOTE]
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