Comcast to Raise Basic Cable Rates by up to 4.5%

Jason Fritz

Administrator
Staff member
#1
Looks like Comcast will be hiking basic cable rates across the country by up to 4.5% in October of 2008.

Andrew Johnson, a regional vice president with Comcast said,
"Price adjustments are a necessity in view of the increased cost of doing business in this challenging economic environment,"
Some customers are paying up to $71/month for basic cable rates, which have risen 59% since 2001 in certain parts of Southern Calirfornia. This will also mark the second time in one year that customers have seen a rate hike.

Comcast claims that bundled customers (customers who subcribe to cable,telephone, and internet), will not be affected by rate increases.

I'm going to attach two links below, but it seems like basic cable plans now cost between $55-$75 across the country. Doesn't that seem a little high?

Read more about it at:

Comcast to boost county cable rates | PressDemocrat.com | The Press Democrat | Santa Rosa, CA

http://www.thedailyworld.com/articles/2008/09/02/local_news/03news.txt
 
#2
"Price adjustments are a necessity in view of the increased cost of doing business in this challenging economic environment,"

I'd like them to defind the types of problems they are having in this economy. Not enough price gouging, perhaps? Just what kind of costs have been incurred? Just another sign that Comcast is doing whatever it wants and is just trying to screw the consumer.
 

Taki

DTVUSA Member
#3
Well you always have the choice to discontinue service. When the majority of their customers have done so they will lower prices or go bankrupt. Remember the consumers by-laws.

" Give me what I want at the price I want it when I want it or my money will stay in my pocket and you can go bankrupt for all I care. "

Words to live by.
 

dreamr802

DTVUSA Member
#4
I was looking into switching to comcast but once I heard that they were raising the prices I decided against it because I do love my directv but the big thing that was drawing me to comcast was that they were giving away free wiis for new customers.
 

Fardreamer

DTVUSA Member
#5
Well you always have the choice to discontinue service. When the majority of their customers have done so they will lower prices or go bankrupt. Remember the consumers by-laws.

" Give me what I want at the price I want it when I want it or my money will stay in my pocket and you can go bankrupt for all I care. "

Words to live by.
Wasn't the 1996 Telecommunications Act, the very same piece of legislation which has led to the Feb. 2009 switchover to digital broadcasting, supposed to protect consumers from constant price hikes? This is just another bit of evidence that companies such as Comcast are not really interested in keeping their customers happy but rather increasing their profit margin.
 
#6
Yeah they need to look at the consumer as a whole, especially with how the economy is nowadays, not many people can even afford the basic cable packages with comcast. The first year is great when you are on that promotional rate but after that it just goes up and up and up.
 

Fardreamer

DTVUSA Member
#7
Yeah they need to look at the consumer as a whole, especially with how the economy is nowadays, not many people can even afford the basic cable packages with comcast. The first year is great when you are on that promotional rate but after that it just goes up and up and up.

But there's the rub; Comcast only looks at the consumers as a source of revenue, not as human beings who may be having a tough time making ends meet.

For instance, we are paying customers of Comcast; the notion of pirating or stealing cable signals is anathema to us. The only thing we don't use from Comcast is the channel box; the TVs we've had receive the signal well and we aren't interested in HBO, Pay Per View, porn channels to pay for, or any of the extras the box is meant for. And yet, our non-premium lineup costs nearly $60.00 a month. That's insane!
 

datadee

DTVUSA Member
#8
I agree with Taki. As long as the demand is there, they'll charge what the market will bear. Look at how the gas prices have come down because we're using less gas. They're trying to entice us to increase our driving. I we stopped using the cable companies, the prices would come down. Trouble is, we won't stop!
 

kaye

DTVUSA Jr. Member
#9
I was a Comcast customer who enjoyed the choices that Comcast offers to their subscribers.However,its seems that they are always adding more and more costs to the service every month.I am amazed that pay per view got up to $4.99 per view.
 
#10
Sorry for bumping this post, just wanted to say this is why people should start taking advantage of digital over the air.

Once you get a box and an antenna you will never pay a dime for TV ever again. And, you are basiacally paying for the same channels when you can get them for free with an antenna.

This is why I stayed on the over the air route. You are paying for channels that you can get for nothing. Same with satellite. Instead of paying $10 extra on your satellite bill for locals, get a dtv box. My buddy saves $13 a month doing this. He's glad I told him about it, and for people who can't afford cable or don't want to pay, it's a great alternative.
 

Byte24

DTVUSA Member
#11
Sorry for bumping this post, just wanted to say this is why people should start taking advantage of digital over the air.

Once you get a box and an antenna you will never pay a dime for TV ever again. And, you are basiacally paying for the same channels when you can get them for free with an antenna.

This is why I stayed on the over the air route. You are paying for channels that you can get for nothing. Same with satellite. Instead of paying $10 extra on your satellite bill for locals, get a dtv box. My buddy saves $13 a month doing this. He's glad I told him about it, and for people who can't afford cable or don't want to pay, it's a great alternative.
Agreed, like I said in another thread, you have to weigh the pros and cons of having cable or satellite service. For me, it was an easy decision because I just don't watch enough TV for Cable to be a worthwhile investment.
 

Fardreamer

DTVUSA Member
#12
I've never truly understood why satellite companies have to charge extra for local channels. It's a bit arcane and even though I'm not ignorant about mass communications or broadcasting, I do not see any compelling technical reason why this should be allowed.
 
#13
I've never truly understood why satellite companies have to charge extra for local channels. It's a bit arcane and even though I'm not ignorant about mass communications or broadcasting, I do not see any compelling technical reason why this should be allowed.
I think it has something to do with Satellite companies not being able to make money off of commercials displayed by local channels. I don't know for sure, and I couldn't find anything on it searching on google.
 

bicker

DTVUSA Member
#14
Cable companies cannot make money off of commercials displayed by local channels either. The reason why satellite companies charge extra is because that is how their pricing model evolved. In the end, all pricing is a matter of what the customer is willing to pay. Everything else is just moving the shells around to appear better than alternatives.

Regarding the original concern: Comcast's forecasts were actually pretty accurate. Competition, from free over-the-air HD and satellite, has really taken its toll on revenues. Given that their costs haven't decreased, it is a good thing for their owners that they have bumped rates.
 

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