Verizon wants to charge for TV channels based on viewer habits


Staff member
Ever get tired of paying for tons of channels on cable or satellite TV service that you don't watch?

Verizon wants to shake the media industry up by only paying for blocks of channels for which viewers actually watch.

Verizon's FiOS TV unit, with 4.7 million subscribers, indicated interest in such a plan to Wall Street Journal earlier this week and is currently in talks with "midtier and smaller" media companies.

Traditional terms by media distributors such as cable and satellite companies operate on a per-subscriber fee which forces the media distributor to carry channels no matter how strong or weak ratings are for any given channel.

Although a pay-per-channel or block of channels plan would most likely benefit consumers, Verizon's lead programming negotiator, Terry Denson, notes to WSJ, "It feels like certain content players who have a suite of channels attempt to lever the strong ones to prop up the weak ones…without any empirical data to show that these channels are actually viewed or wanted."