DOJ Blocks Satellite TV Merger
EyesWideOpen writes "The Justice Department filed a lawsuit to block a merger between EchoStar Communications and Hughes Electronics that would have created the nation's largest pay-television service, stating that 'This merger would give EchoStar control of the skies for the provision of video programming by satellite, leaving customers to suffer from the resulting reduction of competition'. The FCC had already voted unanimously to oppose the merger because it would create a monopoly that would have 'adverse' effects for consumers."
Adverse effects??? Someone care to tell me where the hell these people were when Cable companies took root in my town??? Oh, did I say companies? I meant company... Adverse effects of that don't seem to bother these idiots... so much for affordable broadband via satellite throughout the country... so much for local tv service in real digital quality (not the digital BS cable has)... Ick... At first glance this seems like a great victory against monopolies... but what does it really mean???
---
Programming is like sex... Make one mistake and support it the rest of your life.
I work at a large electronics retailer, and I've noticed many times that customers have difficulty distinguishing between the competing products, Dish and DirectTV. Prices and products are similar. On the other hand, I also see the two constantly respond to the other's promotions and price changes. Pricing of both products have reached the point where setup, installation, and the required hardware is essentially free. I'm sure that wouldn;t have been the case for long had the merger been apprived. It's also nice to see the likes of AT&T be forced to respond to the competetive pricing of the sat. providers. They're still expensive by comparison, but imagine how much worse it would be without these competitors.
I want the fire back.
Now if only two way communications services had such protection offered by humans in power...
*longs for a time when all internet boxes were peers rather than AUP and TOS slave clients which connect to the wealthy "servers"*
In SOVIET RUSSIA... erm...NSA AMERICA, the Internet logs onto YOU!
I agree. Where I live, it's AT&T for cable, and that's all. Up until recently, it was USWEST/QWEST for phone service. I guess the satellite companys just didn't bribe enough politicans.
Surely a merger is good for consumers?
Say EchoStar carries 'Friends' and Hughes carries 'Who wants to be a millionaire'.
If they merge then I get both my favourite shows from 1 company; this is much easier for the TV viewer, they get more choice and it is probably cheaper too.
How dare the government regulate where I get my media! What are they socialists???
/Satire, or, at least something like it.
They don't care about my rights as a consumer to have ALL my services charged on one convenient bill, all my services installed and fixed by one courteous, prompt repairman!
My life is so convenient when I can get all this stuff from one, homogenous provider! Maybe the government would like to provide all these services, oh, wait a minute, maybe it's not so socialist afterall.
See Richard Gere's Ass Zoo
tcd004
I skimmed through the article, but I'm quite curious about some aspects of it.
It is fair to say that the concerns that led to the passage of US merger laws, and the goals that the laws aim to achieve, are not unique to the United States.
All countries that have adopted merger statutes will recognize them: putting limits on large concentrations of economic power, protecting small businesses, preserving competition, protecting jobs, encouraging economic efficiency, and protecting consumers against anticompetitive price increases. The explosion of new merger laws in recent years suggests that the issues may be close to universal.
Department of Physics and Atmospheric Science, Dalhousie University, Halifax, N.S., Canada, B3H 3J5
Pay-per-view pr0n? LOL
If i had to pay for pr0n i'd be broke. Seriously, who the fuck pays for pr0n anymore with all the free sites? You dumb bastard.
What I expected was some sort of bull that there is competition from cable companies. When regulators allowed cable co's to raise their rates everywhere they argued that they have satellite competition. They have SOME competition from satellite and vicea versa. There are many building codes that prevent people from getting even small satellite dishes not to mention obstructed views
Adverse effects like small markets being able to get their local 3-5 stations over satellite? Adverse effects like a somewhat faster satellite internet connection? Adverse effects like nation-wide pricing? Silly me, I must need to check the definition of adverse.
You're only as smart as your brain.
When the government grants a certain business a regional territory, franchise, subsidy, or, protection, competition is legally prevented by threat of force.
Violators of the government's will are arrested at gun point, if need be, or punished with fines. Government cooperation with special interests in business and interference with the free market is the real source of all coercive monopolies.
When the government allows companies to merge into huge monopolies, they are only laying the foundations for socialism -- and that's the last thing we ever want in America.
Without free markets and cutthroat competition, our economy will become stagnant and weak and eventually fall apart due to corruption and incompetence, like in the former Soviet Union and soon to be in socialist western Europe.
Opposing this merger on antitrust grounds is a no-brainer. It would mean the entire US would have but one satellite provider, which would be a total monopoly in those areas not served by cable. (Actually, there are ways for US residents to get Canadian satellite service from ExpressVu, like http://www.global-cm.net/).
However, this sudden affection from the Bush administration for strictly enforcing antitrust law is obvious horseshit. Dish won a bidding war for Direct by outbidding Rupert Murdoch's Fox conglomerate. Murdock, a renowned political conservative (he of Fox News, and the NY Post, among other things) figured (correctly, as it turns out) that the politicans his lobbyists bought over the years--primarily Republicans--could be counted upon to do his bidding. And so they have.
Everything the FCC has been doing under Michael Powell is pro-merger, pro-consolidation, anti-consumer.
So, I say, what's the frequency, Michael? What's the hidden agenda here - because there obviously must be one.
Could this be an example of the government doing something right? And maybe, just maybe protecting the rights of its citizens?
A good move, especially considering that the barrier for entry to that industry is so insanely high that only Microsoft would dare attempt it.
With that said, how much do you want to bet that Microsoft tries to buy one of them?
evil adrian
Old news ... I heard that over a week ago!!!
Satellite hackers around the US and Canada are outraged at this move by the FCC. Rob Mishka, a long time connoisseur of free (read: stolen) satellite TV, was quoted as saying "We are just sick of having to deal with two different encryption keys every damn week. If they merged we would only have to deal with one!". Rob then spit out the tobacco he was chewing and went to work on the Trans-Am that has been raised on 8 bricks in his front yard since 1998.
Someone obviously forgot the hookers and blow.
They come BEFORE the merger, not after.
[o]_O
Monopolies are the opposite version of socialism -- economic power concentrated in private v. public hands.
Western Europe has been quite socialist for many years and they seem pretty happy, really.
Last time I checked, we capitalists had PLENTY of corruption and incompetce. Heard of Enron? WorldCom? Tyco? Even Martha Stewart!
It means you won't be facing a monopoly in the sky just like the one you've currently got on the ground. I think the companies involved will muddle on through to providing the services you desire without merging into a mega-corp.
I don't pay for pr0n, either. I bought a copy of Playboy in 1982 and I've been happy with it ever since.
Mmmm, legwarmers.
Tomorrow we'll see a 'review' of the game based on this. We'll learn about all the expensive hardware upgrades we'll need (new processor, new video card, new box of kleenex), be treated to a 12 year old's insight into the mind of Mr Carmack, and be stunned by the fact that the AI sucks and the coloured lights are kind of pretty,
this is the same government that claims ms should be let off the hook. They still have to compete with cable if they merged so instead we have to satelite companies that will likely go bankrupt in another 2 or 3 years so that the cable companies can go back to their no competition monopolies.
Supposed the two dish companies had merged? How popular would it have been for them to have immediately jacked the prices up? But, you say, they could have done it anyway, because people would have had no choice? Well, there IS still air channels. Or, radical idea here! Quit watching TV! Ahh...now I see the problem. The State made sure to preserve the people's Bread and Circuses. If people stopped watching TV, they might start reading or something hazardous.
But slightly more seriously, to take it to an illustrative extreme, the satellite networks join, and jack prices way up. How long can they keep that up? A demonstrated low level of profitable service has apparently been illustrated at the current level. If they exceed this, the pressure just keeps increasing for someone to come in from underneath and displace them as cheap as they currently are operating. It might take 2 or three years, but it will happen. Oh wait. No it won't. Too much government red tape to get through. :-P
Meanwhile, the two existing companies can collude a little bit, and stay just good enough, and lobby just enough to keep screwing you more than unfettered competition would.
What the hell, if they did abuse their market, maybe it would be a good thing. The next dish network to displace them might use 6" dishes, or roll out broadband cable/internet or something. The existing companies are not as likely to do that; they are happy where they are, making money.
I'm sure it seems like this is a great thing, having prevented a satellite TV monopoly, but look again: unlike cable, which is limited only by the expense of laying and lighting cable, satellite has severe constraints on expansion of their service. It's really expensive (and risky) to launch a satellite, there are limited orbits for them to use, and limited frequencies for them to use. A merger would have meant that the two companies could have pooled their resources and offered local channels throughout the country. Instead there's a huge duplication of effort, neither of which is adequate. So instead of less populous areas being subject to a monopoly (whose prices could have been controlled by other means, namely a single nationwide pricing scheme), they're subject to NO decent service. Cable, meanwhile, enjoys an effective monopoly in all those areas, at whatever price it feels like, assuming it feels like serving them at all.
(BTW: another brain-dead, protectionist aspect of the legalities surrounding satellite TV - unless you're in a particular local broadcast market, you're not allowed to receive channels in it - even if the equivalent channel doesn't exist in your area, or no local service is available for your area! I.E. I can't get UPN nor WB via satellite, despite the fact that they are actually broadcasting it off the same bird I would receive from. )
---If you can't trust a nerd, who can you trust?
This deal was pretty much dead on arrival due to the current political regeme. This really isn't that big of news, considering the FCC already has blocked it. That nailed 9/10 nails in the coffin.
That being said, it would be good for competition, because it would allow better competition with cable companies...the FCC/DOJ look at it totally wrong. SatTV as a whole competes with cable. It should be labeled the same thing.
Trying is the First Step to Failing --Homer Simpson
well, there's another way to get your kicks... try the old Slashdot archives for a taste of that romance you've been craving :)
Before I got DirecTV our cable bill went up every year like clock work.
This year DirecTV added channels AND dropped my rates.
DirecTV and DishNetwork compete with the cable companies more than they compete with each other. This is beacuse they don't have the bandwidth to serve local channels to all the DMAs (designated market areas). They have to make themselves extremely atractive to the potential cable refugees--the new sat customer has to install an antenna to get local service or pay the cable company for "lifeline" service.
The cable companies went to court and got the FCC to force the Sats to follow the same must carry provisions that the cables follow. That is if they carry one local channel they have to add ALL the local channels. That amounted to about 1600 channels nationwide. That put an end to my hope of getting local channels from the Sats. They just can't individually carry all of these channels.
I live in Little Rock AR and as the 56th (I think) DMA in the nation the sats were about to add LR to the system when cable companies got the lawyers involved.
If the merger had been approved, I would have gotten my local channels from DirecTV, as the merged company would have been called. The combination of the two would have the bandwidth to carry ALL THE DMAs.
Screwed by the cable company and I don't even have cable anymore.
Priceless. The US economy is already stagnant and weak and falling apart due to corruption and incompetence, and the reason sure ain't socialism.
Even better, Bush's solution is to start a big fat war. US politics is even funnier and more absurd than The Osbornes.
you forgot the download link for Carmack's special whore ... how could you be so careless? careful fellow 'dotters! don't want to squash the link now do we >;)
Most mergers don't do much for the shareholders. In fact, most M&A activity is counterproductive. You'd think otherwise, but, in fact, making the company formed by a merger work properly is hard.
The biggest point is that in most areas (in temrs of geography) of the country, this reduces multi-channel tv systems from two to one company, and it cities with cable, from 3 to 2.
When the merger first came out it didnt seem so bad, because both satellite companies had stagnated for a while in terms of adding content and local markets (aka local-in-local, or LiL). But in the past year, three spot-beam satellites have become operational, and one more is scheduled to come online. Both Dish network and DirecTV have (or will have soon) the capability to serve the top 100 or so television markets (there are around 220 DMA, or designated viewing areas). Dish Network actually has the capability to serve all 220 DMAs using other oribtal locations for satellites that can see half the country (at 61.5 degrees Wests and 148 degrees West, where as the current satellites that can see all of the CONtinental US are located at 101, 110, and 119 degrees west, aka the three CONUS slots).
The only thing that the merger would have helped is HDTV offerings. Right now, each provider has 4-5 HD channels. As more come online, there will be a bandwidth crunch (since each HD channel will take up the space of 4-6 regular channels). Maybe at the maximum, there will be room for about 20 HD channels for each provider, but there is not enough bandwidth to provide more than that.
Also, Charlie Ergan (the CEO of Echostar, the owner of Dish Network), has done a number of things to piss off the FCC (like challenging the law that says if a provider carries any number of local channels from a city, it must carry all of the channels for that city, regardless of how popular the station is). After he lost the appeal for this law, he tried to do an end-run around the law, and put the most popular networks (the big four plus WB and UPN and in some cases PBS) on the main satellites, and require users to put up a second dish for the smaller stations. The FCC got pissed and told Echostar to do a number of remedies to fix the situation. They have come into compliance of the recomendations, but its still very iffy.
All and all, its a good thing this merger was rejected. The downside is that now Rupert Murdoch will now be the likely owner for DirecTV. Which is better, the devil you know, or the devil you dont?
The Doormat
If you're not outraged, then you're not paying attention.
ummmm.... where have you been lately??? Micro$oft already owns one of the companies. It's kinda obvious when you look at it, that this isn't an accidental merger and M$ isn't just another innocent bystander. It's a mess. People call America clumsy in its internal dealings with threat of this sort, but I have a great hope.
The 'free' installation cost a helluva lot of $$ if you don't stay with them for a year.
You can upgrade but not downgrade for a year too - so if you're financially insecure you need to get the crappy package so you don't have to cancel one month and end up paying for the equipment/installation. If you want movies, you'd better be able to pay all year.
You could buy your own equip & enjoy a 12month discounted rate, but probably still have to foot an inflated installation bill for cancelling.
But the main point is: You're paying them and the advertisers are paying them. Any package that's not ultra premium has crappy programming that looks like one big advertisement.
When the government grants a certain business a regional territory, franchise, subsidy, or, protection, competition is legally prevented by threat of force.
Violators of the government's will are arrested at gun point [...] When the government allows companies to merge into huge monopolies, they are only laying the foundations for socialism -- and that's the last thing we ever want in America.
What you are describing is termed Fascism, not socialism. You might profit by learning a bit more about political science.
Without free markets and cutthroat competition, our economy will become stagnant and weak and eventually fall apart due to corruption and incompetence, like in the former Soviet Union and soon to be in socialist western Europe.
I think a little less Usenet and a little more Friedman and Hayek would allow you to make the case you want to make a bit more clearly.
-j
I forget what 8 was for.
There are some other interesting tidbits in the piece, like that the potential satellite competitor is interested in offering some 40 HDTV channels. The WSJ is unabashedly free-market, so they support the revised merger, apparently with the opinion that neither company can combat cable companies independently.
Honestly the only way Sattelite TV was to be a threat to Cable television and end their monopoly reign over people is to merge Echostar and Dtv. With Echostar and Dtv merged into 1 company, they could offer all the locals to all markets, but with the merger being block local channels can only be offered to some markets instead of all of them.
Cable Co's feared a merged Echostar/Dtv, as they wouldn't have a monopoly anymore and Sattelite TV was a real threat with all local market channels being offered but they have nothing to fear now.
Remember when having cable tv meant you had pretty much commericial free tv? The big 3 had to
have commericials to pay for the shows. Cable TV is something you HAVE to pay for. Now there are
as many or more commericials on CABLE TV. So I not only pay the %$#^@'s for the cable, but also
have to endure #$(#^(# commericals.
I would let them have their monopoly if they would promise to get rid of the commericials.
Where I am there is one phone company that owns all the lines..then the other companies lease these lines for things like DSL, phone, and dial up stuff. The thing is, the company that owns all the lines put a 3GB restriction on downloads, charge high prices, and only give little amounts of bandwidth to the other companies.
This is why i see preventing the merger of these two companies as a good thing...if there is competition then they will have to fight agianst eachother, which will lead to lower prices and stuff like that.
I have a few choices
1.No TV
2.peasant vision
3.Satellite
4.AOL Time warner
I went with the whole ham!!cable/net all in one nice $110 a month con job.
I think I will give option #1 a try.
I do with the DOJ would stick to prosecuting murderers and thugs.
Since the local cable company dropped MTV2 (basterds) I want to get a dish, but I couldn't deside, DirecTV or Dish Network. I thought the merger was gonna make things easyer but oh well.
Why is GM so interested in selling off hughes? It seems like a profitable business venture that is only getting better. Anyone who has ever had DTV certainly prefers it over the local cable monopoly. I was concerned with what the echostar merger would do to the Directv with TiVo receiver or now called "Directv DVR"
In land mass, it's probably more than half, but in population, it's only about 15%.
If you read the FCC's decision (available from www.fcc.gov), they repeatedly mention that without the merger the two companies can still provide local into local service for 100 of the roughly 200 DMA's in the country. Had the merger been accepted, it would have been all 200.
I really don't see how satellite can possibly COMPETE EFFECTIVELY against cable, when they're only provide local-into-local service for the larger metropolitan areas, which may even have multiple cable companies also competing!
The DOJ could easily make sure that the New Echostar keeps its promise of uniform pricing, and make no mistake, They're not making a whole lot of money from us people in Farm Country (as I am), so it wouldn't make sense for them to create "uniformly high pricing", unless they wanted to just roll over and die.
The FCC generally makes decisions that are friendly to broadcasters. Look at their decisions against satellite over the last few years. They (and Congress) regard satellite companies as essentially wanting to steal television from Over The Air broadcasters.
I quit watching the major networks (ABC/NBC/CBS/FOX) about 3 years ago, when I couldn't get a decent signal over-the-air. I get UPN and WB via satellite superstations, and I watch those quite a bit. Broacasters should have been fighting tooth and nail for this, but instead they generally opposed it, probably out of habit. I might actually start watching network TV again, if I could get it on sat.
I'm very angry at Rural TV, and other "rural" groups that opposed this merger. As a rural person in a DMA that will likely never get locals via satellite, I am very angry at these people that are supposedly representing me. They don't speak on my behalf.
I had a decision to make a few years ago, spend $1K for cable to my door, or $100 for DTV. Easy decision. But, I can't get any local stations on DTV, I can't get any local stations over the airwaves. I'm tired of watching "Young Frankenstein" over and over.
I am in the middle of a money dispute between air, satelite and cable. No one seems to be fighting for me. My points can't even get heard by the players. I wish Congress would consider the best solution for the audience, not the networks.
WB East and West feeds are FTA MPEG-DVB on Galaxy 11, C-Band.
UPN MPEG-DVB feeds used to be on Telstar 5, also C-Band, but I think they've moved recently.
The Big Useful Dish wins over Cable On A Stick yet again.
http://www.lyngsat.com/america.shtml
I don't know if it's the fault of the EchoStar/Hughes attornies for not being able to explain the situation to the feds or what, but the idea that allowing this merger would create a monopoly is laughable. I'm a DirecTV subscriber and I am all for this merger for a couple of reasons.
1) It would mean instant, nationwide broadband availability. This is good for consumers and for the economy without having to get the government involved (referencing a comment in the poll thread).
2) It would mean local station availability to all small dish satellite subscribers. The only way the CABLE companies will ever notice satellite as a true competitor is to break THEIR monopoly on their markets. Sattelite is simply not an option for a majority of people because they can't get thier local stations on the dish. I have an external antenna on my mine, and I can only get CBS (which is great because I get SEC football coverage, but I digress), Fox and UPN. I apparently don't qualify for a waiver to get the network feeds because I live in an area where I "SHOULD" be able to get acceptable reception with an antenna.
The feds don't understand that the sattelite companies are offering a competitive alternative to cable, not creating a new monopoly in a new market.
It seems that one major aspect of this is that satellite companies are normally national. The merger of these two companies wouldn't result in a(n almost) monopoly of cable in a county area - it would result in a national scale one. I don't know much about how many sattelite TV providers there actually are though, I only know of Dish and DirecTV...that alone may say something.
Cable, though, may be coming under similar scrutiny soon since many of the companies are expanding so far they are becoming national powers (Comcast for one) and monopolies in that sense as well. I believe a merger was turned down for Comcast and someone just recently, though I could be TOTALLY off the mark on this.
I think it is outrageous that "regulators" think that there will be no competition if Dish Network and DirecTV merge. There is still the big dish satellite. There is still over the air TV signals. There is still cable TV, the most important competitor. The newly merged satellite company won't be able to charge monopoly prices because they are constantly in competition with cable companies in the majority of the country.
This is stupid anti-trust bull, where they want competition for the sake of competition, instead of looking for the interests of the consumers. They blocked the Staples/Office Depot merger because the result would be only 2 office superstores, apparently not realizing that practically everything Staples/Office Depot sells is available at a Wal-Mart and/or a Best Buy.
http://www.echostarmerger.com
The entire problem here is that the company selling you service is the same as the company owning the satellites. This is no different from when long distance service was sold to you by the same people who sold you your (overpriced) monopoly landline phone service.
What North America needs is separation of these two areas. (Standard) DVB could do this and still provide the same service level North American currently enjoys. A satellite would be blasted into orbit by an actual telecomms company, a satellite TV station would rent time from them to put their station on the air, and, if necessary, they would encrypt the channel and sell the service to North America in general if they felt Advertising revenue wouldn't cover their rental costs (note: In most cases it would -- A large percentage of what you see on DSS has already been broadcast in the clear on one or two satellites before it makes it to you, largely commercial free). You could buy individual channels that you want (assuming those aren't free), you wouldn't worry about DishNet having UPN and DirectTV not, and there's no middle-man. Not to mention you'd be able to use the huge amount of GREAT DVB gear out there, including computer capture cards. And the freedom of any company being able to broadcast TV as long as they can pony up the cash necessary to do it would be excellent.
Right now we have two companies with a pile of hardly used birds up in the sky. There's complete overlap on four of them, making two useless. Another one broadcasts the (largely unreceived) HDTV content, and so on.
When will this happen?
Beats me. My bets are on 20 or 30 years into the future, or maybe when the current birds run out of fuel. I do know it has to happen sometime. It's inevtitable.
If you could be told what you can see or read, then it follows that you could be told what to say or think - BoC
What does it mean ?
It means that Rupert Murdoch and News Corp won in its battle to keep the US satellite market open for them to try and dominate as they do in Europe.
Look for News Corp to snap up one of these payers within a year or so at firesale prices.
I must disagree with the previous poster. FOX is a conservative network. As a conservative, I watch it a lot (I use it as video wallpaper while working).
And there is nothing wrong with it being a conservative network. What people seem to miss when they critize FOX is that all networks have biases. Only FOX is willing to admit that it is different.
I would also argue that Fox is a more fair network - you really do get to see all sides of an issue. The way the liberal networks do their slant is two ways:
1 - they simply don't show stories that contradict their points of view. CNN and the TV major networks are masters of this.
2 - they use loaded language. You almost never hear the adjective "liberal" or "leftist" on most networks, but the words conservative, ultra-conservative and rightist are applied to anything that isn't left-wing.
The anchors on most networks are stuffed shirts who try to portray a gravitas and a lack of bias, as they blather along with their liberal and left wing agenda. Fox anchors, OTOH are pretty open with their views, and are a lot more relaxed and human.
And not all of Fox anchors are conservative. Bill O'Reilly is in his own league... he can demagogue from any side of an issue (I always switch to another channel or classical music when O'Reilly comes on).
As far as Murdoch goes, his main ideology is money. He founded Fox more out of a recognition that there was a large viewership that was tired of the uniform biased view coming out of *all* other TV outlsets, rather than out of some conservative do-goodism (or do-badism if you are a leftist). Friends of mine who have worked closely with him are pretty uniform in their view that his ideology is money.
The only good weather is bad weather.
'This merger would give EchoStar control of the skies for the provision of video programming by satellite, leaving customers to suffer from the resulting reduction of competition'.
Gee, doesn't that sound familiar? So they'll lay the spank on the Satellite TV industry, but not try and lay it on other companies in, say, the software/OS industry? Back off on the guys that control 90% of the world's PCs (not to mention try and sneak in anti-open-source legislation), but lord help us if one company controls what people get with their cable bill? Sounds like a double standard to me.
Vote November 5th, and VOTE INDEPENDANT (i.e. vote for someone other than the big two). It may not do much, but it does send something of a message...
Blog Prophyts - Right On, Man
Mod the parent up. With Echostar and Hughes both agreeing to allow Cablevision access to their satellites in what will likely be a revised bid to merge (yesterday's Wall Street Journal had an editorial on this), Murdoch stands to be the only person on earth who can be against a merger (except for his lackeys in the FCC). He's been trying to buy Hughes' satellite service for awhile and an FCC rejection will make acquisition much more likely.
Oops, I meant to post this response to someone else, but got confused along the way. Please just ignore...
I for one, am glad that the merger did not go through. I am a Dish Network customer. Dish Network costs as much or more as cable tv. The only reason I have it is because I refuse to do business with Time Warner Cable, which is of course, the only game in town. I highly suspect that if Echostar had been given the go ahead for this buyout, then they would have raised their prices as well. Time Warner promised lower rates after deregulation and they didn't deliver--far from it. They raised their prices instead. So will Echostar when they get their monopoly. After that, I will tune out. The quality of what is provided has been diminishing for years. If it weren't for TechTV, I'd have no reason to even have the dish anyways.
The Internet access through the dish is a joke. It's like $70/month. Outrageous, even for broadband. Sorry, no sale.
The other thing that makes me really mad is that my state imposed a tax on satellite customers because the cable company felt it wasn't fair for them to be taxed but not the satellite. How in the hell does satellite service impact the state I live in? There is zero public infrastructure involved--nothing!
Giving Comcast and ATT the go-ahead to create one company with 22 million users - most of them in areas where there is no other competition than satellite - is okay?
Please, gimme a huge break, one time.
Speicfically, the right to free association.
Furthermore, its idiotic-- how can a company competing with thousands of cable companies around the country be a "monopoly"?
I think MS deserves to be punished for stealing apple's technology and defrauding linux and other users who never used windows but were forced to pay for it.
but the FCC has no business being in existance in the first place, and if this is the result of a republican DOJ, then the republicans really are no different from the democrats.
And somehow, I suspect the leftist slashdot crowd is happy to see that human rights have, once again, taken it up the a$%
Yeah, and you guys panned the ipod too: http://apple.slashdot.org/article.pl?sid=01/10/23
"Natural monopolies *do* exist, but essentially only in cases where the good/service provided is a public good or a necessity."
Drinking water is a human necessity. Is there room in the water market for a natural monopoly?
Cable internet is not a human necessity. Is there room in the cable internet market for a natural monopoly?
Why or why not? I am not well versed in finance, so maybe you could explain a little bit more.
Don't you know how cable licenses work? A county government grants a license to one company to operate all the cable in that company in exchange for a large pile of cashola. And that's it. It's illegal for any other cable company to offer service in that county after that until the license expires (and they hardly ever change companies, though it is theoretically possible). Are you asking where are the undercover cops trying to entice other cable companies to offer service in the county or something? If you're going to spew harsh vitriol over the definition of monopolies you really need to know some of the basics here.
Definitions:
de jure = enforced by LAW
de facto = just a general rule, not enforced by life
natural = de facto
government enforced = de jure
de jure != de facto, obviously
"Another one: A flat tax actually costs poor people more than rich people."
True... so you'd think the sliding scale made the most sense. But ONLY IF the rich pay the portion they're supposed to by law. If it's possible to hide wealth with offshore holding companies, shell organization etc (which it is - for the wealthy) then the rich can get away with paying ZERO. While if there's a flat tax and you're driving a fleet of mercedes and sailing on your yacht and paying zero, then it's obvious you're lying to the IRS. This is why the alternative minimum tax was created, because the wealthy have a natural tendency to avoid paying their legally mandated share. So with flat versus sliding tax rates, the question becomes 'If I were wealthy, how hard would I try to hide my wealth to avoid a 70% tax rate, versus how hard would I try to hide my wealth to avoid a 12% tax rate?"
The real regressive tax proposals are sin taxes. Legislators are always willing to raise taxes on beer and cigarettes, while avoiding tax hikes on facials, fine wine, yachts, personal jets, etc.
A monopoly isn't always bad, but if the company with the monopoly has no fear of losing it's monopoly status it tends to encourage poor customer service and other business practices that would be weeded out by competition. My cable company sucks. What can I do about it? Nothing. BUT if enough people complain, that company CAN lose it's monopoly status when its license expires. So the county gets the benefits of efficiency you get with a monopoly, but still with a little whip of fear of competition to spur the company on.
"Clearly we don't want the electric company to hold back its supply of electricity and only give it to those who can afford it. Everyone needs to have electricity."
So where do you fit Enron into that? Didn't they engage in exactly that practice, manipulating the energy market to drive up spot prices?
Remember the story about how blonds are going to go extinct? It was in all the major media. Unfortunately it was based on a World Health Organization report that doesn't exist. Nobody knows where the story started. And almost nobody covered the fact that the report didn't exist. When bad info gets out there, getting good info out after the fact usually doesn't help because it doesn't get the attention.
Have you followed the trend of privatizing drinking water? It's being called the next century's gold. The WTO has been involved in several deals where they required a developing country to allow a foreign company to come in and start running the drinking water supply as a for-profit venture. Premium quality spring water - fine as a for-profit. But basic potable water? Horribly ill-suited.
This news comes the same day the govies approve the maintenance of the Microsof monopoly. What a nice binomial gov we have, eh?
"...This proves we can do whatever we damn well feel like. So we move that this merger continue."
This whole obsession with competition in North America cracks me up. In the UK there's one satellite system. Sky Digital. You take it or leave it. Sure, there's a handful of cable operators in different areas, but cable isn't half as popular as it is on this side of the pond. Most people either go for their handful of terrestrial channels, or fork out for Sky Digital.
:-)
I'm a previous Sky Digital customer, having had their analogue service prior to that. It's a great system. Picture's great, the user interface is second to none, the remote control is well designed... (tell me who came up with the idea of banner ads taking up half my program guide screen with so called digital cable here?)
Now ok, the scale's a bit different, but it seems to work well back in the UK.
What's with those two satellite radio providers in the US? I heard a rumble in the jungle that one or both was in a shakey financial situation. Now they could merge, create a maintainable business that continue, at the cost of loss of choice/competition.. or, they could be prevented from merging and both go tits up.. who wins then? Uh.. choice versus no service? the consumer's just lost big time..
Don't get me started on the different cellular companies and their internetworking with each other and the rest of the world.. or lack of..
What idiot modded this "redundant"? I just had metamoderate them "unfair". Play attention people! Redundant != Flamebait, Informative != Insightful, etc.
Looks like the channel is back to normal :) :)
You mean it's not scrolling faster than anyone can read?
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