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Why The FCC Chair Says Set-Top Box Reform Proposal Could Change (fortune.com)

An anonymous reader writes: Hardware costs are down yet fees still seem to climb. The head of the U.S. Federal Communications Commission said he might change his proposal to allow tens of millions of U.S. pay TV subscribers to ditch costly set-top boxes and access video programming online. At a Senate hearing on Thursday, FCC Chairman Tom Wheeler defended his revised proposal, which is scheduled for a final vote on Sept. 29. The plan, announced last week, lacks some of the most controversial aspects of the original proposal unveiled in January but includes a new licensing body to ensure that pay-TV companies do not enter into anti-competitive agreements. The plan is aimed at ending the cable industry's long domination of the $20-billion-a-year set-top box market and lowering prices for consumers. Nearly all pay-TV subscribers lease the boxes from their cable, satellite, or telecommunications providers at an average annual cost of $231. Those fees have jumped 185% since 1994, while the cost of televisions, computers, and mobile phones has dropped 90%, the FCC has estimated.

33 comments

  1. Just give me Google Fiber by Anonymous Coward · · Score: 0

    the other options are meaningless.

    1. Re:Just give me Google Fiber by NatasRevol · · Score: 3, Insightful

      Hard to watch sports on the internet without a TV subscription.

      I pay $130/yr to watch all the NHL games. That's a great deal.
      I'd do that with NFL, but their streaming option doesn't do live! Unless you have a TV (DirectTV) subscription.
      MLB is $120/yr to watch all out of market games. That's a decent deal.

      Good luck watching anything on ESPN without a TV subscription. Streams are either virus infected, taken down in a few min, or just plain suck.

      All the TV companies saw this coming, and tied up as many sports as they could before it got here.

      --
      There are two types of people in the world: Those who crave closure
    2. Re:Just give me Google Fiber by Anonymous Coward · · Score: 0

      I'd pay $130 a year just for BBC and a few other channels, but not if it comes bundled with shit sport channels. And the NFL can go BF each other for not firing Kaepernick.

    3. Re:Just give me Google Fiber by Anonymous Coward · · Score: 0

      $130/yr would be a good deal if I could watch the games I wanted. NHL/media bullshit blacks out games from hundreds of miles away. That means a Backhawks fan can't watch their games in Minnepolis (for example).
      Also, when it gets to the playoffs, NBC gets to decide which games I can watch and that subscription goes into the toilet. Fuck the NHL.

    4. Re: Just give me Google Fiber by Miamicanes · · Score: 1

      Try http://slingtv.com/

      It's not free, but if you truly just want ESPN, it's the cheapest way to get it. And if you're a Tmobile customer, it's only $14/month.

    5. Re:Just give me Google Fiber by NatasRevol · · Score: 1

      Want no blackouts? Use Yonder.TV. $3/mo for DNS relocation. Basically, set up account on computer, then enter DNS on AppleTV/Xbox/whatever.

      --
      There are two types of people in the world: Those who crave closure
    6. Re: Just give me Google Fiber by NatasRevol · · Score: 1

      I actually saw that. Interested, but not sure yet. $20/mo for espn is a bit much. Gotta make sure it works w AppleTV. Looks like it does.

      --
      There are two types of people in the world: Those who crave closure
    7. Re: Just give me Google Fiber by Anonymous Coward · · Score: 0

      There is a 1 week free trial.

    8. Re: Just give me Google Fiber by Anonymous Coward · · Score: 0

      Google Fiber is also a TV service.

    9. Re:Just give me Google Fiber by RavenLrD20k · · Score: 1

      Sports!? Good God man...! Do you not know where you are posting??

    10. Re:Just give me Google Fiber by NatasRevol · · Score: 1

      I know.

      But the real world does sports. And they're a $10+ billion driver of tech. If nerds can't acknowledge that, they don't belong in the conversation.

      --
      There are two types of people in the world: Those who crave closure
    11. Re:Just give me Google Fiber by Coren22 · · Score: 1

      And the NFL can go BF each other for not firing Kaepernick.

      It is his first amendment right to kneel during the national anthem. I may not agree with his decision to do so, but why do you think he should be fired?

      --
      APK likes to ask for responses to the same things over and over. Maybe he just likes the responses?
  2. Almost changed my mind on Wheeler by interkin3tic · · Score: 2

    I'm becoming concerned that Wheeler actually is, as feared, a shill for comcast et al. I'm wondering if the net neutrality issue he tried to push was designed to fail, I'm not a lawyer nor have I read much about it. Now he's backing down from opening up the cable industry to competition. Is it possible his job was just to lull us into not worrying about it, and letting the telecos get everything they want?

    1. Re:Almost changed my mind on Wheeler by H3lldr0p · · Score: 2

      To be fair, his is a political position. He's having to deal with the uncertainty that the Beltway media has thrown up around who the next president should be as well as the two jackass Republican members of his committee who are currently fighting with Congress about turning over public documents their offices generated.

      I'd be coy about things in that position myself. I'd be trying to build a consensus and gaining as much political ground myself after the past few fights have landed in court. Not that they had to go there, but with the way things are right now everything he does has ended up in court. I'd be tired of being second guessed and smacked around, too.

    2. Re:Almost changed my mind on Wheeler by Narcocide · · Score: 1

      I don't think you have to fish this hard for a motive. He's the most obvious one to bribe if you're opposed to net neutrality and have $Billions at stake. The most obvious sign of him being bribed would be basically an about-face on some or another of his his previous core policy decisions. You can make a line here by connecting far fewer dots than you have.

    3. Re:Almost changed my mind on Wheeler by Anonymous Coward · · Score: 0

      "designed to fail"

      The good soundtrack I think while pondering this conspiracy theory is Florence and The Machine's "Ship To Wreck". Then tie in an insightful understanding of the tactical phrase familiar to many slashdotters- "embrace, extend, extinguish".

      Wheeler knows what it would take to get real competition for video on the internet. Perhaps he's too in love with the proverb about how democracy finds the best solution to problems... after exhausting all the alternatives.

    4. Re:Almost changed my mind on Wheeler by ausekilis · · Score: 1

      It could also be that he is in an appointed position and his job is over in December. Sure, he could push harder to get stuff done in an attempt to change the M.O. of the telcos. Or he can back off a little bit, start the trek down that road, and hope that his successor doesn't do an about face.

      Put a frog in boiling water...

  3. Meanwhile by Anonymous Coward · · Score: 1

    On the other side of the fence content costs are increasing faster than equipment costs decline.

  4. What we REALLY need is an a la carte right! by dublin · · Score: 2

    The most important reform we could have of cable, satellite, and other programming bundle vendors (SlingTV, etc.) is that the consumers should be able to pick and choose (and pay for) only the channels they want, with no economic penalty for choosing unbundling. Right now, a fair fraction of cable bills goes for channels that almost no one wants or watches.

    I'd love a service like SlingTV, but with the ability to select only the channels I want (for instance, to address the very real sports problem mentioned above, I'd take Fox Sports Southwest, so I could watch the Rangers, but I don't want a dime of my money going to the SJW Nazis at ESPN, which sucks huevos, anyway...)

    There is no neutrality, and no real freedom for consumers, until we can CHOOSE what we actually want to buy!

    This is the media programming equivalent of saying it's OK for a car dealer to force you to buy bogus upgrades like "paint protection", "upholstery protection", and "fuzzy dice package", or "dealer prep" (beyond ordinary make-ready) regardless of whether you want them or not. (This sort of thing has been such a problem that many states have outlawed this sort of chicanery in recent years...)

    --
    "The future's good and the present is nothing to sneeze at." - Roblimo's last ./ post
  5. Who cares about buggy whip prices? by Anonymous Coward · · Score: 0

    They're only making their market disappear faster with those prices and restrictions.

  6. copy canada they have buy the box and la carte tv by Joe_Dragon · · Score: 1

    copy Canada they have buy the box and la carte tv coming soon.

  7. Comcast makes alot on rent / outlet fees by Joe_Dragon · · Score: 1

    Comcast makes alot on rent / outlet fees and they don't want to give it up.

    They need to ban the mirroring / outlet / device fees.

    It's a joke the Directv makes you pay an TV fee to use your own TV RVU client. Or Comcast makes pay to rent the used to be free DTA's.

  8. The media companies force the bundles by Anonymous Coward · · Score: 0

    It is the big media corporations (I think there are 6), which force the media bundles. It's more like the car manufacturer selling only fully loaded versions of their vehicles to the dealers.

  9. Corrupt Political Appointee by Anonymous Coward · · Score: 0

    Tell me a political appointee isn't corrupt? One good thing is that Hilary will drive up the price of corruption so that only the ultra-rich can afford in, instead of all of the 1%

  10. sony vue is needed to WGN 9 and CSN CHI by Joe_Dragon · · Score: 1

    sony vue is needed to WGN 9 and CSN CHI

  11. No, we need to shut government down. Moving to NH. by Anonymous Coward · · Score: 0

    This is why I am moving to NH shortly. Going to take part in the Free State Project.

  12. if you are in the area you can get shaw or bell by Anonymous Coward · · Score: 0

    if you are in the right area you can get shaw or bell sat.

  13. Ink reform by Anonymous Coward · · Score: 0

    The biggest thieves of them all.

  14. Be careful with statistics by F1DNA · · Score: 1

    I love statistics. It is amazing how they steer a conversation in any direction the user wants. I'm not saying that paying to lease set top boxes isn't BS. It is one of the reasons I built an HTPC/Media Server and cut the chord with the cable companies. But let's look at why the statistics here are what they are. An annual cost of $231 isn't for 1 set top box. It is for multiple. Remember when you would have 1 TV with the cable box and the rest would just get whatever the TV could tune in? Well, now we have IPTV services, for example, like UVerse and FIOS. Can't get your signal without a box, so you have to get a box for every TV. So the rising costs isn't due to a single set top box going up in price as this article would suggest. It is still BS and I believe, especially in the IPTV world, that you should just be able to tune in to your TV service from any computer within your network. I've done just that with my home brewed solution.

    1. Re:Be careful with statistics by spitzak · · Score: 1

      An annual cost of $230 is about $20/month. I am paying that for one HD DVR from Frontier. So I think this average certainly is from single boxes.

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