Bloomberg supports Cable rate hikes

[raj2001]

He's not getting my vote when he's up for re-election.

From the New York Post (http://www.nypost.com/news/regionalnews/52521.htm)

January 4, 2003 -- Mayor Bloomberg yesterday defended soaring cable TV rates, telling New Yorkers that if they don't like it, they should try reading a book.
Bloomberg also called for the cable industry to be freed from government regulation and argued that the cable giants aren't raking in huge profits.

"They don't make a lot of money," the mayor said during his weekly WABC radio show.

Bloomberg had a suggestion for anyone unhappy with the latest rate hikes: "You can read a book. You don't have to watch television."
Hizzoner commented after reports that cable rates - which jumped last year for the ninth consecutive year - are rising again this year.
Time Warner Cable, which serves 1.2 million local subscribers, is hiking fees by more than 6.5 percent. Cablevision, which has 3 million subscribers in the tristate area, is imposing a 5.26 percent increase.
Cable companies argue the rate hikes are necessary because they've got to pay more for programming and because they're offering more services, including extra channels.
But the Consumers Union, which publishes Consumer Reports magazine, said cable outfits are making big bucks in advertising, pay-per-view services and computer cable-modem services.

"It's not that we dispute that cable companies have to make a profit to survive," said Consumers Union spokesman David Butler.

"When you compare these costs and revenues, it's hard to understand how these exorbitant rate hikes are justified."

Butler said Sen. John McCain (R-Ariz.), who is set to take over the Senate Commerce Committee, which oversees the cable industry, has pledged he would "take a hard look at rising cable prices."
National cable rates have jumped 45 percent since Congress deregulated prices in 1996 - three times the rate of inflation, Butler said.

"Cable deregulation was supposed to encourage competition and even lead to lower prices," he said. "But cable deregulation has been an abysmal failure."

Bloomberg said the government shouldn't regulate the industry.

"If it's something the public absolutely has to have, then the government has a right and a responsibility to protect the public," the mayor said.

"If it's not something the public has to have, I don't think the government should get involved."

A spokeswoman for Time Warner Cable declined comment. Cablevision officials didn't immediately return calls.

[navy8ball]

doesnt he own the bloomberg channel,so if cable rates go up he can ask for a higher price of his channel.conflict of interest i do believe. please correct me if i am wrong.

[gcutler]

Up in Bloomberg's part of the country they use a word that describes him perfectly, A SCHMUCK!

[catman]

I thank Directv for not raising rates . Congressmen Tom petri from wisconsin wil;l ask for the cable companies to either lower rates of not , be able to transmit .

[jeffwtux]

I would like to point out that if this AT100 price hike goes through, AT100 will have gone up 17% in the last 5 years wih almost no net additional new channels. Analog expanded basic has been adding channels more over the last 3 years than AT100, although they were WAY BEHIND TO START.

[cnsf]

I kind of agree with Bloomberg in that "if you don't like it, don't watch."

It also implies that if you don't like it, get satellite.

He's not so far off base and has absolutely no governmental control over the issue anyway; it's only his opinion.

[gcutler]

I also get the sense the Bloomberg had the '"Rich Guy" attitude "IF you don't like it don't watch it" up there with "Let Them Eat Cake". Many people in the city can't get DBS (because they live in highrise buildings, and rent, or don't have a credit card or credit to get a DBS account) Since Cable is a utility and a monopoly, so what he says does have some political bearing. And he should care what his constituents have to put up with from a utility. Does he or his office have anything to do with who is liscenesed to be the Monopoly Utility for Cable in any of the 5 Bourroughs? He may not have direct control, but I bet he does have influence.

And his connection as a Channel Provider does not have him as an unbiased party.

[cnsf]

To be honest, living in NY, this is the only place I've seen that comment broadcast.

The Post isn't exactly a Bloomberg fan.

I'm not defending the sentiment, I disagree with it. I just think he has a right to his opinion and it won't change a) how people feel or b) what people do or c) what the cable company does....they're not even headquartered in NYC. They're out in Bethpage. Pataki is the one who would have influence here.

[lee635]

But cable companies are stringing lines in public places and receiving a local franchise, and so forth. So if the cable companies don't want any of that pesky, bothersome local control, let them pay market rate for all the easments, rights of way and so forth. I'd love to send a fat bill to my local cable company for the wires they run across my property even though I'm not a subscriber. Then tell them that if they don't like it, they can go sell books. :rolleyes:

[catman]

You don't need a credit card to subscribe to programming . I don't . I use my debit card . It works like a check . That how I got Programming and paid for the dish .

[gcutler]

Originally posted by catman
You don't need a credit card to subscribe to programming . I don't . I use my debit card . It works like a check . That how I got Programming and paid for the dish .

Ok, but there are still alot of people in Bloombergs constituency who don't have a debit card or bank card or bank account of any type. Ever see those check cashing places, they are filled with lines of people who don't have a credit card/debit card. So for them, the switch to Satellite is not very realisitic. Bloomberg should be aware that not everyone in his consituency has as many options as all the other Cable News Channel Billionaires out there. Out of the mouth of a media mougul is one thing. But out of the mouth of the mayor just shows his "let them eat cake" attitude.