Thinking Outside the Cable Box: How More Competition Gets You a Better Deal

Thinking Outside the Cable Box: How More Competition Gets You a Better Deal

Today, building on efforts over the last seven years, the President is launching a new initiative to stoke competition across our economy, so that no corporation can unfairly squeeze their competitors, their workers, or their customers at everyone’s expense. Stronger competition matters because it can deliver lower prices, higher quality, and better customer service for consumers. It gives workers more of a voice and can help strengthen wage growth. And it’s what entrepreneurs need to get a fair shot at growing their businesses and creating jobs.
. . .

How We're Taking Action To Fix It
That’s why today the President announced that his Administration is calling on the FCC to open up set-top cable boxes to competition. This will allow for companies to create new, innovative, higher-quality, lower-cost products. Instead of spending nearly $1,000 over four years to lease a set of behind-the-times boxes, American families will have options to own a device for much less money that will integrate everything they want — including their cable or satellite content, as well as online streaming apps — in one, easier-to-use gadget.

Complete Press Release from the White House
https://www.whitehouse.gov/blog/2016/04/15/ending-rotary-rental-phones-thinking-outside-cable-box

Executive Order
https://www.whitehouse.gov/the-press-office/2016/04/15/executive-order-steps-increase-competition-and-better-inform-consumers

 

NY Times story:

http://www.nytimes.com/2016/04/16/us/politics/obama-set-top-boxes.html?_r=0

“The cable or satellite box is just one example of an area where, because it’s been tied to the provider and you rent it, and consumers spend billions of dollars on it every single year, there hasn’t been much innovation,” Mr. Obama said, adding that the private sector becomes less effective “if we get closed systems or if people are gaming the system.”
. . .

Cable industry leaders lashed out at Mr. Obama, arguing that he was rewarding political friends and benefactors like those at Google, and undermining the independence of the F.C.C.