Monday, August 05, 2013

Time Warner's blackout of CBS enters third day

Time Warner Cable, based in New York, has encouraged customers to sign up with Aereo Inc. to watch CBS. Aereo is a startup service, backed by billionaire Barry Diller, that sells access to the broadcast networks online for $8 a month. Aereo, which pays no retransmission fees to broadcasters, is currently being sued by CBS.

When a channel is dropped from a pay-TV service, 7% of subscribers end up switching providers, while 16% watch the lost channel online, according to a survey from Parks Associates, a market-research firm based in Dallas. The survey, conducted in the third quarter of last year, looked at 2,500 households and asked residents what they did the last time they lost a channel in a fee dispute.

From the article, "Time Warner's blackout of CBS enters third day."

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