Comcast CEO Admits You 'Can't Keep Raising Prices Forever,' But Seems Intent On Trying Anyway

from the self-inflicted-wound dept

As Internet video continues to slowly pick away at cable subscriber totals, most cable companies have absolutely refused to compete on price. Apparently, most of them intend to see just how long they can get suckers cable TV customers to keep paying an arm and a leg for bloated bundles of mostly awful content, only actually competing on price when the problem of cord cutting hits critical mass. Until then, cable execs spend their time either pretending that cord cutting doesn’t exist, or proudly fooling themselves into thinking they still offer the best video content value in the streaming video and BitTorrent age.

Every so often a cable executive will pop up from milking the cable cash cow to pay a tiny bit of lip service to the idea of lower prices and more flexible cable bundles. The latest case in point is Comcast CEO Brian Roberts, who this week at least acknowledged that the cable TV cash cow is not immortal:

“This conversation that is happening right now only is going to accelerate (cable adaptation). I do think on the other side, however, there is a realization that you can’t keep raising prices forever and [without] either having serious margin change or people saying ‘I’m going to live without some channels.’ I think you’re seeing that tension rise. I think these things have a way of correcting or balancing out before something draconian happens. I’m hopeful that is the case.”

Except the Internet video revolution isn’t going to magically “correct” itself or “balance out.” It’s going to swallow the cable industry piece by piece until it finally listens to consumers and starts offering better value and better customer service. And while cable TV customer defections are happening at a slow trickle right now (Comcast lost 69,000 subscribers last quarter), it’s only going to accelerate as the options improve. These losses will also start hitting Comcast’s voice subscriber totals as wireless service improves, digital voice becomes irrelevant, and Comcast customers look for ways to trim their bloated bills.

As Roberts was busy stating the obvious, many were quick to point out that Comcast’s busy imposing all manner of new TV and broadband price increases as is the cable industry’s proud fall tradition. Cable TV prices are rising, broadband prices are increasing, DVR, set top and cable modem prices are rising — and there’s always a new, obnoxious, below-the-line fee around the corner. And whether it’s set top boxes, net neutrality or last mile competition, Comcast works tirelessly to ensure this skyward price hike status quo remains firmly intact, all while offering the worst customer service in any industry.

So go ahead, cut your cable TV line; Comcast will just take its pound of flesh from your broadband bill via rate hikes, sneaky fees, usage caps and overage charges (or a new $30 fee if you want to avoid usage caps entirely). And because many of Comcast’s territories are actually becoming less competitive than ever as telcos exit unwanted DSL markets, there’s not much customers can do about it short of building their own community ISP.

Filed Under: , ,
Companies: comcast

Rate this comment as insightful
Rate this comment as funny
You have rated this comment as insightful
You have rated this comment as funny
Flag this comment as abusive/trolling/spam
You have flagged this comment
The first word has already been claimed
The last word has already been claimed
Insightful Lightbulb icon Funny Laughing icon Abusive/trolling/spam Flag icon Insightful badge Lightbulb icon Funny badge Laughing icon Comments icon

Comments on “Comcast CEO Admits You 'Can't Keep Raising Prices Forever,' But Seems Intent On Trying Anyway”

Subscribe: RSS Leave a comment
20 Comments
Anonymoussays:

Tipping Point...

…done been reached for me. Comcast wanted to charge $5/mo. extra to continue to send paper bills…told ’em bye-bye.

Since AT&T won’t sell DSL in my neighborhood, and I cant see paying $40+/mo. for some craptastically suboptimal dial-up line or cellular access at rape-rates, I am exploring whether broadband mainly via free public sources can suffice. I simply have to plan ahead instead of doing all my big Internet tasks spontaneously at home. I have discovered that there are hundreds of free broadband sources liberally sprinkled in and around places I often visit (he posted via the open wifi network accessible from his doctor’s waiting room). I observe that I own the advantage of living in a major metro area.

It’s an experiment, an adventure I (my family) would not have have been driven to undertake were it not for the awfulness of the broadband industry in the U.S.

Anonymoussays:

I have Comcast’s ‘package’ deal with Home phone + Cable TV in 3 rooms + Internet ‘Blast!’ from them.

I recently lowered the cable plan, and got rid of the only DVR in the house to bring an ALMOST $300 a month phone bill down to $214. It stayed $214 for 2 months before magically jumping to $236 this month.

At this point I’m done with this scummy shit. As far as I am concerned I will go with a competitor, buy my own modem, and stream everything.

scatman09says:

but cable cutting is still a fallacy

because most of these so called “cutters” are just dropping cable tv service and trying to get all their shows from the same ISP via the net–hence the broadband rate hike. So instead of 2 or 3 inflated bills (tv, internet, phone), the “cutters” are down to just 1, but still to the same monopoly and still inflated. The ISPs will continue to get their money from us because most of us are still paying. To get true lower prices we have to have competition, and the quickest way to get competition is to BOYCOTT. Stop paying the ISPs for a few months and see if the exclusionary rules don’t change.
I’ll keep beating the same drum: Boycott or bend over

John Fendersonsays:

Re: but cable cutting is still a fallacy

“I’ll keep beating the same drum: Boycott or bend over”

You say that like it’s a feasible thing to do. For many people, it’s not. The only place I can get broadband service is from Comcast, so boycotting them means I have no more broadband internet at all. I cannot afford to be without broadband internet.

scatman09says:

Re: Re: but cable cutting is still a fallacy

In the immortal words of Rocket: Boo Hoo Hoo
The people in Selma who boycotted the local mass transit system didn’t have a bunch of other ways to get to work during their protest, so guess what, they walked. Yeah, I’m sure it sucked, but it got the stupid Jim Crow laws repealed didn’t it? No one wants to sweat. “We want our (fill in the blank), and we want it now!!” (but don’t disconnect my internet access, don’t cut my cable, don’t taze me, bro).

The whole point of a boycott is to be disruptive and uncomfortable for both sides until proper negotiation and redress occurs. It’s just easier to complain though…

Boycott or bend over

Anonymoussays:

Re: Re: Re: but cable cutting is still a fallacy

You truly must be slow if the best you can come up with for a comparison is walking instead of taking the buss.

What, you think people who use the internet for a living should start using snail mail? Dial up? Start walking the packets across the globe themselves?

Yet another internet tough guy who doesn’t understand boycotting doesn’t work against mega corporations. The vast majority of their customers don’t understand the issues at all, how the fuck do you suppose the people who do understand get the others to boycott?

Oh, you don’t have a plan? You’re just a petulant child who saw some protests in your American History book so now your answer to everything is protest or boycott? K, gotcha!

Anonymoussays:

Internet pricing too: how do we 'cut this cord'?

I was on plain old dial up internet access for almost 10 years and never once did I get a price increase. I finally took the plunge into 1.5 m cable access – NO bundle, just internet – and not even 10 years later I am now paying twice as much when I first signed up. No there has not been any increase in service; many of my speed tests even today max out at 75%, and uploading is CRAP! (TWO whole hours to upload a one minute 720×480 video to YouTube!)

tekasays:

Re: Re:

When they burn they won’t collapse into themselves in the way that a corner store or mom&pop restaurant would. There will be some magical financial events and debts, unpaid pensions and settlements will remain in the hands of the dead company while assets fly away like little birds to roost in a new company.

These assets will cement the position of the new frankencorporation with some lip service to new restrictions that will disappear like fairy gold. A few unwanted areas will get sold off to small companies under complex payment schemes that cripple them and others will be shuffled and shuffled until they drop off the subscriber maps entirely while things like Universal Service Fund moneys keep flowing into the black hole coffers instead of into development.

Eric79says:

The Fox In Charge

Cable companies are the fox in charge of the henhouse. As long as they provide the only option and put datacaps, you simply cannot progress with real competition.

I live in Chicago, and yet my part of it, I can only get ATT DSL. Yes, Uverse and Comcast do not provide Internet to my section. Comcast does provide cable for for some reason both Comcast and ATT can’t run the cables for Internet into my section of town.

Woes is me, I guess, but only true competition will ever bring real reform. Google Fibre and such? Forget it, they will only cherry pick and offer it to places that need it the least.

Add Your Comment

Your email address will not be published. Required fields are marked *

Have a Techdirt Account? Sign in now. Want one? Register here

Comment Options:

Make this the or (get credits or sign in to see balance) what's this?

What's this?

Techdirt community members with Techdirt Credits can spotlight a comment as either the "First Word" or "Last Word" on a particular comment thread. Credits can be purchased at the Techdirt Insider Shop »

Follow Techdirt

Techdirt Daily Newsletter

Techdirt Insider Discord
The latest chatter on the Techdirt Insider Discord channel...
Loading...
Older Stuff
13:40 It's Great That Winnie The Pooh Is In The Public Domain; But He Should Have Been Free In 1982 (Or Earlier) (35)
12:06 Norton 360 Now Comes With Crypto Mining Capabilities And Sketchy Removal Process (28)
10:45 Chinese Government Dragnet Now Folding In American Social Media Platforms To Silence Dissent (14)
10:40 Daily Deal: The 2022 Ultimate Cybersecurity Analyst Preparation Bundle (0)
09:29 A Fight Between Facebook And The British Medical Journal Highlights The Difficulty Of Moderating 'Medical Misinformation' (9)
06:29 Court Ruling Paves The Way For Better, More Reliable Wi-Fi (4)
20:12 Eighth Circuit (Again) Says There's Nothing Wrong With Detaining Innocent Minors At Gunpoint (15)
15:48 China's Regulatory War On Its Gaming Industry Racks Up 14k Casualties (10)
13:31 Chinese Government Fines Local Car Dealerships For Surveilling While Not Being The Government (5)
12:08 Eric Clapton Pretends To Regret The Decision To Sue Random German Woman Who Listed A Bootleg Of One Of His CDs On Ebay (29)
10:44 ICE Is So Toxic That The DHS's Investigative Wing Is Asking To Be Completely Separated From It (29)
10:39 Daily Deal: The 2022 Complete Raspberry Pi And Arduino Developer Bundle (0)
09:31 Google Blocked An Article About Police From The Intercept... Because The Title Included A Phrase That Was Also A Movie Title (24)
06:22 Wireless Carriers Balk At FAA Demand For 5G Deployment Delays Amid Shaky Safety Concerns (16)
19:53 Tenth Circuit Denies Qualified Immunity To Social Worker Who Fabricated A Mother's Confession Of Child Abuse (35)
15:39 Sci-Hub's Creator Thinks Academic Publishers, Not Her Site, Are The Real Threat To Science, And Says: 'Any Law Against Knowledge Is Fundamentally Unjust' (34)
13:32 Federal Court Tells Proud Boys Defendants That Raiding The Capitol Building Isn't Covered By The First Amendment (25)
12:14 US Courts Realizing They Have A Judge Alan Albright Sized Problem In Waco (17)
10:44 Boston Police Department Used Forfeiture Funds To Hide Purchase Of Surveillance Tech From City Reps (16)
10:39 Daily Deal: The Ultimate Microsoft Excel Training Bundle (0)
09:20 NY Senator Proposes Ridiculously Unconstitutional Social Media Law That Is The Mirror Opposite Of Equally Unconstitutional Laws In Florida & Texas (25)
06:12 Telecom Monopolies Are Exploiting Crappy U.S. Broadband Maps To Block Community Broadband Grant Requests (7)
12:00 Funniest/Most Insightful Comments Of 2021 At Techdirt (17)
10:00 Gaming Like It's 1926: Join The Fourth Annual Public Domain Game Jam (6)
09:00 New Year's Message: The Arc Of The Moral Universe Is A Twisty Path (33)
19:39 DHS, ICE Begin Body Camera Pilot Program With Surprisingly Good Policies In Place (7)
15:29 Remembering Techdirt Contributors Sherwin And Elliot (1)
13:32 DC Metro PD's Powerful Review Panel Keeps Giving Bad Cops Their Jobs Back (6)
12:11 Missouri Governor Still Expects Journalists To Be Prosecuted For Showing How His Admin Leaked Teacher Social Security Numbers (39)
10:48 Oversight Board Overturning Instagram Takedown Of Ayahuasca Post Demonstrates The Impossibility Of Content Moderation (10)
More arrow
This site, like most other sites on the web, uses cookies. For more information, see our privacy policy. Got it