By B.L. Ochman @whatsnext
Comcast has come up with a new way to fight cord cutters. And it sucks.
In markets where Comcast is a monopoly or duopoly, cord cutters who don’t pay for cable channels will be relegated to super-slow Internet speeds.
Comcast has long been imposing data caps on customers. So now, if you agree to buy cable, your Internet speed is being increased at no extra charge — for now.
“Cord cutters are not invited to the [speed increase] party,” the Houston Chronicle wrote. “Only those who bundle Internet with cable television and other services… will see their speeds go up at no extra charge.”
Cord Cutters Cost Comcast Cash
In their latest quarterly earnings statement, Comcast said it lost 96,000 video customers and saw video revenue decrease 0.8 percent, “primarily due to a decline in the number of residential customers.”
Kids’ TV networks have lost half of their audiences over the past decade. And this season is looking like it’ll be the worst yet. Hardly anyone in the industry predicts a turnaround.
The Netflix Generation
With its shares climbing 58 percent this year, Netflix is bringing more youth-oriented production in-house. Netflix hired hired Melissa Cobb away from a DreamWorks joint venture to run its kids and family division. The division just produced a new live-action series, “Alexa & Katie.”
Cord cutting will only accelerate as new batches of kids raised on the Internet join the fray. Networks are going to have to figure out how to make more money from shows they produced – whether they are online or or broadcast on the tube.