LOS ANGELES (July
10, 2012) – Today,
Parents Television Council® president Tim Winter cited a dispute
between Viacom and DirecTV as evidence of why consumers should be
able to choose and pay for only the cable channels they want, rather
than paying high prices for bundles of programming.
In news reports,
DirecTV CEO Mike White indicated that rather than pay a 30% increase
in price to Viacom – a cost that would surely be passed onto
consumers – the satellite provider would be open to an a la carte
model, allowing customers to pay only for the channels they watch.
However, Viacom refused, effectively forcing DirecTV customers to
subsidize content they don’t want or watch.
“The contract negotiation between DirecTV and
Viacom is the latest startling example of failure in the marketplace
through forced product bundling. DirecTV offered to craft an a la
carte business model that would empower consumers to vote with their
wallets, but Viacom turned them down. By refusing to negotiate in
this manner, Viacom is insisting that distributors, and by extension
their customers, pay billions every year for channels they do not
even want. During these hard economic times, consumers don’t need
the additional cost of cable channels that they do not watch and may
even find offensive,” said PTC President Tim Winter.
To speak with a representative from the Parents Television Council,
please contact Liz Krieger at
(703) 683-5004 ext. 120.
