Cable Programming Blackouts Continue To Rise As Cord-Cutting Continues
https://www.techdirt.com/articles/20190726/09433842659/cable-programming-blackouts-continue-to-rise-as-cord-cutting-continues.shtml
We've for some time written about cable TV programming blackouts stemming from contract disputes over retransmission fees. The way this works is that cable operators pay broadcasters of television channels fees to retransmit those broadcasts to customers. When those contracts come to term, broadcasters often demand rate-hikes, which the cable operator resists. In the event no agreement is reached, one side or the other blacks out the channel, pissing off fans of that channel. That anger is then leveraged by both sides to negotiate better terms. Pay TV customers, meanwhile, never see any kind of refund for the missing channel.
In the pantheon of reasons that cord-cutting continues to be a trend, blackouts may not rank as the highest of reasons, but it might be one of the easiest to understand, irritating examples of how the cable TV business simply isn't serving its customers all that well. Blackout instances have been trending upward for years, but as Karl just discussed 2019 is already a record-breaking year for blackouts, and we're only a bit over half way through the year.