Today in Connected Consumer

Cracks are beginning to show within the cable TV business over programming costs. With the NFL putting the final touches on a new network TV deal that will pay the league a record $3.2 billion a year, executives at other networks are grumbling about the impact of high-priced sports programming on the rest of the pay-TV ecosystem. Much of the ire is being directed at ESPN, which squeezes an estimated $4.69 per subscriber out of cable and satellite operators, which other network owners worry is coming at their expense. As Viacom CEO Philippe Dauman noted at yesterday’s UBS Media and Communications conference, that’s more than twice what Viacom collects for all its networks combined, which include MTV, VH-1, Nickelodeon and Comedy Central.  So much for being thick as thieves.

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Paul Sweeting

Principal Concurrent Media Strategies

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