# Significantly Viewed - What is in it for DBS providers



## wkomorow (Apr 22, 2002)

Assuming for a moment that the House version of the Satellite Act is signed into law verbatim, and DBS companies can now provide significantly viewed stations to external DMAs, what is in it for the DBS provider? They will need to post their intentions sixty days before providing significantly viewed stations in foreign DMAs. They will have to notify local affiliates of their intentions and they will need to pay royalties to these stations.

I agree that there are a few people not leaving cable because they can not get their favorite station on satellite because it is a significantly viewed station originating in another DMA. But has anyone seen any comments by Dish or DirectTv indicating that they are going to pursue making these stations available? Do people think that DBS providers will charge extra for them?

Don't get me wrong there are a number of significantly viewed stations on local cable that I would love to get. I just don't understand the advantage from a business viewpoint.

Walter


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## SimpleSimon (Jan 15, 2004)

Well, there's no added physical transmission costs - because DBS will already be carrying any station they offer under this provision. If they charge $1.50 per channel like they do for other ala carte network channels, they'll come out ahead.


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## wkomorow (Apr 22, 2002)

SimpleSimon said:


> Well, there's no added physical transmission costs - because DBS will already be carrying any station they offer under this provision. If they charge $1.50 per channel like they do for other ala carte network channels, they'll come out ahead.


Agreed, but it may be a tough sell. For example there are five significantly viewed stations on cable that are out of my local DMA. At a 1.50 a pop, that would be $7.50. That is more that I pay for locals.

Walter


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## Guest (Nov 22, 2004)

I thought the whole purpose of "significantly viewed" was to afford satellite the same luxury as cable companies have in terms of carrying networks from different DMAs. This is a BIG issue for smaller markets such as the one my parents live in. Their DMA doesn't have an NBC affiliate. The cable company just carries one from the adjacent DMA. And, why should customers have to pay extra for "significantly viewed" channels that are free to cable customers?
I just expect a level playing field.


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## Adam Richey (Mar 25, 2002)

I have to agree. Companies should NOT charge $1.50 per channel. Maybe $0.25 or $0.50


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## Guesst925XTU (Jan 29, 2004)

The thousands of people who will not switch to DBS because they cannot get thier "local" stations...


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## Jacob S (Apr 14, 2002)

Thats right Guesst925XTU, these subscribers expect to get the local channels that their cable provider provides for them. The subscribers will not be willing to pay additional money for those extra stations when cable does not charge anything extra for them (and even advertises that there is no extra charge for locals). Dish Network may increase its rates by doing this but also may be able to make up for it in providing those markets that currently does not have locals their neighboring DMA's locals (unless this law prohibits that in which it may).


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## SamC (Jan 20, 2003)

Let me give you some examples from around WV. 

The Parkersburg DMA is just one station, NBC. Cable on the WV side carries the other networks from H-C, on the Ohio side from Columbus. 

The Clarksburg DMA is just 3 stations (ABC missing). Cable suplements with the Pittsburgh stations, which, of course include ABC (and UPN and WB) but have a level of local news sophistication that is light years ahead.

The Pittsburgh DMA includes Morgantown, WV. However cable carries both Clarksburg and Pittsburgh locals. Clarksburg covers local news and local sports. Pittsburgh does not.

The H-C DMA includes large parts of KY and OH. Cable in those states include stations from Lexington or Columbus which cover state politics closely. H-C stations do not cover KY or OH state politics or UK or OSU sports.

Significantly views will allow DBS to duplicate cable's offerings and help even the playing field. It will allow customers to watch stations they grew up with, rather than from NYC. And it will increase UPN and WB availibilty.


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## Guest (Nov 22, 2004)

My significantly viewed DMA is spot beamed towards central Arkansas (Little Rock) I live in North Arkansas. I can only get about a 70 signal strength on the transponder the LR locals are on.... will that keep D* from offering LR locals here?


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## jimisham (Jun 24, 2003)

I was paying close to $16.00 for Comcast basic cable which included the South Bend, IN stations and 4 or 5 of the Chicago stations. Directv is charging me $3.00 for South Bend. I'd be more than willing to pay extra for the Chicago stations in the hopes that Directv delivers a better quality signal from the Chicago stations, than they do from South Bend.


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## Jacob S (Apr 14, 2002)

I believe the Parkersburg market, which was the one I was referring to, also has a WB. I remember the Parkersburg radio station advertising a new WB coming soon a while back but its been up and running for a while now, but only available by the cable system, not OTA.


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## wkomorow (Apr 22, 2002)

I think the significantly viewed issue is going to be a very complicated one for DBS. Maybe in areas where external stations complete the networks, DBS will move quickly to add additional stations, but I don't if they will move as quickly in other DMAs. For example, when I was younger, we spent our summers in Northern Maine (Presque Isle), the stations significantly viewed there inclused Canadian stations. In Berkshire County, cable provides all the Boston networks, WSBK, WGBH (Boston PBS), the Springfield NBC and PBS stations, and the Hartford CBS station as significantly viewed. We are part of the Albany DMA, but many get there news from Boston stations. I just can't imaging Dish adding these without any additional subscription fees.


Although I could see DBS providers losing out to cable in some areas where they do not provide significantly viewed, I can tell you that subscription rates in the Northern Berkshire county for DirectTV and Dish are sky high mostly because Aldelphia Cable is so bad. This despite the fact that DBS does not and at least today can not offer significantly viewed stations.

Walter


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## Adam Richey (Mar 25, 2002)

I think that significantly viewed stations that can't be added at no charge should be an OPTION to locals customers, not a requirement. I don't think they should cost a lot, but I admit prices may need to go up $2-$4 on a locals package with significantly viewed stations.


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## Jacob S (Apr 14, 2002)

That would make it harder to compete with cable when you announce a big price increase to get stations that cable already has and when you have an advertising campaign against cable for all the price increases. Can you see cable having a big hurting advertising campaign back at satellite? I can if this happens.


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## Geronimo (Mar 23, 2002)

I remember when I lived in the berkshires and got 4 stations (only 2 well) and never dreamed of more.


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## SamC (Jan 20, 2003)

The WB station in Parkersburg is an example of the many "virtural" WB stations. Esentually the local cable company runs an affiliate station, complete with fake call letters. 

However the station does not really broadcast. Its just something on the cable, like ESPN.


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## Jacob S (Apr 14, 2002)

So its just a WB that comes out of a different city or more likely just a receiver picking up the national WB affiliate that the cable company got.


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## Link (Feb 2, 2004)

I think with the new laws, they need to provide each market with an ABC, CBS, NBC, Fox, WB, UPN, and PBS station for their $5. For example now, I'm paying 1.50 for a distant ABC station since our market has none. Dish gives a $1.00 credit so it costs me $.50 more a month than people that already have one in their DMA. We have no WB or UPN so I have to pay $3.00 for those or get superstations. Basically it comes down to paying $5.00 for locals, 50 cents for ABC, $1.50 for WB and $1.50 for UPN = $8.50 for the networks, while others are getting them all for $5. 

Also with the new significantly viewed options, Dish should make them available as a package for like $3.00 more a month you can have the significantly viewed channels


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