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Re: peering charges?
From: Mike Leber <mleber () he net>
Date: Mon, 27 Jan 1997 01:10:18 -0800 (PST)


On Mon, 27 Jan 1997, Sean Donelan wrote:
FoxSports-Midwest recently announced they were going to start charging
cable companies 8 cents per subscriber to carry NHL hockey games.  TCI
balked, and was going to drop FoxSports.  FoxSports ran a crawl-line
across the bottom of the last NHL hockey game saying TCI customers would
no longer be able to watch NHL hockey.  What do you think the final
outcome was?  Did TCI end up paying FoxSports, or did FoxSports end
up paying TCI?

This worked for FoxSports because the limited number of channels available
via most cable systems creates strong brand identification and
concentrates subscribers.  Imagine if TCI had 400,000 channels instead of
40 with the same subscriber base and no one channel having a viewership
more than .01% of the subscriber base. 

Mike.

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