Cablevision has announced a lawsuit against Viacom, pitting the cable provider against the content company, alleging illegal antitrust infringements. The gist of the suit is that Cablevision is suing Viacom for, in its view, forcing it to carry fringe channels along with its more popular content. Cablevision states in its release that it was “coerced” to do so at the threat of “massive financial penalties.” This leads to, Cablevision goes on to state, “[impaired] competition by making Cablevision pay for and carry networks that many subscribers do not want to watch.” The suit, if it does eventually wind through the courts, and Cablevision wins, could lead to the unbundling of cable channels. This would be a tectonic shift in the economics of cable television, allowing for unprecedented consumer flexibility, and financial hardship at channels that simply can’t hack it on their own.
About Shelly Palmer
Named one of LinkedIn’s Top 10 Voices in Technology, Shelly Palmer is CEO of The Palmer Group, a strategic advisory, technology solutions and business development practice focused at the nexus of media and marketing with a special emphasis on augmented intelligence and data-driven decision-making. He is Fox 5 New York's on-air tech and digital media expert, writes a weekly column for AdAge, and is a regular commentator on CNBC and CNN. Follow @shellypalmer or visit shellypalmer.com or subscribe to our daily email http://ow.ly/WsHcb
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"Could Cablevision’s Lawsuit Against Viacom Unbundle TV Channels?" by @ShellyPalmer
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