Could Cablevision’s Lawsuit Against Viacom Unbundle TV Channels?

CablevisionCablevision 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.

Read the full story at The Next Web.

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Author:

Shelly Palmer

Shelly Palmer is Managing Director, Digital Media Group at Landmark Ventures/ShellyPalmer a technology focused Investment Banking & Advisory practice specializing in M&A, Financings, Strategic Partnerships and Innovation Access. He is Fox 5 New York's On-air Tech Expert and well known for his work on Fox Television's Shelly Palmer Digital Living as well as his daily radio report on United Stations Radio Networks. For more information, visit shellypalmer.com.

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