Comcast customers' cable and internet bills poised to increase. Here's why - PhillyVoice.com

1 year ago 48

Many Comcast cablegram TV and net customers tin expect increases to their bills opening successful December, arsenic the institution makes pricing changes it says are needed to screen expanding broadcast TV and determination sports fees.

The TV broadcast interest is simply a monthly complaint for ABC, NBC, CBS and FOX. The determination sports interest covers networks similar NBC Sports Philadelphia, which gives Philadelphia subscribers entree to 76ers, Flyers and Phillies games that aren't connected nationalist broadcasts. 

In the Philadelphia market, the TV broadcast interest volition summation 11.2% from $19.15 to $21.30 per month. Last twelvemonth it had accrued 17.5%, up from $16.30. The determination sports web interest successful Philadelphia volition ascent 65 cents from $12.70 to $13.35, an summation of much than 5%. Last year, that interest roseate 21% from $10.50 to $12.70.

The monthly outgo to rent a modem volition summation by $1, from $14 to $15. Also astir of of Comcast's net packages volition become, connected average, $3.05 per period much expensive, with the objection of customers who person promotional packages and those enrolled successful Comcast's Internet Essentials program. The low-income net work has held dependable astatine $9.95 per period since it launched much than a decennary ago. 

The increases volition look successful the billing rhythm that starts successful the 2nd fractional of December, which is when Comcast typically raises its rates each year. 

Some parts of the state that Comcast serves volition spot overmuch higher increases successful cablegram TV fees. 

Officials successful Taunton, Massachusetts, officials were notified the TV broadcast interest determination volition emergence by $7.35 per period to $26. And successful Sandown, New Hampshire, a letter sent by Comcast showed an summation successful the TV broadcast interest from $24.95 per period to $27.25 per period opening Dec. 20.

On average, nationally, Comcast customers volition spot their combined cablegram and net bills summation by a complaint of 3.8%. That's higher than the mean summation of 3% heading into 2022.

"Our nationalist mean summation of 3.8% is astir fractional of the astir caller complaint of inflation," Comcast spokesperson Jennifer Bilotta said Friday.

The fees that stations complaint Comcast to beryllium included connected its cablegram systems person astir tripled since 2006, the institution said.

"TV networks and different video programmers proceed to rise their prices, with broadcast tv and sports being the biggest drivers of increases successful customers’ bills," Bilotta said. "We’re continuing to enactment hard to negociate these costs for our customers portion investing successful our broadband web to supply the best, astir reliable Internet work successful the state and to springiness our customers much low-cost choices successful video and connectivity truthful they tin find a bundle that fits their manner and budget."

Access to NBC Sports Philadelphia has agelong been a selling constituent for Comcast, and successful bid to get it, customers request to subscribe to 1 of the company's upper-tier packages. On Thursday, Bloomberg reported Comcast is negotiating streaming rights deals with teams and leagues to marque determination sports networks disposable to Peacock subscribers, the streaming work of NBCUniversal, which is owned by Comcast.

A spokesperson for NBCUniversal confirmed Friday that discussions are ongoing with partners and rights holders to marque NBC Regional Sports Networks disposable connected Peacock successful 2023. Information astir circumstantial markets, gating, pricing and tiering is not yet available.

Comcast has struggled implicit the past fewer years with cord-cutters, reporting a loss of 561,000 video customers successful its Q3 net report successful October, with a nett nonaccomplishment of 1.6 cardinal video customers during the 9 months ending Sept. 30. 

In Comcast's 2nd 4th net study this year, the Philadelphia-based institution besides noted that it failed to summation immoderate residential broadband net customers for the archetypal clip ever. Comcast is the largest net supplier successful the United States, with astir 29.8 cardinal residential net customers and 2.3 cardinal broadband concern customers. In its 3rd quart net report, Comcast reported a summation of 14,000 broadband customers.

Customers' rising Comcast bills besides bespeak the dependable inclination of losing video customers. 

At the earnings telephone successful precocious October, Comcast CEO Brian Roberts and president and CFO Michael Cavanaugh some said the institution is focused connected increasing gross per user, done a operation of complaint increases and the mode the company's tiered packages are structured for broadband customers.

Comcast noted that "nobody is immune" to increases successful tv programming costs, which get passed connected to consumers. The institution said Hulu+ LiveTV and DirecTV Stream each person accrued successful terms by astir 75% since 2019, portion direct-to-consumer streaming services person accrued an mean of 28%.

Comcast besides has invested astir $20 cardinal implicit the past 5 years to heighten its web with faster net speeds, WiFi and caller exertion successful homes.

Last December, Comcast abandoned a program that would person added a monthly 1.2 terabyte information cap for location net users successful 14 states successful the Northeast and Washington, D.C. The alteration would person charged an further $10 for each 50 gigabytes supra that threshold, up to $100 per month. Data thresholds similar this are already successful effect successful 27 states successful Comcast's Central and Western divisions. The caps primitively had been acceptable a 1 terabyte, but were paused during the archetypal twelvemonth of the COVID-19 pandemic earlier rising to 1.2 terabytes.

Household net usage has risen sharply successful the past decade, driven by subscription video services, specified arsenic Netflix, and the bandwidth demands of online gaming. Average monthly usage successful the U.S. roseate from astir 9 gigabytes successful 2010 to an estimated 344 gigabytes successful 2020 and it continues to rise.

Before backing disconnected the program successful the Northeast, Comcast had said that 1.2 terabytes would beryllium capable for 21,600 hours of non-stop music, 500 hours of streaming HD TV, 34,000 hours of online gaming and 3,500 hours of video chat. The institution ditched the program amid backlash from section governments, including a call for a price-gauging investigation by Baltimore City Council. Lawmakers successful Massachusetts besides person explored authorities that would bar usage-based billing during nationalist wellness emergencies.

Roberts noted successful October that monthly net usage is climbing adjacent among Comcast broadband customers who don't subscribe to cablegram TV packages.

"On average, our broadband customers who don't subscribe to accepted video from america are already utilizing astir 650 gigabytes of information per month, and that's conscionable today," Roberts said.

Read Entire Article