Comcast tees up 3.8% across-the-board fee increase

Comcast Center's office in Philadelphia. Image: Comcast
Image: Comcast

Comcast is the latest pay-TV operator to confirm across-the-board customer fee increases for 2017, telling TV Predictions that customers will pay, on average, 3.8% more to the MSO next year.

"We continue to make investments in our network and technology to give customers more for their money—like faster Internet service and more WiFi hotspots, more video across viewing screens, better technology like X1 and a better customer experience," Comcast said in a statement. "Unfortunately, the costs we are charged to carry popular networks continue to increase significantly, especially broadcast television and sports programming, which are the largest drivers of increases in price adjustments.”

The 3.8% increase, Comcast said, is less than half than its projected cost increase for program licensing. 

Sponsored by Dell Technologies

Whitepaper: How to Elevate Your Content Delivery Workflows With Dell EMC PowerScale

Learn how Dell EMC PowerScale helps meet surging viewer demand while reducing costs with a single centralized platform for the ingest, processing, and delivery of the content your viewers love.

RELATED: DirecTV sets another January across-the-board price increase

The “Broadcast TV Fee,” which covers the MSO’s retrans costs, will go from $5 to $7 a month, while the fee that covers regional sports networks will shoot up from $3 to $5 a month. 

TV Predictions, however, describes the fee increases as being dictated on a market-by-market basis, with some regions seeing price bumps on Jan. 1 and others notified at a later date. 

RELATED: Comcast faces class-action suit over broadcast and RSN add-on fees

Customers in Lake Township, Michigan, for example, have already been told that the Digital Starter and Digital Preferred video tiers will each go up $1 a month. But other areas will not see the prices for those services rise. 

Earlier this month, AT&T confirmed that it has raised prices on eight of its nine DirecTV video tiers, with increases ranging from $2 to $6 a month. 


Suggested Articles

Alan Wolk, co-founder and lead analyst at TV[R]EV, breaks down what you need to know about T-Mobile's vMVPD launch and Peacock's growth.

YouTube TV, Google’s live streaming TV service, ended the third quarter with more than 3 million subscribers.

For two consecutive quarters, Charter has pulled off the improbable feat of adding video subscribers, bucking the industry-wide cord-cutting trend.