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FCC Report: Cable TV Rates Increase in 2003

Feb 4, 2005  •  Post A Comment

Cable TV rates rose 5.4 percent during 2003, five times the 1.1 percent rate of inflation, according to a Federal Communications Commission report released on Friday. Also according to the FCC report, rates for systems that didn’t face effective competition in their communities rose 5.6 percent in 2003, while rates for systems in competitive markets went up 3.6 percent.

Still, according to the FCC, cable operators also increased the number of channels offered during the year, with channels up by 4 percent to 72.5 channels for operators in competitive markets.

The number of channels offered by operators in markets that didn’t face effective competition was up 4.2 percent to 70 channels. Crunching the rate increases this way, the average price per channel charged by operators in competitive markets fell by 0.3 percent in 2003, from 60.1 to 59.9 cents per channel per month. In markets without effective competition, per-channel rates were up 1.2 percent, from 65.7 to 66.5 cents per month during the year.