Will Fox Regret Its Big Bet On Pay TV’s Status Quo?

21st Century Fox execs had better pray that CBS crushes Time Warner Cable in their now week-long program carriage contract dispute. If CBS can’t win a fat increase in the fee that TWC pays to carry the network-owned stations, Showtime, and other channels, then Fox’s day-long effort Thursday to rally Wall Street’s support for its stock could look like a waste of time. Fox’s business plan is based on its faith that pay TV providers — and perhaps their customers — will keep paying rising amounts for a bundle of channels.  “People will give up food and a roof over their head before they give up television,” Fox COO Chase Carey told analysts and investors. Fox will take advantage of that addiction by creating new pay TV channels, raising prices for existing ones, and demanding higher payments for its Fox broadcast stations. (more…)

This article was printed from https://deadline.com/2013/08/will-fox-regret-its-big-bet-on-pay-tvs-status-quo-561061/