Piracy is Progressive Taxation, and Other Thoughts on the Evolution of Online Distribution
Subject:   Per-channel?
Date:   2003-07-28 15:38:30
From:   anonymous2
Response to: Per-channel?

Isn't the tendancy towards larger aggregations really just the providers way of inflating the value ?
As you point out, the individual channels would "be sold at a sufficiently higher price as to even out the difference".

The cable companies purposely separate the popular channels and bundle them with the less popular ones so that you get some "perceived" value out of your cash. It's basic marketing strategy.
And since at least some of their advertising revenue is based on the number of subscriptions they sell to a particular channel, its a good way of getting money for a service no one is really using.