FCC's Annual Cable Rates Report

The average monthly price of cable's expanded basic service across the entire nation increased by 3.7% to $54 two years ago. And while new data from the FCC says cable rates have grown by 144% over the last 15 years, subscribers actually paid 6.7% less per channel ($.56) in 2009.

The FCC released its annual study of average rates for cable services this week covering the 12 months ending Jan. 1, 2010. During this time, cable rates in communities with "no effective competition" increased 3.2% ($54.27), while communities with "effective competition" increased 4.6% ($54.77). However, the study says price per channel decreased 12.3% more in competitive areas than noncompetitive ones, reflecting operators carrying more channels in competitive markets.

The report said 2009 was the first period when the price of expanded basic was higher in competitive markets, due largely to increased competition from satellite services. In these competitive markets, the FCC says prices averaged 1.5% lower for incumbent cable operators with a rival operator, 9.6% lower for said rival, .9% higher where satellite's market share exceeded 15%, and 1.5% higher in markets where cable competed with a wireless MVPD.

The FCC said this most current study was revised and "streamlined" in order to reflect changes in technology and industry conditions, including pricing structures. Previous version of the report focused on the separate price consumers pay for each tier of cable channels added onto the basic service tier. Standard def and HD simulcast fees of broadcast signals (and each multicast broadcast signal) is counted separately, the agency said.

The entire report can be found here. •

RSNs Getting in the Game

New data shows that ESPN is still the most-expensive network averaging $4.76 per month per sub. But, according to figures from SNL Kagan, regional sports networks are getting in the price-war game.

SNL says during the past 5 years, affiliate-fee revenue for all RSNs has spiked nearly 45% from $3.2B in 2007 to $4.6B last year. And, the firm says, revenue generated from non-sports cable nets jumped from $12.3B to $17.3B, a 41% increase, during the same time-span.

According to SNL, more than 30 RSNs are now charging average affiliate fees of $2.30 per month per subscriber, more than twice the amount being charged for TNT ($1.08), the costliest of all non-all-sports networks. However, the firm says annual affiliate fee rev growth for RSNs has remained relatively balanced for a few years (8.7% compared to 12% in 2007). Non-sports annual affiliate revs have actually declined during the same period (2007-2011) from 10.6% to 6.5%, respectively. •

Etc.: Aereo Countersues - Netflix Tempers Cable Plans - Op/Ed: TV Experience is 'Broken'

In Court: Things are heating up between Aereo and broadcasters. The company hired David Hosp, the same copyright attorney who helped Cablevision secure its network DVR lawsuit victory against broadcasters in 2009. Aereo filed a countersuit against broadcasters including ABC, CBS, Comcast's NBCU and Telemundo this week saying the same copyright laws that enable CVC to distribute broadcast programming to its Optimum customers should allow the company to distribute those same broadcast signals via the internet. (The company was hit with a second lawsuit filed by Fox, Univision and PBS, but Aereo did not immediately counter sue on that case.) Representing the broadcasters will be Steven Fabrizio, the same attorney who helped orchestrate the demise of Napster in 2001.

Battleground: AT&T says it's dumping $53M in broadband investment throughout Mississippi. --- PCWorld says officials in San Jose (Calif.) are planning a municipal WiFi network in its downtown area that would cover ~1.5 sq. miles. --- Netflix says those plans to jump on board with cable companies may be further down the road than originally thought. Company Town has the story.

Rules & Regs: As expected, the NAB supports extending the FCC's cable analog carriage mandate for another three years. The group also supports small cable ops' ability to retain waivers of the HD carriage mandate. --- The NCTA says it's time for the FCC to stop requiring cable operators from having to carry both analog and digital versions of TV channels. The group says the dual-carriage mandate is outdated in today's highly competitive marketplace and unconstitutional. --- The FCC granted applications to re-assign the licenses of eight full-power commercial TV stations from Freedom Communications to Sinclair Broadcasting, including WCWN and WRGB in NY. The commission granted the companies' request for a waiver of the local television duopoly rule regarding these two licenses, saying the joint operation of both stations won't harm the FCC's diversity and competition goals.

Op/Ed: The entire television experience is "broken." For all of you out there trying to leverage social platforms, the author of this piece says if his TV were more like his iPhone, he'd leave comments on video clips, tweet during live shows... all of it. "The winner in the living room... will come down to apps and the software that ties them to the hardware." And Apple is working on it.

WebTV: Yahoo is hooking up with Vuguru to develop and finance scripted web series. More from The Wrap. --- Fox Digital Entertainment will launch a new scripted web series called "Let's Big Happy" on Myspace and "a variety of digital download stores" on March 28.

SocialTV: Peel launched a second-screen platform within the Peel app to run during Fox's "American Idol" finalist episodes. --- SOI TV launched what it is calling the first 100% social TV outlet for Hispanics reaching 3.3M US HHs in 15 markets. The company said it will soon migrate to cable and satellite feeds as well. Info here.

Programming: The Documentary Channel is running a full month of environmentally-focused films in April called "EarthView." Themes include the local food movement, urban farming, water-as-resource and recycling. Cool. Check it out.

Tech: AT&T and Verizon say they'll offer the new iPad on March 16. Most reports say... good luck with that.

Over, Up & Under: Rogers said it started using Seachange to insert dynamic ads into its on-demand platform during mid-roll breaks.

People: Cablevision named former SeaChange International and Time Warner Cable exec Yvette Kanouff EVP of engineering and software design. --- Ed Huguez was promoted to the newly created position of President of Affiliate Distribution for Starz Entertainment ---  BlueHighwaysTV CEO Stan Hitchcock will be a featured speaker at Princeton University's James Madison Program, American Ideals and Institutions seminar today.

D'Oh!: Maybe you've seen this, but a marketing firm tried using homeless people as WiFi hotspots down in Austin for SXSW. It backfired. Here's some backstory, courtesy of Wired.

--- Catch today's media market news in The Evening BRIDGE. •