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Fighting the High Cost of Cable

Supreme Court stops broadcast reseller

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    NEWSLETTERS

    A decision by the U.S. Supreme Court over who has the rights to over-the-air broadcast channels has also driven debate over the high cost of cable and satellite service, as NBC 7's Consumer Bob reports. (Published Thursday, Jun 26, 2014)

    A decision by the U.S. Supreme Court over who has the rights to over-the-air broadcast channels has also driven debate over the high cost of cable and satellite service.

    "At the heart of the issue is people are frustrated by the price of cable," said San Diego State marketing professor George Belch. 

    The Court ruled that Aereo, an internet company, cannot re-broadcast over-the-air TV to its internet customers. Aereo wasn't paying for those re-transmissions so the networks and cable companies sued to make Aereo stop. The Supreme Court agreed and told the company to stop selling broadcast of live TV.

    But some say the problem isn't as much about one company selling network programming as it is about customers tired of paying the high price of cable and satellite.

    "At the root of the issue going forward is the high cost of cable," said George Belch. "And that's going to continue to be a battle between consumers and cable companies and other rival technologies."