It's not a matter of content people being stupid. His entire case against a la carte programming seems to be "it doesn't pay well enough". Be that as it may be, the alternative is currently dragging customers kicking and screaming to pay you exorbitant cable fees.
Is it any surprise that free, cheaper alternatives like iTunes, Hulu, et al, are taking off?
Maybe a la carte isn't the answer, but neither is cable bills and $70 a month subscriptions. The mere existence and massive popularity of other models (unprofitable as they may be) represent a very dissatisfied customer base.
My guess is that the costs of production will scale down to meet the new revenue reality of a la carte programming, instead of the other way around.
I think he would just come back and point to the increasing subscriptions. I guess this means that people are not only paying for monthly subscriptions but also using Hulu and iTunes.
Is it any surprise that free, cheaper alternatives like iTunes, Hulu, et al, are taking off?
Maybe a la carte isn't the answer, but neither is cable bills and $70 a month subscriptions. The mere existence and massive popularity of other models (unprofitable as they may be) represent a very dissatisfied customer base.
My guess is that the costs of production will scale down to meet the new revenue reality of a la carte programming, instead of the other way around.