Why is cable TV in the USA so expensive?

Why is cable TV in the USA so expensive remote

Generally in the USA, around 94 million individuals utilize satellite and cable TV services yet. However, nowadays they are driving away from cable TV benefits because of the constant yet gradual price increase for quite a while now. The government data rolled out that the costs of TV services have risen twice as compared to the past 10 years. Moreover, the cable service provider companies have affirmed the way that the bills have climbed up to $100.98 in 2017 – a 53% rise from 2007. 

There are various reasons why cable TV is expensive in the US, while some reasons are valid, some might need justification. Spectrum TV packages, for example, are one of the most sought after deal and provider which offers extensive packages and channel-line ups for their customers with suffocating them with contracts – everything without putting a dent on their subscriber’s bill. Some other cable service providers also have designed the packages keeping in mind the unique needs of all age groups, socio-economic influence, and budget limitations – which makes them user-friendly on more than just one domain. 

In this article, we will try to figure out and find out why cable services are pricey and why people had been tolerating the charges till now. So let’s shed some light on all the possible reasons that ultimately increase the causes of cable service across the US: 


Premium Content and Infrastructure for Cable Services 

Then again, TV service official reps put all the fault on the charges they need to pay to get premium channels to deliver their customers who are paying extra for exclusive content. For those who don’t know, cable providers have to pay to premium networks to get their channels and exclusive content for their customers (for which they charge an additional fee on top of their standard bill) – this adds up to the expenses invested to build the underground infrastructure of delivering the service to the end consumers. During this due course, the cable service providers are similarly subjected to spiking prices as they need to put extra money – particularly for sports channels; they need to pay a huge amount of money to sports leagues. 



Standalone Services vs. Bundle offers

Cord-cutting may seem like an answer to this issue when we look at the increasing prices of cable TV services yet, in fact, it isn’t. Cable service providing companies tend to encourage their customer for bundling up their services by offering them discounted prices, where they can save up to $200-$300 per year. As you are getting three services in a single package and if you get the basic internet package from the provider the price of the standalone internet would be higher as compared to the one you get inclusive in the package. 

Similarly, if we compromise and get the packages with less data, then the speed of the internet won’t be sufficient to utilize Netflix or other online services. One unit typically has numerous devices connected to one internet connection, in the same way, many individuals are working from home because of Covid-19, and the internet connection with the quickest speed is an essential requirement to stay connected with the workforce to keep the momentum moving – but that too without putting a dent on the pocket.  


Wrapping up, 

Generally in America, there is next to no rivalry as far as cable TV and the internet. They don’t change, improvise, or develop because there is less competition. However, cable companies are pulling up their socks now, with the cord-cutting trend which is skyrocketing with time – thanks to the trending streaming services that do not restrict their customers into any agreement nor do the users have to break their leg to avail their services.  Cable services cover hundreds of channels that are usually not offered in any other service whether it’s satellite or streaming services. DVR, additional features, one-bill for multiple services, instant customer support through several channels, and so much more has been invested and built to satisfy the customers and make their experience seamless and as smooth as possible. Everything includes expenses, some one-time but most of the expenses are continuous – which eventually adds up to the total bill of cable service. 

I'm the editorial writer for DroidHorizon. You'll find my content varies in the technology, science, & lifestyle categories.

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