TWC says LIN demanding 50% hike in retrans fees; contract expires May 31.

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Suddenlink CEO Jerry Kent embraced the idea of offering more choices in programming packages and pricing options. “There is clearly a need for greater flexibility on the part of distributors like us, to offer smaller, more-economical packages of channels that are better targeted to diverse consumer interests and incomes,” Kent said.

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McCain reportedly wants to ban broadcasters that own cable networks from using retransmission-consent for TV stations to force distributors to pay increased license fees for cable networks.

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Why is it that broadcasters are so up in arms about Aereo? The answer, I believe, is that Aereo directly challenges a concept known as retransmission consent.

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CBS Corp. said it saw first-quarter revenue jump 6 percent to $4.04 billion, attributing much of the gains to the performance of premium network Showtime and increased retransmission-consent fees collected from cable operators and satellite TV providers [for CBS].

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Top sports network ESPN could cost subscribers $20 monthly if cable operators break up programming bundles and offer smaller packages of networks, Liberty Media chairman John Malone said.

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If Fox opted to become a cable channel, it may be able to charge more than it currently gets from pay-TV distributors.

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…broadcasters rely heavily on retransmission-consent fees from cable and satellite affiliates to sustain their businesses, and Aereo could potentially reduce the amount of fees the stations receive from distributors…

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Under a 1992 federal law, broadcasters can charge cable providers the per-subscriber fees for carrying their programming. Click officials have said such fees, which are directly billed to Click’s 23,000 subscribers – are now the network’s single biggest operating expense. Click cited such fees as the main reason customers’ cable rates were raised in January, and why those rates likely will be hiked again in July and next year.

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Verizon is beginning to pitch cable networks the idea of paying license fees based on how many FiOS TV subscribers actually watch their programming, The Wall Street Journal reported.

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