Thursday, September 22, 2011

Time Warner Will Offer $30-$40 Cable Subscriptions With No ESPN To Fight Cord Cutters (TWC, DIS)


time warner cable

Time Warner Cable plans to increase its slate of low-cost programming packages, Deadline reports.

The company tested a "TV Essentials" service, which doesn't include ESPN, TBS, TNT, and USA Network, in Ohio and New York.

"The numbers are still pretty small, but the results are sufficient enough that we're going to roll it out more broadly," COO Rob Marcus said at a Goldman Sachs conference on Wednesday.

The services will be available on the East Coast initially and cost somewhere between $30 and $40 a month.

The move is an effort to keep subscribers from cutting the cord. ESPN charges the highest fee of any cable channel and by removing it, TWC can pass along the savings to its customers.

It seems like a reactionary product to us -- it's hard to think there are too many cable subscribers who want to order the service without all those channels -- but perhaps there are people who just want the news and other basic channels.

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Source: http://feedproxy.google.com/~r/businessinsider/sportspage/~3/WWGB93o0RJY/time-warner-offering-cheer-cable-sans-espn-in-an-effort-to-stop-losing-customers-2011-9

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