Thursday, September 27, 2012

Dish Loses 10,000 Subscribers | The Online Reporter

- Lost AMC but Expects Programming Costs to Decline
? Looking for Partner with Synergy for Its Mobile TV Service

The US satco Dish Network lost 10,000 pay TV subscribers in
the second quarter.

Dish ended its contract with AMC Networks, maker of hits such
as ?Mad Men? and ?Breaking Bad,? on July 1 because many of
AMC?s original shows are available on OTT services such as
iTunes for rent or purchase the day following their debut. CEO
Charlie Ergen said the loss of AMC would be beneficial to Dish
because the company?s programming costs will drop slightly.

?We could pay for every customer who would watch ?Mad Men.? We
could pay for entire iTunes bills and that would be cheaper
than burdening our customers if you don?t watch those channels
with that cost,? Ergen said. ?Long term, we?re going to be
several dollars less than our competitors because we don?t
carry those channels.?

Dish?s ad campaign to promote its Hopper whole-home DVR caused
the company?s subscriber acquisition costs to increase to $806
per new subscriber, up from $795 a year ago.

Waiting for Mobile Video Spectrum & Looking for a Wireless
Partner
Dish is waiting for the Federal Communications Commission
(FCC) to approve use of some of its wireless spectrum for
mobile TV. The company said it ?expects a favorable resolution
in the next few months.? Ergen said it would likely enter the
wireless TV market with a partner ?where there is synergy? and
that has a wireless network.

The first company that comes to mind for partnering with for a
mobile TV service is AT&T, the US? second largest cellco, but
whose U-Verse pay TV service is constrained to where its
existing telephone network is located. AT&T, which came close
to acquiring satco DirecTV a number of years ago, might want
to keep up with Verizon and spread its pay TV network
nationwide. Verizon has partnered with Redbox owner Coinstar
to cook up a US-wide combination OTT and DVD rental service
that could include live shows being delivered to mobile
devices. After all, Verizon Wireless is the US? largest cellco
in number of mobile devices that connect to its network.

Dish and Qualcomm are working together to add satellite
communications to some versions of Qualcomm?s Snapdragon S4
application processors. Devices such as smartphones and
tablets that have the chips could connect to both satellite
and ground-based mobile networks and receive mobile TV
signals.

Dish has asked the FCC to change the rules so it could use its
satellite spectrum for mobile TV.

Dish to Stream Shows to iOS and Android Devices
Dish is very much in tune with the wireless TV market. It is
rolling out an in-house mobile app that uses its Slingbox-
capable ViP922 DVR. Users of the $30 app can currently control
the DVR and see the program guide from iOS and Android
devices. Dish intends to add free live TV and DVR recordings
this fall that will stream to the devices with the app. The
Associated Press reported that the service will be free,
except for the cost of the DVRs or broadband connected Dish
STBs that are connected to its Slingbox units.

Source: http://onlinereporter.com/2012/09/25/dish-loses-10000-subscribers/

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