Requiring cable systems to sell channels a la carte ‘could trigge...

Requiring cable systems to sell channels a la carte “could trigger a ‘death spiral'” among program distributors, Viacom said in comments on the FCC rulemaking (MB 04-207). Viacom said the rules would reduce viewership for most channels while requiring “a drastic escalation in programmer marketing costs.” Consumers would pay the cost, it said: For example, for the $40 the average consumer pays for basic service, equipment and 46 channels, Viacom said they would get only basic, one converter box and fewer than 5 single-channel offerings. “The only consumers who conceivably could benefit economically from mandated a la carte are those who subscribe to a mere handful of program services,” it said.