Tuesday, June 26, 2018 – Horry County, SC | HTC is currently in negotiations with Nexstar for the right to continue carriage of their local broadcast stations after June 30, 2018.
The goal is to negotiate the lowest costs for programming, but the fees HTC must pay to ensure access to channels such as WBTW and MyNetworkTV are only getting more expensive.
“HTC is committed to signing deals for the programming our members want at fair monthly fees and to avoid a situation where corporate broadcasters temporarily remove popular programs,” said HTC Marketing Supervisor, Sandy Hendrick. “We negotiate in good faith, but when these large corporate media groups,
“Nexstar, ask for increases of over 100% over the current rates without justification, it makes the process more difficult.”
This retransmission negotiation process pits local cable operators; like HTC; against national corporate conglomerates. Historically, broadcasters were locally owned businesses that worked side-by-side with cable companies in the communities where they operate.
But as the broadcast industry has gone corporate, local cable operators are forced to negotiate with regional and national entities whose owners and employees are outside the community.
Although HTC strives to keep negotiations fair and amenable, it can sometimes get contentious, with broadcasters looking to maximize their income from cable providers. That’s because broadcast retransmission fees are a growing source of income for corporations like Nexstar at a time when other revenue streams; like advertising sales; are shrinking.
These fees are projected to cost U.S. consumers and satellite and cable operators $11.6 billion annually by 2022, a 51 percent increase from 2016, according to the research firm SNL Kagan. These significant increases can make it difficult to come to an agreement.
“While broadcasters demand a sharp increase in fees and then threaten to pull their channels from our cable system until their demands are met, HTC will be fighting on behalf of our members to keep rates down and maintain uninterrupted programming,” Hendrick said. “Unfortunately, through mergers and acquisitions, the creation of larger entities has only meant higher retransmission consent fees.
“Even with today’s announcement of the Gray Television purchase of Raycom Media, consumers should be concerned as they may burden the brunt of this $3.65 Billion purchase with higher rate increases.”
For more information about how and why local companies like HTC are subject to these lopsided negotiations every few years, go to KeepTheConnections.com. For a complete line-up, to leave a comment or to review the latest notice regarding negotiations, visit www.htcinc.net/fair-price.
HTC, Inc. is the nation’s largest telecommunications cooperative. Founded in 1952, HTC celebrates over 65 years of service to Horry and Georgetown Counties as a local communications leader.
HTC offers High Speed Internet, Digital Cable, Digital Wireless, Home Security, local telephone and long distance service, and advanced business services such as Local and Wide Area Networks (LAN/WAN), Managed Networks, VOIP Solutions, WiFi Solutions, Firewall and Security services.
HTC provides these services utilizing the area’s most extensive fiber optic network.
For additional information about HTC, call (843) 365-2154.
Contact: Nicole Hyman, HTC Senior Marketing Coordinator
843-369-8498 or firstname.lastname@example.org