DirecTV to Raise Prices in 2013

by Christopher Freeburn | December 28, 2012 10:03 am

DirecTV Blockbuster[1]DirecTV (NASDAQ:DTV[2]) subscribers can expect to pay more for their TV shows in the new year[3].

On Thursday, the satellite service announced that beginning Feb. 7, it will boost monthly subscription fees by about 4.5%. The hike is a response to an 8% rise in carriage fees demanded by cable channels included in DirecTV’s service, Reuters noted.

In July, more than a dozen cable channels operated by Viacom (NASDAQ:VIAB[4]) went dark on DirecTV for nine days over a disagreement regarding distribution fees demanded by Viacom. While the two companies ultimately resolved the dispute[5], DirecTV said the temporary loss of popular channels like MTV and Nickelodeon had resulted in some customers switching to rivals, including Dish Network (NASDAQ:DISH[6]), Verizon (NYSE:VZ[7]), Cablevision (NYSE:CVC[8]), Comcast (NASDAQ:CMCSA[9]) and Time Warner Cable (NYSE:TWC[10]).

Earlier this month, Cablevision announced that it will raise monthly fees[11] on its high-speed Internet service by $5, starting in January.

Shares of DirecTV slipped fractionally in Friday morning trading.

Endnotes:

  1. [Image]: https://investorplace.com/wp-content/uploads/2011/08/Directv_dish_630.jpg
  2. DTV: http://studio-5.financialcontent.com/investplace/quote?Symbol=DTV
  3. pay more for their TV shows in the new year: http://www.reuters.com/article/2012/12/27/us-directv-pricing-idUSBRE8BQ0MS20121227
  4. VIAB: http://studio-5.financialcontent.com/investplace/quote?Symbol=VIAB
  5. two companies ultimately resolved the dispute: https://investorplace.com/2012/07/directv-customers-get-back-mtv-spongebob-and/
  6. DISH: http://studio-5.financialcontent.com/investplace/quote?Symbol=DISH
  7. VZ: http://studio-5.financialcontent.com/investplace/quote?Symbol=VZ
  8. CVC: http://studio-5.financialcontent.com/investplace/quote?Symbol=CVC
  9. CMCSA: http://studio-5.financialcontent.com/investplace/quote?Symbol=CMCSA
  10. TWC: http://studio-5.financialcontent.com/investplace/quote?Symbol=TWC
  11. that it will raise monthly fees: https://investorplace.com/2012/12/cablevision-to-hike-internet-prices-in-january/

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