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Cablevision Would Consider Dropping TV Services

Fee disputes between cable providers and broadcasters are rising


watching tv television cable 630The Internet may ultimately replace traditional cable TV service.

That forecast comes from none other than the James Dolan, CEO of Cablevision (CVC), who says “there could come a day” when his company just provides broadband service, leaving it to customers to subscribe to online content sources on their own. While analysts have suggested that subscription TV providers might one day shift entirely to offering broadband Internet service in lieu of a slate of channels, Dolan’s comments mark a rare concession by a cable executive of the Internet’s potential to radically alter the TV landscape, the Wall Street Journal notes.

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Dolan admitted that when he watches TV with his children, he prefers to stream content from Netflix (NFLX). He noted that Cablevision was spending heavily to improve its network in order to carry increasing levels of broadband traffic.

Cable providers have increasingly clashed with broadcasters and media companies over transmission fees for the slates of channels they carry. Rival Time Warner Cable (TWC) is currently blocking CBS (CBS) channels over just such a dispute.

Shares of Cablevision rose modestly in Monday morning trading.

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