Investing

AT&T's (T) Cable Beef

AT&T (T) has filed a complaint with the FCC claiming the Cablevision (CVC) will not give its access to local sports programming for its new TV service in Connecticut.

Cablevision’s response is simply that the telecom company has not cut a deal with it that is commercially acceptable. The programming is undoubtly expensive as is most sports content.

AT&T’s position is a bit cute. It need the programming for its new TV-to-the-home service that will compete with Cablevision’s existing cable TV business. But, it does not want its rival to drive too hard a bargain. It is an argument that fails to acknowledge that, even if the FCC compels Cablevision to offer the content to AT&T, the price will be and should be dear.

Putting itself out of business can hardly be expected to be Cablevision’s goal.

Douglas A. McIntyre

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