(ATLANTIC) Mediacom customers will see around a $3 rate increase on their family cable rates.
Tom Larsen, who runs Government Relations with Mediacom, said the increase is actually less than the amount that their programming rates are going up.
“We buy programming from different companies including your local broadcasters, the ESPN’s of the world, the TNTs, the USA networks of the world, and every year those companies increase the rates that we pay,” said Larsen. “So, similar to what you might experience at the gas pump, when our costs go up, the price of our service goes up.”
Larsen said unfortunately, unlike the gasoline world, their prices never go down. “So every year our customers unfortunately feel the impact of these never ending price increases by the folks that create the television programming that they watch.”
And Larsen says it is important for our listeners to understand that every penny of the $3 rate increase goes to them.
“There is not a single penny of that that we keep; essentially we’re a collection agent for the programmers, so while our prices are going up our profit is not,” explained Larsen. “We are not making any money off of this, it all goes to them.”