Monday, December 22, 2008

KFXO vs. Bend Broadband

So, seriously. What's going on?

Some of you may have read the recent article in The Bulletin. There also appears to have been a correction that of course has not been mentioned with any importance. Pretty much, as I interpret it, I, as a consumer of Bend(Cable)Broadband will not be able to receive the local affiliate KFXO as of January 1st, 2009.

First off, let me say... I don't really care for any of the programming on Fox with the exception of House. Which, of course I can always watch on re-runs. Additionally, I am no fan of Bend Broadband. I was strongly opposed to the caps that they placed on their internet service, but I will grudgingly admit that they have not really affected me. But with this newest situation, I'm reading the different stories offered by each side, and I am having trouble understanding whose point of view to believe.

The key points the have so far are (listed by opposing party):

KFXO:

  • The exact same negotiations are going on all over the country between broadcast stations like KFXO and cable systems like Bend Broadband.
  • Bend Broadband charges you a fee to receive KFXO. We believe Bend Broadband should be willing to pay a small portion of the fees you pay to them for the program content we provide to you. Our request is reasonable given our award-winning news, sports, and entertainment programming. It is considerably less than the amount paid by Bend Broadband for less popular cable program networks.
  • We will continue to work diligently in the hope that Bend Broadband will complete an agreement for carriage of KFXO.
Bend Broadband:

  • BendBroadband does not charge cable customers for broadcast channels today
  • KFXO is not planning to charge "a small portion", but they are "attempting to hold popular shows and sporting events hostage to extract over $750,000 from cable viewers over the term of the agreement".

I did a little research on my own and found out that KFXO receives it spectrum from the FCC for free. Spectrum licensing is not cheap at all. As a matter of fact, local employer T-Mobile recently a hefty fee for their advanced spectrum. Now I don't the difference between advanced wireless spectrum and the spectrum that KFXO uses, but I am having difficulty putting two and two together.

How can KFXO charge cable users for something that they plan to give away for free? Also, why can't Bend Broadband just absorb the costs? Aren't the costs of all the other channels wrapped in the costs I pay?

Updated!

Contact numbers for the both of them:

Bend Broadband: 541.382.5551
KFXO: 541.382.7220