FCC To Set Your Building Free: Apartment Building Can No Longer Sign Exclusive Deals with Cable Co’s
Tired of having only one cable company service your building? Odds are that your building signed an exclusive agreement with the provider you are locked too, but thanks to the FCC and Kevin “à la carte” Martin those agreements may now be illegal.
The new rule would shift the bargaining power over cable and broadband services to apartment residents from landlords and tenant associations. It has been long sought by consumer groups as part of a broader effort to cut prices to the roughly 100 million households that pay for access to television.
The change would be an abrupt reversal for the commission, which only four years ago ruled that such exclusive agreements sometimes actually promoted competition by giving landlords the leverage to negotiate for the best terms.
Commission officials said they had prohibited other exclusive contracts involving telecommunications, including those in commercial buildings, but trade groups representing cable companies and building owners have indicated they may challenge the commission’s move in court.
Commission officials said the rule aims to put an end to some common practices of landlords and tenant associations that have deprived tenants of choices. They said that in many communities, there has been only one cable provider, and while landlords and tenant associations could select a satellite television provider, the competition from those companies has not led to lower cable prices.
Will it really lower prices? I’m not so sure but I’m sure it will make richer landlords. What do you thing of your buildings Cable company of choice?
