So I understand that business-wise it works and there is money to be made by charging people to watch TV, but I’m wondering what dish/direcTV/etc actually do in terms of innovating and getting entertainment on the air? My understanding is that the money from commercials goes straight to the networks, what incentive is there for the networks to not just allow free streaming on their websites so that more people see the show and the commercials in it?
In: 24
The cable company makes money by delivering the channels to customers. They have to maintain the connections to every customer’s home.
The networks (channels) make money by selling ad space on those channels in between the shows they make. If the network has good shows, more people watch, if more people watch, their ad space becomes more valuable.
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