Verizon Kills Cable Contracts As TV Sector Finally Starts Listening To Cord Cutters. Kind Of.

from the the-customer-is-always-right dept

Remember cord cutting? The trend that cable and broadcast execs and countless sector analysts spent years claiming either wasn't real, didn't matter, or would most certainly end once Millennials started procreating? It set records in 2019, and despite some wishful thinking among cable TV executives, there's no real sign that the trend is going anywhere thanks to the continued rise of new streaming services.

While many cable companies have simply doubled down on the behavior that brought them to this point (price hikes and comically terrible customer service), there are some indications that other companies are finally starting to listen. Like Verizon, which last week introduced a number of new internet and cable TV packages that eliminate the long-term contract entirely, and at least make a fleeting effort to cut down on hidden fees:

"Customers don’t want to be forced into bundles and contracts. They don’t want surprises on their bill at the end of the month,” said Frank Boulben, SVP of consumer marketing and products at Verizon."

Yes, incredible insight. Under Verizon’s new "mix and match" plans, users can subscribe to three FiOS broadband options: 100 Mbps for $40 per month, 300 Mbps for $60 per month, and a gigabit connection for $80 per month. It's also offering a number of cheaper ($50 and $75) options for cable TV, as well as bundling in YouTube's Live YouTube TV service for $50 a month for those interested.

Verizon is, in effect, getting rid of both contracts and contract promotions, shifting more toward advertising the actual price, something consumers have been bitching about for the better part of two decades. Of course Verizon wouldn't be Verizon without at least a dash of disingenuous nonsense and hypocrisy, such as claiming you're getting rid of annoying fees before saddling your users with... annoying fees:

"Verizon’s new option includes a $12 per month set top box rental fee and a $15 per month router fee for some subscribers, tacking an extra $27 on to the final bill. Users also have to sign up for autopay and paperless billing to take advantage of the offers."

The new offers also seem geared largely to lure in new customers. Existing customers, like Ars Technica's Jon Brodkin, tried to sign up for the new options only to find he wasn't allowed to sign up for them at all. Even if he had been able to get the new bundles, he found that the final offering would have not only come with obnoxious fees (like Verizon's misleading "broadcast TV fee," the final bill would have been higher than what he was already paying Verizon under his existing subscription.

So on one hand it's nice to at least seem companies like Verizon acknowledge that they should start listening to consumers, even if the end product of that revelation still leaves much to be desired.

Filed Under: cable contracts, cord cutting, tv
Companies: verizon