Estimated reading time: 8 minutes
Discover the controversy surrounding single-channel cable subscriptions. Is free-to-air TV the future?
Cable Subscription Mass Debate
The run-up to and the day of the Speech from the Throne was surrounded by the controversial subject of a single-channel subscription rather than getting multiple channels bundled together.
According to recent sources, there is a growing trend towards free-to-air TV, received through the more traditional aerial on the roof.
A large proportion of UK TV is broadcasted by traditional aerial reception, called terrestrial TV or satellite, via the leading provider, BSkyB.
Having a cable subscription does exist and is available to a large portion of homes, but it is not that popular.
There are 50+ free-to-watch channels in the UK, with quite a number in HD through a digital set-top box, and if you get a Free Sat (Satellite) box, there’s even more free television.
Cable subscription channels generate enough cash flow from advertisements, so why pay again to watch them?
Both the free-to-watch boxes available in the UK cost money upfront, plus you pay for a TV license every 12 months.
However, it’s still far cheaper for a service that is superior to what the average Canadian receives.
Irrelevant Advertisements Canadian Cable TV
One of the problems that Canadian TV seems to have is that a vast majority of the channels are bought from the US, so to cover the cost of buying the channel, you have to pay to watch.
Unfortunately, you end up paying to watch completely irrelevant advertisements.
On-Demand TV Programming
Another growing trend is Netflix, where you can watch on-demand programming and movies for $8 a month.
Sure, you’ll still need to pay for a good internet service, so how much are you saving unless you’re already subscribing to a fast service because you use the internet a lot?
If Netflix isn’t your scene, you can still watch TV programs streamed online from many sites.
Basic Cable Subscription Costs
Rogers Basic cable television subscription costs $38.67 per month; then you’ve got to add in the receiver boxes at $4.51 a month for the main TV in the living room.
On top of that, you have to pay for three extra outlets at $6.99, and then the government wants to take their share by charging you tax.
You have to pay all this for roughly 50+ cable television channels.
That’s pretty pricey for a bare basic, run-of-the-mill viewing pleasure, considering the amount of money already generated by advertising on these channels.
Some days, I swear I’m just paying to watch adverts.
As for us, we tend to watch a few channels, although we tend to negotiate with Rogers’s retention department every year for a deal.
I’m not sure how that would work in the future.
For me, it’s BBC Canada and some documentary channels like TVO, the News, and the Weather.
Mrs CBB likes one soap opera, which will remain nameless for now.
Would Bundled TV Be Worth The Costs?
If Ottawa has its way and changes the rules of bundled TV channels, I’m not sure I could justify spending $8 a month for one channel just as an example.
I think there needs to be a bigger overhaul of the TV broadcast system.
There are worries that smaller niche channels may disappear, but if they broadcast relevant, meaningful material, they could be subsidized by the government.
It’s the constant reality TV that gets streamed in from other sources that irritates me.
I don’t want to pay to watch a bunch of people with less brains than a cheese sandwich fight it out on Jerry Springer.
I can watch better fights by tuning into Canadian hockey.
Free-To-Air Television
Going back to my first remark about the shift towards free-to-air TV.
I’m currently looking into this, too, although depending on where you live depends on what channels you can receive.
It all concerns broadcast antenna (transmission tower) range and signal strength.
I’ve also learned that you may need more than one aerial due to broadcasts in different directions.
I would suggest contacting your local TV installation/repair business, as just throwing up an aerial and hoping for the best may be fruitless.
This man has more detailed information on what can and can’t be achieved through swapping to free-to-air TV.
Research Before Commitment
The one piece of information that caught my eye was the cable’s signal compression.
This would explain why we have terrible quality sometimes, considering we’re supposedly paying for high-definition.
I can tell you that if you’re seriously thinking of jumping on the free TV bandwagon, do your research first.
Don’t cancel that cable subscription just yet.
My best advice is to be informed and choose whatever fits your budget and lifestyle the best.
CBB Weekly Blog Posts
- Christmas Vacation: Save money by packing right, packing light
- Do I need a tenants insurance policy when I rent?
- Go on vacation and save money on groceries
- Kids Eat Free: Is it a restaurant lure for parents?
- Roasted pumpkin and red lentil soup
Making A Difference
My name is Jacob, a 28-year-old chemical engineering PhD student from Virginia studying drug development for Alzheimer’s disease.
On the side, I am also the owner, author, and creator of the personal finance blog MyPersonalFinanceJourney.com.
I started this site back in January of 2010, and since then, I have poured my heart and soul into the site to produce a product I am proud of, and I think it adds value to the world.
On MyPersonalFinanceJourney.com, I aim to offer actionable personal finance advice to achieve long-term success.
I also do not hesitate to apply numerical financial analysis to cut through some hype and half-truths surrounding personal finance and investing.
Specifically, I enjoy making a difference in the lives of readers by helping them in the following areas:
- Long-term investing and asset allocation strategy analysis.
- Deciding how to prioritize new funds as they come into various spending requirement areas.
- How to develop a lifestyle of frugality and live according to your life dreams and life values.
Since finances are involved in almost every aspect of society, imparting knowledge to others in personal finance can improve people’s all-around quality of life.
Along with providing content on personal finances, my blog also gives away 10% of the net income it generates monthly, with 5% going to readers and 5% to a charity selected by the reader giveaway winner.
To date, I have given away over $3,100.
Google Search Terms
Every week, thousands of people visit Canadian Budget Binder because they searched online and found my blog.
Here are a few of my favorite searches that may have brought you here and you’re reading this right now.
- Did we kill the mortgage loan by putting money on the loan?– It all depends on what you mean by kill.
- Cake using vinegar- Now that’s interesting.
- What women want in a husband?– That sounds like a blog post I can handle.
- OSAP didn’t give me enough– Time to go to work.
- Is barn break a low gi food?– I have no idea what barn break is.
- Rent a goat in Canada- I knew Canadians would rent goats.
That’s all for this week’s edition of The Saturday Weekend Review #42.
Join me next week at the same time, in the same place, to see what trouble I can get myself into. Have a great week, everyone.
Mr.CBB
I would pay per channel if it were reasonable (1.00 each) as we only watch a few channels. I have already cut our satellite to basic service and cancelled all the movie channels. Then we signed up for Netflix. We save about 50.00 a month doing this. 9 times out of 10 I miss the shows I want to watch and end up watching them online anyway and we can watch broadcasts of the local news shortly after they are on TV. The weather is sent to my computer/phone daily. I would definitely not pay $8.00 a channel. I would cancel my satellite subscription and hook up my laptop to the TV before I paid that much!
We heard about the breaking up of bundles with cable… Not sure where that will go but we will be watching closely. Hubby mentioned the other day he caught part of something on TV about a new kind of antenna, he said it looked like a BBQ rossitiere unit on end. This would be something we could look into over the next while. We had the old school aerial back years ago when we lived in the country and it did have a motor that turned the unit to catch the signal. Or at least it did until the tower was hit by lightning and fried!!!! So you may not need more than one aerial if there is a motor. I don’t really care much what they do about cable as I simply don’t watch TV unless I’m somewhere like the sister-in-law’s place and they are watching it. It’s the only reason I was watching curling during the tournament of Hearts earlier this year. Or I’m looking after the grandson and he is watching Treehouse…
Are you talking about OTA or FTA? You are talking about aerials in the article which makes it sound like you are putting up stationary antennas, or are you talking about motorized satellite dishes. There’s several websites that show you the satellite’s that cover your area of the world and what languages they transmit in and the hours they are best seen at.
Hi,
I’m talking about over the air free to watch through a stationary aerial/antenna. I hadn’t considered motorized satellite dishes as they are a little more expensive to buy and install. I am starting to research this so I don’t know all the ins and outs of it so it’s nice to get feedback from the fans. Cheers mate.