Adaptation of Dying Medium
Looks like this move is yet again another step by pay-TV operators to incorporate streaming services into their offerings. Charter Communications, for instance, includes Disney+, ESPN+, and Paramount+ for many Spectrum TV users, while Comcast recently launched StreamSaver, a package bundling Peacock Premium, Netflix Basic with ads, and Apple TV+ at a discounted rate.
But why incorporate such a move? To slow the decline of traditional pay-TV subscriptions, of course. DISH just on its own already reported a loss of 348,000 net pay-TV subscribers in the first quarter of 2024. Even worse, the previous year showed a much larger 552,000 subscriber loss, proving the dire need to improvise and adapt in changing times.
Interestingly, many speculate that such bundling deals typically involve the distributor paying a wholesale rate to the streaming partner for each subscriber. So it actually still remains to be seen if the long-term effectiveness of these partnerships can help retain customers or even reverse the rapidly accelerating cord-cutting trend.
Service Caveats
Then again, while the initial bundle looks promising, DISH is not responsible for covering any future Netflix price increases. A trend that at this point, typically occurs once or twice a year. After the two-year period, customers will have to pay the retail price unless they cancel their Netflix service.
Additionally, new customers may face even more costs for the required “eligible equipment,” and the two-year contract comes with early termination penalties for those who dare change their minds about the deal.
Service Cost and Price Tiers
As for how much the bundle would cost now, the base is set at $6.99 monthly credit, equivalent to the cost of Netflix’s Standard (with ads) plan. Subscribers would then have the option to upgrade to ad-free tiers by paying the difference. For instance, customers can potentially pay more to choose the upgraded Netflix Standard (no ads), or the higher-tier Netflix Premium plans while still receiving the $6.99 monthly bill. Flexibility is there, albeit not as glorious as DISH proudly touts it to be.
For more information on this offer, interested customers can visit the official service page at DISH.