Maybe Riedel could have helped Springfield's mayor get a better deal in his recent negotiations with MediaOne, the company that holds the exclusive rights to provide cable service in the city. In particular, ACM is concerned with the free services cable companies provide to communities to help create public access, in exchange for the highly lucrative virtual monopolies they enjoy in the cities they serve. Albano pretty much gave away the store. That group, in turn, agreed to pass the money on to finance Albano's stadium. But I just can't believe he did this.
Cable television is an enormously wealthy industry that stands to become even wealthier.
Cable advertising revenue has grown, as ratings show viewers switching off the networks and switching on cable stations. And cable companies are now branching into new, promising sources of income, such as telephone and Internet service. These are extremely profitable companies. They got that way, in part, on the backs of the cities and towns they serve. Once the initial cables are laid, Riedel said, they're relatively easy to maintain, leaving cable companies to reap profit margins of up to 40 or 50 percent.