They will charge you though the nose for a "dry" internet connection (i.e. when you only have internet service with them). The delta between internet and TV with internet is just about $20 and add phone for another $10 (with per/min charges). Add a few dollars for the cable box and this deal will only be a small gain over an internet connection and TV.
Perhaps so, but I have TWC in NY and pay just $34.99/month for a 50/5 connection (granted, I think it is rated lower but if you use a docsis 3.0 modem on an otherwise slower priced connection, you get higher speeds) and just use a few shared accounts for netflix/hbo go/nimble tv/amazon/WatchESPN all on a Roku3 that come to something like $10-15/month
perhaps doing this is somewhat against the TOS of those services, but last time I checked, TWC bundling prices is against the terms of service of the federal government...
The fee is (more or less) 1% of gross revenue if you're a cable system.
See section 111 here:
(F) If the actual gross receipts paid by subscribers to a cable system for the period covered by the statement for the basic service of providing secondary transmissions of primary broadcast transmitters are more than $263,800 but less than $527,600, the royalty fee payable under this paragraph to copyright owners pursuant to paragraph (3) shall be—
(i) 0.5 percent of any gross receipts up to $263,800, regardless of the number of distant signal equivalents, if any; and
(ii) 1 percent of any gross receipts in excess of $263,800, but less than $527,600, regardless of the number of distant signal equivalents, if any.
the royalties are set by the government, not the broadcasters
--> Is the above true, does someone know this for certain?
--> If so, what would the marginal cost be per user?
One other thing to consider is that Aereo has pretty good software developed right now and if they don't need farms of antenna's with local presence anymore, they could theoretically be located anywhere if they are, effectively, a retransmission service and would no longer need to build out local infrastructure (i.e., which I suspect was one of their larger costs) and could just use cloud type services (e.g., amazon/rackspace) to host their DVR/transcoding/etc. services
16.5 feet in the Twilight Zone = 1 Rod Serling