A Look at Set-Top Box Prices Shows No Monopoly Power

In a Forbes article, on February 15, 2016, Progressive Policy Institute Economist Hal Singer debunks the FCC’s theory that the market for set-top boxes is a monopoly. He says that small providers with few market shares often charge more for set-top box rentals than large providers with many market shares. For example, TiVo charges between $299.99 and $599.99 upfront for a DVR and 1 year of service, but Comcast charges only $9.99 a month for a DVR. Mr. Singer says that the realities of the marketplace are the opposite of the FCC’s theory because monopoly prices should increase with market power, not decrease.