Impasse may put TV hits on fritz

A contract impasse over cable program fees between Time Warner Cable and Viacom threatened to pull the plug Wednesday on such popular channels as Nickelodeon, MTV and Comedy Central.

The two media giants had until midnight to work out their differences and keep programs on the system. But the companies spent much of the day publicly blaming each other as the contract deadline approached.

Viacom, which supplies the programs to Time Warner, ran full-page newspaper ads in North Carolina and other states showing cartoon character Dora the Explorer in tears over being yanked. The ad provided a toll-free number for customers to call Time Warner and lobby to save the shows.

As a result, the cable company's customer service lines were flooded with questions. Time Warner in a statement accused Viacom of misleading customers and trying to extort more money.

In a bid to control damage, Time Warner promised all customers a refund if a contract with Viacom was not signed by midnight, resulting in canceled programming.

Viacom's accusations that Time Warner is snubbing customers come at a sensitive time -- just days before higher cable rates go into effect.

Considering a change

Some customers say the dust-up is prompting them to consider alternatives when their Time Warner cable contract runs out -- satellite TV, AT&T's U-verse service or, if you live in the town of Wilson, its municipal Greenlight cable and Internet service.

"I would consider changing services," said Jeff Glover of Wilson during a shopping break at Crabtree Valley Mall. "People with options will use them."

Such talk is not new, but opting out is getting easier with the recent availability of AT&T's television service in parts of North Carolina.

Blackouts of programming are rare but have happened. In 2004, satellite TV viewers missed two days of shows during a contract dispute between Viacom and EchoStar, the former name of Dish Network.

Viacom's dispute with Time Warner threatened the loss of shows such as "SpongeBob SquarePants," "The Colbert Report" and "The Daily Show" for 14.7 million Time Warner customers, including 1.9 million in North Carolina.

Time Warner blamed Viacom for demanding a 14 percent fee increase, an extra $39 million for the programs. Viacom said the increase sought was modest, less than 25 cents a month per subscriber, for programming that accounts for more than 20 percent of Time Warner's viewership.

Many customers said they not only found the public squabbling distasteful, but it was another reminder of their powerlessness over programming and prices.

"We're really just stuck with whatever they give us," said Jeff Davis of Wake Forest. "It's the only cable company."

'Angry children'

Many customers can't grasp why they might be deprived of programming they paid for and had made a part of their lives. Lauren Sink of Raleigh said her 11-year-old and 18-year-old live for Nickelodeon and MTV. Ending the programming would not go unnoticed in their household.

"There are certain shows that we just love," she said. "I'm going to have some angry children."

Indeed, Sink wasn't waiting to find out how the dispute was resolved. She planned on tuning in right after midnight to see whether the blackout threat was made good or whether it was a bluff.

"At 12 o'clock tonight, after I finish watching Dick Clark, I'm going to see if my channels are on," she said.