News Corp Seeks Higher Fees For Fox News Channel

News Corp. COO Chase Carey said Wednesday Fox News Channel deserves far higher subscription fees from distributors.

Carey suggested that just like ESPN, Fox News is a channel that viewers demand–and for which they’ll pay a premium.

Speaking at the UBS Global Media and Communications Conference, Carey said fees for Fox News, as the dominant cable news network, should be brought in line with fees paid to ESPN:

“That channel in the cable world is right there with ESPN, as important a channel as exists out there,” he said. “Clearly a lot of customers [would] move if it weren’t there.”

As Broadcasting & Cable reports, Carey would not comment on the specifics of deals cut with cable companies over the retransmission of the Fox television network, he argued that News Corp.’s various properties were not being given rates that are “anything close to competitive:”

ESPN is the highest priced national cable channel at about $4 per subscriber per month. After its launch deals began expiring in 2006, Fox News, which has grown into the top-rated cable news channel, was able to increase its rate to about $1. Now some of those deals are expiring, opening the door to a new round of negotiations.

Carey said that other News Corp. cable channels also have opportunities to increase their sub fees, especially when compared to their more established competitors

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