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A: they’re betting most people will accept it, and they’re right. The same thing happened in the early 80s when cable television advertised themselves as the pay-for-ad-free service, then started sneaking ads in. People complained, sure, but we all saw the outcome. They got away with it.
B: Greed, capitalism, and fuck you.
Cable television never advertised that. Cable TV started as a “community antenna” system that served people in valleys with existing off-the-air broadcast channels (which had ads); the existence of those systems created a market for satellite-fed channels like HBO (which was always a separate subscription and ad-free) and TBS/CNN (which always carried ads). Other than the premium channels like HBO/Showtime/Cinemax, cable channels have had ads from the beginning.
Once the small cable systems and the media publishers both got consolidated, we started seeing content licensing deals and higher costs to the subscriber to pay for it - but the channels (MTV, Nickelodeon, etc) always carried ads.
It definitely did. I remember it vividly (I was alive back then). And I’m talking about the premium services, specifically (e: which was the point of my comparison: the premium paid services back then advertised no-ad service, then included ads, just like the premium streaming services are doing today).
Here’s an article from the NYT in 1981 on the topic:
WILL CABLE TV BE INVADED BY COMMERCIALS?
e: a quote:
Literally the first sentence of that article:
The premium services mentioned in your quote (HBO, Showtime) also still do not run ads even today.