Dish Network’s new Hopper DVR includes a feature known as “Auto Hop,” which can automatically skip past commercials.
“The Hopper DVR costs Dish subscribers $10 a month in addition to a $99 upfront fee,” reports the Wall Street Journal. “Dish also offers a less-expensive traditional DVR with no upfront charge and a $6 monthly fee. The Hopper is made by Echostar Corp., which like Dish is controlled by satellite-TV pioneer Charlie Ergen.”
Auto Hop may alarm broadcasters by threatening network advertising revenues. Already nearly a quarter of U.S. households use DVRs and regularly fast-forward through commercials.
Dish is clearly sensitive to this and has limited Auto Hop’s use for nationally broadcast prime-time programs aired on ABC, CBS, Fox and NBC to after 1:00 a.m. the day after they air.
The new feature may become a factor in broadcasters’ attempts to seek higher retransmission fees from pay TV companies.
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