AMC is offering “upgrade” to commercial free for $4.99/month.
Available to 19m Comcast customers only.
The math:
1) With a $25.00/CPM for 30-second spots and 16 minutes of commercials per hour
2) There are 32 30-second spots per hour
3) AMC would get $0.80 per hour in advertising revenue per viewer
4) At $4.99/month for no ads, AMC makes more $ from anyone who watches less than 6.3 hours per month.