Time Warner Cable, based in New York, has encouraged customers to sign up with Aereo Inc. to watch CBS. Aereo is a startup service, backed by billionaire Barry Diller, that sells access to the broadcast networks online for $8 a month. Aereo, which pays no retransmission fees to broadcasters, is currently being sued by CBS.

When a channel is dropped from a pay-TV service, 7% of subscribers end up switching providers, while 16% watch the lost channel online, according to a survey from Parks Associates, a market-research firm based in Dallas. The survey, conducted in the third quarter of last year, looked at 2,500 households and asked residents what they did the last time they lost a channel in a fee dispute.

From the article, "Time Warner's blackout of CBS enters third day."

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