Pandemic Accelerated Cord Cutting, Making 2020 the Worst-Ever Year For Pay TV (techcrunch.com) 93
According to new research from eMarketer, the cable, satellite and telecom TV industry is on track to lose the most subscribers ever. This year, over 6 million U.S. households will cut the cord with pay TV, bringing the total number of cord-cutter households to 31.2 million. TechCrunch reports: The firm says that by 2024, the number will grow even further, reaching 46.6 million total cord-cutter households, or more than a third of all U.S. households that no longer have pay TV. Despite these significant declines, there are still more households that have a pay TV subscription than those that do not. Today, there are 77.6 million U.S. households that have cable, satellite or telecom TV packages. But that number has declined 7.5% year-over-year â" its biggest-ever drop. The figure is also down from pay TV's peak in 2014, the analysts said.
The pay TV losses, as you may expect, are due to the growing adoption of streaming services. But if anything, the pandemic has pushed forward the cord-cutting movement's momentum as the health crisis contributed to a down economy and the loss of live sports during the first part of the year. These trends may have also encouraged more consumers to cut the cord than would have otherwise. "Consumers are choosing to cut the cord because of high prices, especially compared with streaming alternatives," said eMarketer forecasting analyst at Insider Intelligence Eric Haggstrom. "The loss of live sports in H1 2020 contributed to further declines. While sports have returned, people will not return to their old cable or satellite plans," he added.
The pay TV losses, as you may expect, are due to the growing adoption of streaming services. But if anything, the pandemic has pushed forward the cord-cutting movement's momentum as the health crisis contributed to a down economy and the loss of live sports during the first part of the year. These trends may have also encouraged more consumers to cut the cord than would have otherwise. "Consumers are choosing to cut the cord because of high prices, especially compared with streaming alternatives," said eMarketer forecasting analyst at Insider Intelligence Eric Haggstrom. "The loss of live sports in H1 2020 contributed to further declines. While sports have returned, people will not return to their old cable or satellite plans," he added.
fees (Score:5, Informative)
When you look at your cable bill and you look at all the fees, you realize that it makes no sense. You realize you've been paying many dollars per month to rent things that the rental fees paid off years ago. Its easy to wonder what you are paying for. Then when you use the service its at least 1/3 advertising, probably more.
I cut the cord years ago. Now I know exactly what I'm getting and paying for, if I don't like the fees I'll drop the service. And seriously fuck services like Hulu that want to put ads in/on/around everything. If you want to get paid then cut the crap.
Re: fees (Score:1)
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It's not so good on the other end as well, because you hear everyone complaining about having to subscribe to Hulu, Netflix, Peacock, Disney+, AppleTV+, CBS All Access, HBO, and dozens of other more. Ironically, they complain why can't they just subscribe to one service for all that.
So no bundling, and no separated services. The former want the ability to buy separate services, the latter want the abi
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Actually, I think it is more accurate to say that people want to buy the specific shows or series that they want to watch and not to have to sign up for all the rest of the crap.
Ex: CBS All-Access I only care about ST: Lower Decks. Peacock? I only care about Premier League. And the occasional show from Amazon Prime or Netflix or what have you. And maybe some NBA basketball once in awhile. I get tired of paying $5-10/month to watch maybe a total of 5 hours of content over a 3-month period and then get
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The big draw of Netflix to me, even back when they were mailing DVDs, is the buffet style offerings, I would try things out that I never would have seen if I had to pay upfront. If I end up not liking a show or movie I never feel like I've been ripped off, I just wasted my own time.
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It was only a few months ago we were told how cable TV is making a comeback because of covid. It should be true. Everyone expected it to be true. Yet its not. Thats how bad the service value is.
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I'm certain you meant "worse" for the cable providers not the subscribers. But I can't help being happy.
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I suspect their numbers would also be far worse if people actually paid attention. Most people are leaning pretty heavily on their internet connection right now, and for a lot of people that is via cable. If you're busy with working from home, distance learning, etc. you probably don't have time to sit on the phone to comcast and figure out if you can get out of your current 12 month deal with them and into a new internet only deal, since that's only for new customers right? Plus if you do, they'll say s
Re:fees (Score:4, Informative)
I had the opposite experience back in April. I found out that the service I use (AT&T gigabit) was being offered for $49/month to new subscribers for 12 months and then a regular price of $70/month. I was paying $100/month and had just gotten notice that it was increasing to $110/month because of a new equipment rental fee.
Well I called them up, saying there must be some mistake because the ongoing rate (not promotional) is only $70. I was told the ongoing rate depends when you sign up, etc etc. However, because of covid, they were super eager to help. I told them look I don't want the promotional rate, just give me the correct ongoing rate. The guy was like no no, I can get you the $49/month rate for 12 months and then $70 ongoing. Plus I'll refund the last 3 months of the extra amount you've been paying ($100 vs $70, so $30*3).
Needless to say I was happy with the outcome and then the service rep went into a spiel about how AT&T wants to help out during these tough times etc.
So it's definitely worth calling, it didn't take too long, and I got a very good outcome. I don't know if companies are still feeling so charitable but it's worth a shot.
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Yeah this...
Being forced to use whatever shitty box they supply to access the content that you have paid for.
If you paid for access, you should be able to access it on whatever device you see fit - the same flexibility we had with OTA TV.
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Xennial here. Always just saw cable TV as something my parents wasted money on, filled with commercials, old movies and crap. The real treat was getting to go to the video store and renting something I actually wanted to watch.
As an adult, I never had any desire to subscribe to cable TV. Is one still a "cord cutter" if he never had a cord in the first place?
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Although technically he did, since he had access to his parents cord...
It does seem that scheduled TV is something for the older generations, to whom it was new and innovative and the best available option at the time. The average age of TV viewers has been steadily climbing for years.
The same can be said of radio, although that still has a niche in environments where you need to concentrate your eyes on something else (eg driving).
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I'm the same way. I've never had any desire to subscribe to cable TV. In the industry those of us that have never subscribed to cable (or any pay TV), are known as "cord nevers".
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> Is one still a "cord cutter" if he never had a cord in the first place?
The term you're looking for is "cord-never". The growing numbers of "cord-nevers" is worrying the Pay-TV industry. Younger suckers... errr subscribers, are not coming in fast enough to replace older subscribers who are dying off.
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And whatever that's on TV is crappy and overfilled with bad ads.
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When I cut the cord years and years ago I asked if they wanted the box back. They said "nah, recycle it". So it's apparently not even worth the cost of return postage to them. In fact they wanted me to pay to recycle it.
Chucked it on eBay back before they banned such things.
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It's worse than that. Cable secret way to make money is to use the "boil the frog" method - counting on lazy customers. If you LOCK your cable rate with a long term commitment, they tell you that fees and taxes may vary. I get taxes, but only ones I can verify, not invented taxes like Comcast does which I have observed go up as much as 100% in one billing cycle sometimes multiple times a year, then when questioned, Comcast customer service says "we don't know what tax that is that just doubled, talk to your
Aww (Score:5, Funny)
It couldnâ(TM)t have happened to a nicer monopoly.
Internet only (Score:1)
The bundle is cheaper for some (Score:2)
Just buy internet. Don't bundle.
Good luck with that when the local ISP offers the Internet and TV bundle for a lower price than Internet by itself. One way for this to happen is ISPs that impose a monthly usage quota on Internet-only customers but waive it for the bundle. For a heavy user, the overage fees can exceed the price difference between the bundle and Internet only.
Re: The bundle is cheaper for some (Score:1)
Re: The bundle is cheaper for some (Score:5, Interesting)
But if you watch 1080P video, you can stream 24/7/365, and you would still have about 500GB of cap left over per month.
The cable ISPs where I am have implemented caps twice. The first time the town council yanked and invalidated the exclusive franchise instantly and let another cable company in. The new cable co (Metrocast) bought out the customers from the old, and a year or so later tried to implement a cap themselves. We are now serviced by Atlantic, who still has no cap a decade later.
Thats how its done folks. Lots of Californians here look to the federal government to solve this "problem" whereas people on the east coast actually solve this "problem" by threatening to remove the local people actually responsible if they dont fix it immediately. On the local level, you have a lot of influence, if you want it. Californians dont actually want influence.
1 to 2 TB for the whole family (Score:2)
But if you watch 1080P video, you can stream 24/7/365
True if you live alone. If you have more than one person in the house watching separate streams, be they for school from home, work from home, or entertainment, you may have to drop down to standard definition to fit the Internet video use of all residents age 7+ into the 1000 to 2000 GB/mo quota. This is even more difficult for people living outside the service area of fiber or cable, as satellite and cellular Internet had quotas in the low double digits GB/mo last I checked.
Re: The bundle is cheaper for some (Score:1)
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Overage fees are what home Internet subscribers who can't afford to move to FiOS country have to pay when they exceed the quota set forth in the ISP's residential service agreement.
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This is true as only recently I cut the cable. For comparison I looked at Comcast to see what an internet only option would cost, $299/month whereas their bundle that includes almost everything including many premium channels was "only" about $250.
Fortunately in my area Fios offered a much better deal.
I've even heard from multiple people the way you used to be able, when your bundle price expired, call up Comcast and complain and they'd renew you on some fairly close new bundle price, no, they've stopped t
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Make your bill simple. Just buy internet. Don't bundle.
What happens when everyone cancels their cable TV and only subscribes to broadband services, and the greedy telcos aren't ready to give up their nice fat profit margins?
Oh right, it'll be just like that hypothetical future scenario where nearly everyone owns an EV and charges it overnight to get that off-peak discount. The magical free market fairy will spread pixie dust on your bill and you get to keep your savings. I keep forgetting about her.
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New services like Starlink and Google Fiber, which only care about internet, could prevent the telcos from trying to make up lost cable revenue with caps or increase fees.
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For a low fee of $50 a month on top, you too can get HBO, Netflix, Amazon Prime, and NBA center court all include
Sports channels need to be add on's like hbo! (Score:5, Insightful)
Sports channels need to be add on's like hbo!
All the ESPN channels are like $10/mo on there own
NBC SN / CBS Sports network / etc are like $2-3mo
local rsn's / collage sports are like $2-$15/mo
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Well you're referring to small local cable providers, who have virtually no bargaining power... The larger operators have a lot more leverage.
But it sounds like your local cable provider needs to stop being a cable tv provider, and just switch to being an ISP.
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Just stop watching expensive sports. Stick to ones that are aired for free. Sumo is really good.
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If you have the internet, they're all aired for free.
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collage sports are like $2-$15/mo
Jessica is in the lead with her circle of photographs of her family at the beach. What's this? Suzy has just pulled ahead by placing a portrait centerpiece in her amalgam of found objects. And here comes - it's all over! Emily has won the match by placing her final newspaper clipping and forming a picture of a large cat out of hundreds of tiny pet adoption ads for cats!
Worst year ever? (Score:2)
Worse than, say, 1905? Or 1456? Or 3597 BC?
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Pedantic during Pandemic.
Re: Worst year ever? (Score:3, Funny)
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Worse than, say, 1905? Or 1456? Or 3597 BC?
This is a pretty good year for pay TV as far as I'm concerned. I mean, compared to say, 2005 when I was actually paying them money, things are going really well.
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You forgot about 7821.
At this point... (Score:2)
Fuck cable... (Score:2)
Seriously. I have a couple of young children and myself and my wife. With the exception of "broadcast news", we literally do not consume any TV content. Movies and "TV series" and educational programming are available on alternative providers like Amazon Prime (which I use for the shopping benefits so the extra streaming content is a bonus). No need to rent a cable box, pay for "regional sports fees", 911 fees, few commercials to sit through, blah blah blah blah. If I REALLY want old fashioned TV conte
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With the exception of "broadcast news", we literally do not consume any TV content.
That's like the easiest content on TV to ditch. All they can do is quote news you've already read about online. Completely pointless to sit around and wait for them to read it back to you.
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With the exception of "broadcast news", we literally do not consume any TV content.
I am surprised: broadcast news probably are among the most useless cable offerings. Unless things have changed, their approach consists of a lot of talk, with very little substance, with the infamous "still to come" before every of the many interruptions per hour, to end up with a few minutes worth of story which was, most of the times, uninteresting to begin with. Plus all the substance can be obtained online, without the interrupts, self-promotion and other nonsense pushed in the broadcast version.
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Should you avoid electric Cars more to come.... Hear at Exon we are doing all these wonderful thing.... Electric cars are going to destroy the economy...
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Broadcast news is the reason why I don't watch Broadcast TV.
Especially 24 hours Cable News Stations. You Low budget Local News channel isn't so bad as it was meant to turn on and watch for 1/2 an hour. Get a gist on what is happening locally see the weather then do something else. They will also let you know what is happening in your area. Very little Propaganda, or time being filled with Editorials and and partisan debates.
Cable National News only goal is to keep you on that station for you to watch the A
Won't somebody please think of the cords! (Score:2)
Re: Won't somebody please think of the cords! (Score:1)
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Only once?
I bet it was a wimpy 120V cord, not even a 240V cord.
Years ago, my dog chewed through a 240V cord. Try doing that!
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Did your dog make it?
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How about stopping the use of the "killing" metaphor too? You can't "kill" something that was never alive to begin with.
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I thought corporations were people my friend.
Wait, what? (Score:2)
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And what exactly is the "telecom TV industry"? Is someone getting television over their POTS telephone?
Over a POTS telephone, no. Over lines owned by a company that still offers POTS telephone service, yes. Though those companies are doing their level best to shed every last POTS customer just as fast as possible so they can get out from under POTS reliability regulations and tell customers to fuck off when their soft phone loses connect 9 times a day.
Meet the new boss (Score:2)
Same as the old boss.
Pay TV? (Score:3)
Is this the place to ask about OTA? (Score:1)
The headline mentions 'cord cutting', and then alternatives, but OTA (Over the Air Broadcasting) is not one of them. OTA is, you know, that thing that was pretty much the only way one watched TV origiinally. That's still how I watch it, but I sometimes get the feeling I'm the only one in the world who still does. Obviously I'm not, but I don't know anybody else who uses it. When I mention it to acquaintances, they give me a funny look, even old timers who I presume gave up on it when it went digital.
It
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YouTube TV (Score:4, Insightful)
Is there a streaming service out there like YouTubeTV, circa 2-3 years ago?
Love the service, and it used to be $35 a month. It had everything I wanted, including all the locals.
Then they decided to jack up the price to $50 [cnbc.com] and add a bunch of stupid channels I don't care about. Then they went ahead and hiked it up to $65 [cnet.com] and added even more marginal channels I don't care about.
Hey, I get it, not everyone has my taste in channels. Feel free to add higher tiers at higher prices, and throw in the dumb NFL channel. Knock yourself out. But instead, they've chosen to become The Cable Company II
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Youtube in general has been under some very incompetent and out of touch management for years already. You can clearly see this in their long running attempt at trying to boost non-native content from mainstream news sources despite the way it continues to do laughably poorly against native content.
They're perfectly in touch. With their customers. Not you. They're getting paid to promote that shit. They don't care what you or anyone else likes. They're doing what they're getting paid to do. No reasonable algorithm would suggest the NBA or NFL channels to me, but do they always show up? Yup. 'cause YouTube is getting paid to make sure they do. Same for news.
YATP: You Are The Product. Never forget that.
it sucks as a product (Score:3)
Was on vacation and had the opportunity to stay in a motel with a TV. The amount of times the same commercial repeats is insane. Like the amount of times i was told to worry that my clothes are wrinkly when they come out of the dryer. Like this was something people fucking worry about. Who has time for that shit? Buy a fucking iron if you care that much about wrinkles! Like over and over and over again...
another one telling me why a laundry detergent is better than the cheaper budget brands. over and over and over again... sure you pay more, but look at all the lies you can tell yourself about quality to make up for it! here are some, over and over and over again.
as someone with no cable going on 22 years, i cant believe the shit that people put up with. AND THEY PAY FOR IT!
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I haven't owned a TV in years. US TV, it has to be said, is particularly bad for long and frequent advert breaks. I don't know how people tolerate it, to be honest, I mean... how do you watch a TV movie when it's 50% longer just because of the ads?
Even in the EU it's bad enough to make me switch off. I loaded an RPi I had, with a DVB-T card, put tvHeadend on it, and if I *want* to watch something that I hear about (where? I don't watch ads! Mainly Christmas TV and one-offs and new episodes of things I
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I mean... how do you watch a TV movie when it's 50% longer just because of the ads?
I remember watching the TV censored version of Terminator 2 on broadcast when I was young. So, not the director's cut, so it's shorter, and with scenes removed to please the FCC, so it's shorter still. With commercials, it was 4 hours long. Unbelievable.
I had pay TV for 6 months when the girl I was living with wanted it. The girl and the pay TV have both been gone for many years now. I find the commercials and banners and sounders and channel identification widget and ALL that bullshit absolutely intol
Live sports is where cable shines (Score:3)
Tried many online alternatives this summer while watching NHL playoffs; they all suck one way or the other. There was not a single game where there was no glitch. Sudden switches to shitty resolution, image freezes, disconnects. All using a stellar internet connection that has no trouble whatsoever; probably technical issues with the stream providers.
Signal's also often overcompressed or inadequate (30fps sucks for a fast sport such as hockey).
Also tried IPTV a couple of years ago, it sucked too with similar problems.
Then there's DRM on many streams that prevents you from sending that signal to your huge TV in the living room. If you're lucky, a HDCP downgrader/stripper might work, but tell that to 99% of people and you'll get a blank stare.
Meanwhile, cable delivers, without glitches. Live sports may be the last remaining use case for cable TV, but a major one IMHO.
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Maybe in USA (Score:2)
Other countries see different dynamics, including strong growth of cable TV subscriptions.
Modern cable TV offering is digital, may include an application to view your content on a mobile device or computer, often bundled with data SIM card and other services.
Cut out DishTV over 7 years ago (Score:1)
Ok, we watch TV, maybe switching back to Charter (Score:2)
Did I just say that?
YouTube TV at $40 was very nice. Then they added some bullshit channels taking it up to $50.
Charter internet cable with a lot of other channels is $45 (plus fees and taxes, comparable). But the unlimited cloud recording is worth a bit.
I'll probably stick with YouTube TV (unlimited DVR which I can watch on my T-Mobile phone anywhere I have access is really powerful) but up the Chater internet to 400MBPS as we have way too many devices (2 kids on Chromebooks, my laptop, and maybe 2 TVs,
ProTip: Streaming services are PayTV (Score:2)
We;re now paying more for ala cart television than we did for Cable TV. Thanks to everyone who made that possible.
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But we are getting what we wanted.
We wanted to pay for the channels that we watch, and not for the ones that we don't watch.
When we said that we wanted this, most of us understood that we may be paying a little more ovall. But having content you want to watch was worth it.
Also we have a little more control on what we watch. If it is going too expensive. We can say. Goodbye to Netflix. But Keep HBO and Disney.
Got rid of DirecTV and switched to Orby (rural) (Score:4, Interesting)
I cut the cord years ago (Score:2)
I find that I really don't miss it. I'm not even going to think about going back until I get the ability to pick channels a la-carte without having to do bundles. I shouldn't be forced into for paying for channels like CNN, DIsney or ESPN just to get another channel that I do want. Especially when cable channels are just as bad for commercials as over the air.
Even then, cable needs to do something about commercial volume. Cable channels aren't required to normalize commercial volume like over the air channe
If streaming offered all of the shows.... (Score:2)
Replace PayTv with books during pandemic (Score:1)