Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


TDG Opinion: Pay-TV Households Have Peaked

~~~~~

Pay-TV Households Have Peaked and Are Set to Decline thru 2017

Michael Greeson, Founding Partner ~~~~~

January 10, 2013 Now here's a forecast that might wake you up...at least in time for the fireworks. According to new forecasts from TDG, the number of US households that subscribe to traditional cable-like pay-TV peaked in the last two years and is projected to decline from nearly 101 million in 2012 to less than 95 million in 2017. TDG strongly believes that the number of pay-TV subscribers will undergo a noticeable decline in the next few years. Of course, any decent forecast has a long list of stipulations, a few of which are listed below. Let's be clear:

* This forecast assumes that pay-TV operators forgo à la carte during the stated period, which is a relatively safe assumption. Should MVPDs embrace a la carte, the forecast could change dramatically. I happen to believe that operators will not wake up to the fact that the market demands à la carte - at least not in time to avoid the decline illustrated above.

* American operators should have learned from Canadians five years ago (as we noted at that time). Though hesitant to offer anything close to a true à la carte package, many Canadian operators introduced "modified" à la carte offerings. Why? Not out of the goodness of their heart, but because "the local markets demanded it," and because it was a "compromise" needed to retain subscribers. But let's not get carried away: the loss of six million subs in the next five years is hardly the end of the world for traditional pay-TV. My question is whether it constitutes a paradigm shift - a tipping point in the evolution of home television and video viewing in general - or just a short-term blip on the radar. I tend to think it's a tipping point, a structural shift will long-term tectonic implications.

ENDS


© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Hager Raid: Westpac Wrong To Release Bank Records To Police

The Privacy Commissioner has censured Westpac Banking Corp for releasing without a court order more than 10 months of bank records belonging to the political activist and journalist Nicky Hager during a police investigation into leaked information published in Hager's 2014 pre-election book, 'Dirty Politics'. More>>

ALSO:

EARLIER:

Crown Accounts: Government Ekes Out Six-Month Surplus Of $9M

The New Zealand government eked out a tiny surplus in the first six months of the fiscal year as growth in domestic consumption lifted the goods and services tax take, while uncertainties over the Kaikoura earthquake costs meant expenses were less than expected. More>>

ALSO:

Almost 400 Jobs: Shock At Cadbury's Dunedin Factory Closure

Workers at Cadbury in Dunedin are reeling after learning this morning that the iconic Cadbury factory is to close, with the loss of almost 400 jobs... “The company had reported it was doing well and this has come out of the blue,” says Chas. More>>

ALSO:

Transport: Boards Of Inquiry For Auckland Roading Projects

Boards of Inquiry have been appointed to decide on two significant Auckland roading projects in a move which will get a decision by the end of the year, Environment Minister Dr Nick Smith and Conservation Minister Maggie Barry announced today. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news