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Why Internet Television Isn't Quite Ready To Save Us From Cable TV

Posted by samzenpus on from the not-there-yet dept.

smaxp writes "It's no surprise that few people love their pay TV providers. In May, Variety reported that the American Consumer Satisfaction Index ranked cable television providers last in all consumer categories. Pent up frustration with cable and satellite TV providers fuels a steady buzz that Amazon, Apple, Google and Netflix will disrupt TV. These new entrants promise to offer variability in pricing and greater choice fueling notions that Americans have officially cut their proverbial cords. But true disruption is wishful thinking. Data from the PricewaterhouseCooper’s (PwC) global entertainment and media outlook for 2013-2017 doesn’t support a disruptive market scenario. Incumbent cable and satellite pay TV providers and over-the-top (OTT) challengers such as Amazon and Netflix are both forecasted to grow. OTT TV has only reinvented a single part of the TV business, streaming archival movie and television content over the internet replacing physical DVDs and time-shifted DVR replay of TV programs. To displace incumbents, OTT TV has to continue to change TV business models in ways that appeal to consumers and attract content owners. "

2 of 304 comments (clear)

  1. Piracy by Highland+Deck+Box · · Score: 5, Insightful

    I pirate because the uploaders provide an infinitely better service than the cable companies or even Hulu/Netflix etc. I get DRM/region free ad-free files that work on any device, at great resolutions and quality, barely minutes after the episode has aired. Why the hell would I go back to their terrible services when that option is open to me? Now yes i'm not paying for the content, but often that's not an option anyway, (see The Oatmeal's comic on trying to buy Game of Thrones online). As has been voiced a million times, if these companies fired all their old idiot suits and brought out a 'Steam for movies/tv' that had all the added value that Steam brings it would take off like a rocket.

  2. Re:ESPN is the key by Drakonblayde · · Score: 5, Insightful

    Disclosure: I work for Comcast

    You have no idea how much of your cable bill goes to pay ESPN, if you did, you would be sick. Let's just say that a $20/month streaming bill wouldn't actually be 'far more than what they get from the cable company'.

    Sports channels are easily the biggest cost, and the biggest driver of increased costs.