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Pirate TV Services Are Taking a Bite Out of Cable Company Revenue (arstechnica.co.uk)

TV piracy services are being used by about 6.5 percent of North American households with broadband access, potentially costing legitimate TV providers billions of dollars a year, a new analysis found. From a report: Pirate services that offer live TV channels are apparently responsible for more downstream traffic each night than torrent downloads. Based on these figures, there may be 7 million US and Canadian subscribers to pirate TV services that generally cost about $10 a month, the report by Sandvine said. That amounts to $840 million of revenue a year. We don't know how many people using pirate services would purchase a traditional cable or satellite TV package if the piracy option didn't exist. But if all of those people instead purchased a legal TV package for $50 per month, that would amount to another $4.2 billion revenue a year for North American pay-TV providers, the report said.

9 of 132 comments (clear)

  1. No, just no by TimothyHollins · · Score: 4, Insightful

    TV piracy services are being used by about 6.5 percent of North American households with broadband access, potentially costing legitimate TV providers billions of dollars a year, a new analysis found.

    potentially costing legitimate TV providers billions of dollars a year, a new analysis found.

    potentially costing legitimate TV providers billions of dollars a year

    potentially

    No. Just no. Not a potential no, a solid diamond-hard no. Like, seriously Chuck Norris testicles-hard no.

    Every study ever on the subject concludes a solid 'no'. Even the frikkin RIAA/MPAA alliance of Evil that has supplanted Satan as the goto source of pure Evil hasn't found a single study to support that losses from poor services translate into increased sales if you muscle the competition out.

    No.

    1. Re:No, just no by Anonymous Coward · · Score: 3, Insightful

      The only thing they can say is that they're losing the exact same amount that people are paying for those pirate TV services.

      No, they can't even say that because there is no way they'd get 100% conversion.

      We are a 100% Netflix household. I'm sure by their stats we're one of those pesky pirates and "costing them money".

      The problem is, I'm not costing them money. I'm refusing to give them my money, and instead I'm paying someone who delivers exactly what I want.

      And that is no commercials ... no shows which start late because of a sport I don't care about ... or not at all because president McDoofus wanted to yammer ... I don't want to see amber alerts for some fucking kid in a state I don't live in because I don't care if they've been abducted ... I sure as fuck don't want to see some idiot morning show host ... or some prick stumping to get me to send him money because god said so.

      I'm so over the bullshit that is cable it isn't funny. I don't pirate, but oddly that $10 bucks a month is around what you pay for NetFlix.

      The problem is they wish to exist in a world without competition, where we all pay to pad out the bottom line, prop up margins, and otherwise maximize executive bonuses.

      They can't claim they are "losing the exact same amount that people are paying for those pirate TV services", because there are legal alternatives people also use because they have no intention of further enriching a cable company.

  2. Their own fault by OverlordQ · · Score: 4, Insightful

    for not providing reasonably prices a la carte options. Or people *would* give them money.

    --
    Your hair look like poop, Bob! - Wanker.
    1. Re:Their own fault by cyberchondriac · · Score: 4, Insightful

      This.
      Plus, the damn commercials. Everytime I sit down in front of my TV and starting paging through channels to find something interesting to watch (a challenge in itself) the station I invariably settle on is mid-commercial, and then it continues for another 3 to 4 minutes. Finally the program returns, but 5 minutes later, we're back to 12 more commercials back-to-back.
      All the while, because I pay Comcast over a hundred dollars every month, I'm paying them to watch all these commercials! Increasingly, near 50% of my viewing time is now wasted on commercials. And none of them make me want to go out and buy their stupid product.
      Especially the pharmaceuticals: "May cause dizziness, rash, diarrhea, difficulty in breathing, loss of consciousness, extreme pain, bloody stools, flaccidity, amputation, blindness, suicidal thoughts, insanity, lesions, boils, bubonic plague, anal warts, vomiting up toads and lizards, violent convulsions, death, and likely poltergeist activity.

      I'd like to see the whole thing crash and burn, cable television has gotten beyond greedy.

      --

      Look back up at my post, now look back down, you're on the Internet. Now look back up. I'm a signature.
  3. From their article.... by Kiralan · · Score: 5, Insightful

    The number of cable and satellite TV subscriptions has been dropping for years due to rising prices and Internet-based alternatives, both legal and otherwise.

    My conclusion: Charge fair prices, instead of soaking everyone while you can, and while the market will tolerate it. When the cost and inconvenience of replacing cable with internet alternatives and OTA (Digital antenna) becomes less of a deciding factor, more viewers will do so. Also, the younger generation wants portable media, not one bound to the cable box at home.

    --
    V for Vendetta: People should not be afraid of their governments. Governments should be afraid of their people.
  4. Too Much by Toxiz · · Score: 3, Insightful

    If 6.5% of your user base not signing up is costing you over $4,200,000,000 in a single year, the issue is that you are way overcharging for your service. Your Whinging about only making $64.5 billion a year is really pulling at my heartstrings.

  5. What was that by BeemanIT · · Score: 3, Insightful

    I think I just heard some whining noise coming from the cable..... Pirate companies like Netflex, Amazon Prime, or Hulu no longer require you to have entire packages with the cable company.... Wait, those are actually legal companies people are watching shows on now..... Cable Cutters Untie!!! and Snip!!

  6. media to garbage ratio by WolfgangVL · · Score: 5, Insightful

    A $50.00 cable package includes a ton of additional commercials. At this point it looks pretty close to 50:50 media/interruptions. I suppose all the sponsor breaks might be useful if your in the market for fast-food, trial lawyers and medication (with miles of scary side effects)

    Honestly, I would consider buying back into a cable sub if they did away with all of the commercials. As it stands, cable subs are inferior products at half the asking rate on account of the commercials alone. No wonder everybody pirates like crazy.

    I'd rather read a book.

    --
    You are being ripped off every second of every day, so that advertisers can help rip you off even more tomorrow.
    1. Re:media to garbage ratio by kelemvor4 · · Score: 4, Insightful

      A $50.00 cable package includes a ton of additional commercials. At this point it looks pretty close to 50:50 media/interruptions. I suppose all the sponsor breaks might be useful if your in the market for fast-food, trial lawyers and medication (with miles of scary side effects)

      Honestly, I would consider buying back into a cable sub if they did away with all of the commercials. As it stands, cable subs are inferior products at half the asking rate on account of the commercials alone. No wonder everybody pirates like crazy.

      I'd rather read a book.

      This exactly. I'd be on cable like white on rice if they'd get rid of the damn commercials and make it as easy to use as kodi type systems. I'd even pay more than cable costs now for that.

      It's not just that pirates are cheap, it's that alternative services are superior.