March 19th, 2014
A report this week quantified a growing trend in national subscriber media: more and more customers are leaving cable and joining satellite TV. The report specified that over 250,000 cable subscribers left their current provider and switched, while satellite television providers gained 40,000 customers in the switch. The moves follow long time trends: while customers have been leaving cable for satellite for years, the advent of over-the-top services seems to be increasing this momentum.
The report is interesting for several reasons. First, it has a bit of a referendum feel in regards to the recent news with Comcast and their merger bid with Time Warner Cable and customers’ reaction to the potential monopoly that would create. Could customers be leaving cable en masse because of the potential dominance by Comcast that has already spooked most cable subscribers? Data will have to prove it but it looks to be the case.
The second interesting issue is where are the customers going. As noted above, many seem to be moving to satellite tv, because, it’s simply a better product at this point. Dish Network has been one of the fastest growing satellite companies in America and that trend seems to be continuing. Of course, not all of the cable-emigrants have left for satellite. Some have seem to left for … nowhere. Or so it seems, they simply might be moving to more “over-the-top” subscriptions like HULU Plus and Netflix.
That seems to be the trend these days clearly, and it’ll be interesting to see if people continue to leave cable, and where they intend to end up. However, providers will likely be much more interested in getting a cut of the new “over-the-top” pie. Or, so you’d think. Maybe this is why cable is dying. Comcast has done nothing but harm services like Netflix, and it’s satellite tv providers like Dish Network that are pushing ahead with innovations in that arena. Dish Network set a groundbreaking deal with Disney just last month that potentially could lead to ESPN subscriptions over the internet.
Emily Torres is an Entertainment and News Blogger for TV and Dish Network.
Categories: DISH & TV news