The third quarter 2018 was terrible for pay-TV subscribers.
It was the first time that legacy cable and satellite companies lost more than one million subscribers in a quarter.
Even including the digital TV (vMVPD) options offered by cable and satellite providers, the ecosystem lost subscribers.
Analysts are split over what it could mean for the future, and whether it’s the start of a long-term trend.
The pay-TV industry just reported its worst quarter to date, and a new revenue stream that had helped to soften declining subscribers is looking weak.
As disruptive companies like Netflix and YouTube have spurred a cord-cutting revolution, cable and satellite companies have fought back with burgeoning digital TV (vMVPD) packages that aim to retain customers by shifting from one viewing platform to the next. Since the first quarter of 2017, traditional-TV losses and the transition to digital bundles have seemed to move in tandem. The latter helped to offset the former.
But in the third quarter of 2018, the rise in vMVPDs could not keep pace with traditional TV cord-cutting, and total subscribers fell, according to Wall Street analyst firm MoffettNathanson.
In fact, it was the first time that legacy cable and satellite companies lost more than one million subscribers, …read more
Source:: Businessinsider – Technology