Video is a done deal. Most cable companies lose money on their video packages anyway; they're a loss-leader for broadband subs at this point. In 5 years, nobody will be talking about the video business.
If that was the case, cable companies would stop selling me the TV package when I already pay the maximum amount for internet they offer in my area.
Yet, somehow, they are always willing to sell me cable TV with free HBO for 12 months and a $50 gift card for $19.99/month.
Because there are still sales organizations within these companies whose bonuses are based on driving video revenue. It takes a while for a large company to unroll those organizations/incentives/etc. As it is, the primary customers of their video products are older adults.
But long-term, video is a non-issue. If prices don't come down, the cable providers will move to a la carte. There's just too much content available online via YouTube, Netflix, etc. It will still be a product, but it will be IP-only, cheaper, and offer more granular video packages.
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If that was the case, cable companies would stop selling me the TV package when I already pay the maximum amount for internet they offer in my area.
Yet, somehow, they are always willing to sell me cable TV with free HBO for 12 months and a $50 gift card for $19.99/month.
Because there are still sales organizations within these companies whose bonuses are based on driving video revenue. It takes a while for a large company to unroll those organizations/incentives/etc. As it is, the primary customers of their video products are older adults.
But long-term, video is a non-issue. If prices don't come down, the cable providers will move to a la carte. There's just too much content available online via YouTube, Netflix, etc. It will still be a product, but it will be IP-only, cheaper, and offer more granular video packages.