Why The Internet Is Pounding Cable And Satellite TV

Analysts say there’s no question that a growing number of customers are switching to Web-based services like Netflix and Hulu.

Add cable and satellite TV to the list of old media that are getting hammered by the Internet. The nation’s six largest cable and satellite providers lost almost 600,000 subscribers in the second quarter of this year, the largest quarterly decline in history, according to Bloomberg News.

Some of the loss can be explained by the rotten economy, as households cancel cable and satellite service to save on their monthly bills.

But the tipping point can come with stunning speed. The newspaper business had its best year ever in 2005, raking in $49 billion. Only five years later, half of that money had vanished, and newspapers everywhere responded with drastic cutbacks.

The inflexibility of the old channel model is it’s downfall. Too much dog-food, too little steak. People want to watch what they want to watch, WHEN THEY WANT TO … And you have to pay for all the crap in the bargain.

Die cable model, quickly.


Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s