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Down Grade: Broadband Adoption Linked To TV Cord Cutting

August 23, 2011

Dallas-based researcher Parks Associates says 13% of consumers who have broadband connections have made cutbacks within the last 12 months -- with another 9% to come. The study says this includes some 3.9 million people who regularly watch Internet video.
The study says 22% of all broadband households now use the Netflix Watch Instantly service. Also, it was suggested that set-top box distributors find a way to include YouTube, the digital video service, which is already being include in many Internet-connected TVs on the market.

The reports says "TV Everywhere will be an ineffective retention tool." The data suggests 11% of all pay-TV households, or 6.5 million homes, would pay an extra $15 a month. Many consumers view TV Everywhere as a "premium package."

The study suggests "TV Everywhere" providers will see gains if many offer no-frill packages.

Park Associates notes that nearly 50% of all flat-panel TVs sold in 2011 will be Internet-connectable and about two-thirds of U.S. broadband households will have a video-game console connected to the Internet. Consumer sales of Internet-connectable TV devices will go to nearly 350 million units worldwide by 2015.

From the article, "Down Grade: Broadband Adoption Linked To TV Cord Cutting" by Wayne Friedman

Previously In The News

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Amazon, Apple, Google and Roku devices made up 86% of all media-streaming products sold to U.S. households with broadband in 2014, according to an August report by Parks Associates. An estimated 86...

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Roku Benefits From Streaming's Rise

More than a fifth (21%) of U.S. broadband households with a connected electronics device are using it for streaming media, up from 12% last year. Moreover, usage of connected gaming consoles and DV...

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