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FCC: Cable Lost 2.5 Million Viewers From 2010 to 2012
by Karl Bode 08:11AM Wednesday Aug 21 2013 Tipped by Bill Neilson See Profile
According to recently released FCC data ("new" FCC data usually means a year or more old) from their annual report on cable industry competition, the cable industry lost roughly 2.5 million video subscribers between 2010 and 2012. According to the FCC, cable operators laid claim to 57.3 million pay TV subscribers at the end of 2012, down from 59.8 million in 2010.

Most of these customers flocked to telcoTV, with AT&T U-Verse increasing their subscriber total from 3 million to 4.1 million between 2010 and 2012, and Verizon FiOS's total subscriber total going from 3.5 million to 4.5 million during the same stretch. Verizon and AT&T recently announced they've both passed the five million cable TV subscriber mark, giving them more TV customers than all but the nation's two largest traditional cable companies: Comcast and Time Warner Cable.

Cord cutters make up a very small but growing part of the equation as well, with even the industry's biggest cord cutting deniers now acknowledging the glacial but inevitable trend toward less expensive Internet options for many users.

Meanwhile, the FCC report also pointed out that the soaring costs of programming is slowly but surely driving many of the nation's smaller cable operators out of business. "800 cable systems serving over 35,000 subscribers have closed mostly in small and rural communities, leaving those communities without any wireline MVPD (cable video) service," notes the report.

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cableties
Premium
join:2005-01-27

Can't all be...

cordcutters.
-unemployed
-relocated
-switched to another source (OTA, Dsat...)
-other
--
Splat
cpumodem
Premium
join:2003-09-28
Spokane, WA

Re: Can't all be...

Heck the FCC couldn't accurately count how many employees the agency has. Do you really think this number is correct?

88615298
Premium
join:2004-07-28
West Tenness

Re: Can't all be...

said by cpumodem:

Heck the FCC couldn't accurately count how many employees the agency has. Do you really think this number is correct?

Considering nearly all these companies have quarterly reports that specifically state how many customers they have I'd say it would be fairly easy to come up with the number.

firephoto
We the people
Premium
join:2003-03-18
Brewster, WA
When you talk to yourself about "I'm paying over $100 a month for this.." it all becomes more clear.

The more people spend on services the more wealth they throw away.
--
Say no to astroturfing. go to their profile, start ignoring posts and ignoring what's not true.

rrm

@tresourcegroup.com

Re: Can't all be...

So true, its too expensive and they make it like its a drop in the bucket.

88615298
Premium
join:2004-07-28
West Tenness
said by firephoto:

When you talk to yourself about "I'm paying over $100 a month for this.." it all becomes more clear.

The more people spend on services the more wealth they throw away.

Yes better to hoard money and never spend it because that makes sense. If you died with a million in the bank whatever you going to do with it then?
tmc8080

join:2004-04-24
Brooklyn, NY
Reviews:
·ooma
·Optimum Online
·Verizon FiOS

Re: Can't all be...

Quality vs value (or perceived value) is at issue..
The QUALITY of cable-tv is unarguably the biggest deflator of value today than in it's 45 year history. From commercials that spanned from 10 minutes of every hour (in the beginning) to 25 minutes of every hour. You pay more and get less these days, whereas voice communications and internet values have almost consistently gone up (despite 10+ years of dysfunctional monopoly and duopoly malfeasance flattening the curve every day).

So the objective of the game is to spend the money wisely on something that gives you value & satisfaction. These days, cable-tv industry can't make that argument as much as they could in the past when we had a common culture & great economy.

Many consumers used to spend $15+ on compact disc music.. guess what happened to that market value proposition? Sure consumers are hoarding their music money.. BAAAD CONSUMERS!! When consumers an buy hydrogen cars.. BAD consumers, hoarding that gasoline money. It's called the transition of culture & technology and market share.

firephoto
We the people
Premium
join:2003-03-18
Brewster, WA
said by 88615298:

said by firephoto:

When you talk to yourself about "I'm paying over $100 a month for this.." it all becomes more clear.

The more people spend on services the more wealth they throw away.

Yes better to hoard money and never spend it because that makes sense. If you died with a million in the bank whatever you going to do with it then?

See, you try to spin in it a way to justify spending money on "services" as it's just something to spend money on, but the reality is that real goods can be bought and sold or invested into. People can even save money to put towards real things, they can slowly accumulate real things and sell the lot to acquire more valuable real things.

Digital music you rent, smart phone data, the phone itself, pay television, the list goes on.. they all just piss money away that you will have no chance of seeing again, with the exception being if you use those services to make money so it's more of an operating cost.

People's income is being preyed on by those who wish to see it spent on services rather than investments and real things that can appreciate in value.
--
Say no to astroturfing. go to their profile, start ignoring posts and ignoring what's not true.

Corehhi

join:2002-01-28
Bluffton, SC
said by cableties:

cordcutters.
-unemployed
-relocated
-switched to another source (OTA, Dsat...)
-other

I'm not sure. I live on a street with about 22 houses and I know of three that don't get cable. One is a religious family who claims programming is all pretty much evil. Ok probably discount them as out of the norm. I cut the cord because I just like to do things like that and I don't watch that much TV. An older couple who lives down the street was checking out my set up and decided to cut the cord once they saw things like Netflix and Pandora in action. Add an antenna, all the local channels for news etc. $100 a month cable bill verses a couple of hundred in equipment and a $9 a month Netflix subscription, can't go wrong.

3 out of 22 is a significant number even if you get rid of the religious family that's 2 cord cutters out of 22.
Bengie25

join:2010-04-22
Wisconsin Rapids, WI
Reviews:
·Solarus
One of the problems with how the industry was collecting their data was they were only looking at how many existing customers dropped.

The problem is that many 20-something people moving out of their parents do not get TV, so the industry was not keeping track of how the new generation was purchasing services.

Effectively, the industry was saying "people 40 and older don't seem to be cutting the cord", but what about the other half of the adult population?

Corehhi

join:2002-01-28
Bluffton, SC

Re: Can't all be...

said by Bengie25:

The problem is that many 20-something people moving out of their parents do not get TV, so the industry was not keeping track of how the new generation was purchasing services.

Actually the stats say the present 20 something generation is in bad shape, they live at home with their parents and can't afford anything. Student loans are huge and there is a worry in the business world that this generation simply won't be buying starter homes, cars or anything for many years to come. That's a really problem when you have the baby boomers wanting to down size homes and cut expenses so they can retire.
ShellMMG

join:2009-04-16
Grass Lake, MI
Reviews:
·Frontier Communi..
When we cut the cord nearly three years ago (well...it was a satellite dish) we were in our mid 40's. The price kept going up, we had no premium services like HD, and programming was appalling.

We have a love/hate relationship with OTA. I'm sure if we got a better antenna we'd get more than 6 channels (and four of them are PBS. Puhleese!), but we are slowly being teased to get DISH because of one channel. Cable isn't an option.
majortom1029

join:2006-10-19
Lindenhurst, NY
kudos:1

hmm

How many of the cablecompanies lost tv subscribers but gained internet subscribers? Cablevision stated in the future they might become internet and phone only.

bbeesley
VIP
join:2003-08-07
Richardson, TX
kudos:5

Not necessarily cord cutters

the article quotes losses from the cable companies but doesn't account for satellite and other operators.

A large portion of MSO - and satellite - churn can be accounted for from customers who are "switching" over due to some compelling offer of a few free months of service or a Visa card.

the industry has trained the consumer to switch every 18 months or so to get a short term deal.

By not looking at the losses of the entire 100 million or so video households in the U.S. it is impossible to tell what percentage of the 2.5 households cut the cord or simply went to another provider for essentially the same service.
elray

join:2000-12-16
Santa Monica, CA

1 edit

... and Telco and DBS gained 2.3 Million in the same period

Its all in there.

Of course, you have to actually read it.

Anthony K

@rr.com

Low Income Cable

I work at a call center for a cable company and I'm hearing hundreds of calls from customers who are tired of the rate changes, and unexplainable charges. Many of them are switching over to Low Income Cable.
I looked into it and it only makes sense.. Same channels for less money.