American telcos AT&T and Verizon added nearly a third of a million television subscribers in the third quarter of 2014. Between them they have 11.58 million video customers, up by 1.16 million over twelve months. However, the gains of the two telcos appear to come at the expense of other pay-TV service providers.
“The growing number of high-definition (HD) subscribers as well as major sporting events such as the World Cup 2014 have contributed to improving ARPU,” said Jake Saunders, VP and practice director of core forecasting at ABI Research. As a result, the total pay-TV service provider market is expected to generate over $269 billion by the end of 2014.
Traditional pay-TV revenue is forecast to decrease dramatically over the next few years, with average annual growth dropping to 2.8% between 2014 and 2018, compared to 6.1% between 2010 and 2013. Despite which, it will continue to be the main source of TV revenue up to 2018 — bringing in 195.9 billion EUR in 2018.
Tablet computers have replaced the TV in the bedroom as the must-have gadget for British children, with over one-third of those aged from five to 15 owning their own tablet in the UK, says Ofcom. The number of 5-15-year-olds using a media tablet to go online has doubled to 42% in the past year.
via The Guardian
A growing number of U.S. households are relying on dedicated set-top box devices — also known as digital media players — to watch Netflix on a TV set, according to a GfK study. About 28% of those who stream Netflix on a TV used a player — that’s nearly double the 2013 level (15%) and roughly five times the 2011 level (6%).
The growth of the over-the-top OTT video entertainment industry was previously a primary concern of the American pay-TV sector, as more and more consumers chose to abandon the traditional high-cost cable and satellite TV services. Now this transition has become a worldwide phenomena.
A new market study finds that 84% of American households subscribe to some form of pay-TV service. While the reported number of pay-TV subscribers has been fairly flat over the past four years, occupied housing in the U.S. market has grown. Consequently, penetration of pay-TV among residential households has waned from its peak in 2010 following the digital TV transition. Among TV households that do not currently subscribe to a pay-TV service, only 6% plan to subscribe.