TMT market activity during the first quarter through the third quarter of 2015 has reached the second highest annual value on Mergermarket record (since 2001) with transactions valued at $534.2 billion, only beaten by 2006’s full-year total at $600.9 billion.
Source: Digital Lifescapes
Factoid: Since it introduced streaming services in 2008 Netflix has grown from 9.4M subscribers to over 48M and become a $4B business.
“The fact that someone came up with an interesting technique of aggregating and reselling other peoples content over the cable infrastructure is in no way a failure of the cable industry.” Rob Marcus, Chairman & CEO, Time Warner Cable.
The U.S. pay-TV industry lost subscribers for the first time on a year-over-year basis in 2013. The top 8 cable providers, top 2 telcos and satellite operators dropped, overall, 0.4% of their video subscribers in 2013, down 340,000.
Penetration of households continues a long term decline, falling below 2009 levels.
CBS blocked online access to its TV shows by Time Warner Cable broadband subscribers — even if they are not pay-TV video customers — after TWC dropped it from its systems.
According to a statement issued by CBS, “If Time Warner Cable is a customer’s Internet service provider, then their access to CBS full episode content via online and mobile platforms has been suspended as a result of Time Warner Cable’s decision to drop CBS and Showtime from their market.”
The U.S. gigabit broadband internet access market remains tiny. Fewer than 30 companies offer such speeds today, reaching about 400,000 customers, according to RVA Market Research.
Aside from Google, which has started offering service on its gigabit network in the Kansas City area, they are mostly smaller companies.
Such as Minnesota-based Hiawatha Broadband Communications Inc. and California-based Paxio Inc.; municipal operators like LUS Fiber, Lafayette, La.; and public utilities like Chattanooga, Tenn.’s EPB fiber network.
Time Warner Cable reported second quarter earnings today, and was the first among the major cable companies to provide clues on to what extent pay TV subscriber losses will continue.
The company lost 130,000 video subscribers during the quarter, essentially doubling its pay TV customer cancellations from the previous quarter.
Though it managed to grow its average revenue per user and report a $420 million profit, analysts are suggesting the results are a bit underwhelming.
Time Warner Cable Inc. Chief Executive Glenn Britt said his company has an opportunity to win more broadband-only customers as broadband replaces TV — as the cable industry’s anchor product.
At an investor conference in New York City hosted by Sanford C. Bernstein, Mr. Britt said Time Warner Cable has been largely focused on selling its “triple-play” bundle, which includes broadband, TV and phone service.
Now, he intends to shift focus to better exploit an opportunity to sell more “single-play” broadband to people who may get video pay-TV service from a satellite operator or another alternative.