Cable TV firms follow subscribers to the Net


With 35% of US cable TV subscribers surveyed saying they would terminate subs in the next 5 years for online TV viewing, cable companies in the US are planning to evolve out of their set-top boxes.
T&A: Knowledge@Wharton released an article here describing how the cable television industry in the US is facing an increasing threat from Internet video sites like YouTube and Hulu.
To counter this, the cable TV industry is working on a plan to make cable subscriptions portable to any Internet-enabled device, be it a notebook or a mobile phone, at no extra charge.
One example mentioned was an announcement in June by Time Warner and Comcast to launch TV Everywhere, a service that allows cable subscribers to use their PC/Macs to watch on-demand programs from Time Warner’s TNT and TBS networks. Since then, CBS, HBO, Cinemax and Starz have made known their wish to be involved.
Of course, with 35% of respondents from a consumer survey done by Bernstein Research saying they would consider cutting a cable subscription in favor of online video in the next five years, this is definitely something the cable TV companies should be worried about (and do something about before it’s too late).





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