Failure-to-Innovate Hits Cable and Satellite Companies Hard
Record numbers of Cable, DSL, Telephone and Satellite TV subscribers are cancelling their subscriptions as the TV content providers are hit by both the economy and their own lack of innovation. When you can’t afford your Cable or Satellite bill, it’s the economical thing to do. But these purveyors of TV should look at themselves for such an incredible drop-off in subscriptions.
Failure-to-Innovate has caused the death of entire industries, and the cable/satellite TV model is the next on the chopping block. The world is moving online and the existing monolithic structures are tumbling as the eyes move online.
The Internet continues to move forward on two fronts: It gets cheaper, and bandwidth increases. This means that entertaining content can be readily be found online for free, or very little money.
Companies like NetFlix offer unlimited watching of Movies and TV shows for $8 per month — a far cry from the usual cable or satellite bill. Add to that Hulu.com and each of the major networks’ own free TV streaming sites, and the days of captive television views may be nearing an end.
AP is reporting that eight of the nine largest Cable and Satellite TV providers in the US lost a total of 195,700 subscribers in the last quarter alone. Their first quarterly loss ever.