The evolution of content distribution and the consistent growth of over-the-top (OTT) streaming generates industry predictions of the inevitable decline and fall of pay TV. As video ecosystems collide, the industry remains in a state of great change.
While streaming continues to grow, the number of pay-TV subscriptions in the U.S. is expected to remain relatively stable and to continue to grow elsewhere in the world. While media coverage focuses on cord cutting, the impact has been minimal thus far. Total pay-TV subscriptions in the U.S. are expected to decline by 0.3 percent between 2015 and 2019. To some extent, the actual number of subscriptions will be propped up by increases in the number of pay-TV households, although the actual penetration is expected to decline from 83 pereent in 2015 to 80 percent in 2019.
From the article "Finding OTT's Tipping Point: Three Factors Could Push It Past Pay-TV Subscriber Totals" by Barbara Kraus.
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And speeds appear to matter. Parks Associates reported way back in 2015 that fully one quarter of Americans who switched to a new ISP "did so in order to obtain a faster service at a comparable price....
“Importantly, all of these services have increased their subscriber base over the past year. The top five OTT services have stayed consistent, primarily through maintaining or growing the massive user...
The proportion of UK households with broadband connections utilising the service to access online video content has reached 59%, according to new research. Parks Associates relayed their key findin...
