“A new Pew Research Center report has found that one out of five young adults between 18 and 29 say they have ‘severed the ties they once had with cable or satellite service.’ They’ve cut the cord,” Bob Sullivan reports for GeekWire. “They used to pay every month for a TV package, and now they don’t. That’s startling. It’s even more startling than this other scary number: 16% of young adults say they’ve never, ever paid for cable or satellite TV. Overall, 24 percent of adults say they don’t pay for cable or satellite. Again, remarkably, 15 percent say they’ve canceled service.”
“Never doubt the ability of pay TV to piss off people, I guess. Firms like Comcast and Time Warner continually show up on lists of bad companies with bad service, even as prices continue to rise,” Sullivan reports. “If anyone needs a refresher in Aesop, it’s the pay TV industry. The golden geese are being slaughtered.”
“pay TV execs take note: The No. 1 reason people don’t pay is because pay TV is too expensive. Rather than degrade broadband service to win back consumers, how about offering better value instead? It’s already happening in some parts of the country. The newest rage in pay TV is called ‘cord shaving.’ Disgruntled consumers aren’t cutting the cord entirely, but opting for very, very slimmed down packages that cost $30 or less (also called ‘skinny’ TV),” Sullivan reports. “Why cable firms wouldn’t fall over themselves to turn cord-cutters into cord shavers — so they at least maintain some kind of financial relationship with consumers — I can’t imagine. But they’d better figure it out soon, or they’ll miss out on entire generation of consumers.”
Read more in the full article here.
MacDailyNews Take: 1 in 5 young U.S. adults have cut the cable or satellite cord – which bodes well for the deals required to finally bring Apple’s Internet TV service to life.
Keep cutting those cords, folks, and Eddy’s worries will soon be over. He’ll be undoing yet another button and breathing a sigh of relief as the content overlords obediently line up to sign on Apple’s dotted line.
SEE ALSO:
Apple cuts the cord on Internet TV plans – December 17, 2015
Cord-cutting: Cable channels hit on subscriber losses – August 6, 2015
Apple’s Internet TV opportunity: Nearly half want to cut the cable cord – March 20, 20153 things an Apple TV service needs to succeed – December 22, 2015
Apple, TV networks clash over size and makeup of Internet TV bundle – December 9, 2015
Apple debuts new Apple TV ad, ‘The Future of Television’ – December 9, 2015
Greedy media companies stymie Apple’s plan to offer Apple TV Internet TV package – December 9, 2015
CBS CEO Moonves says Apple puts live TV service ‘on hold’ – December 8, 2015
Fox’s James Murdoch, CBS’s Les Moonves hint at looming Apple Web TV service launch – November 5, 2015
CBS CEO Moonves says Apple TV content deal is likely – October 14, 2015
CBS CEO: We’re still in negotiations with Apple over new Internet TV service – May 27, 2015
I am with them. If I could get a package (hello Apple…) with local channels and all of the Discovery, Science, History type channels I would be happy. I don’t watch and don’t want to pay for the others. Everything else I will stream.
Seen CuriosityStream? I haven’t subscribed yet, been too busy the past few months, but plan to after the holidays.
https://curiositystream.com
I’m young at heart. Cut it years ago.
Same here. Cut it over three years ago.
Put up a big antenna and got an awesome Channel Master DVR+ to record over-the-air shows. I get 51 over-the-air channels most of which originate 57 miles away.
How do you get your internet, now? If through cable that is not really cutting the cord. Good news with 5G LTE we really can start real cord cutting.
Never took up the habit. Too sedentary.
I am NOT that young any longer and my family and I became cord cutters 10-12 years,ago and now my wife and I continue to be cord cutters.
We had a two year internet only deal with Comcast that was $30/month and has just expired and the cost for the next year is $45/month.
With $11/mo. for commercial free Hulu content (FINALLY) and still paying $8/mo. for Netflix our total monthly online home entertainment bill is still reasonable at $64/mo.
This doesn’t include occasional online iTunes rental movies and visits to an actual cinema theater from time to time.
We will go this last year with this increased rate as the following year the cost of our Comcast Internet service alone will jump to almost $70/mo..
We will renegotiate this pricing next year or go without service for a few months until Comcast offers some better deals for Internet service, again.
As soon as Fox News becomes an app, I will cut the cord.
MSNBC gets it. CNN is trying real hard. Fox still requires a cable connection.
I use to scan those three, plus CNBC, but since I cut the cord, I need to visit my Dad to keep up with Fox News. I did see the first Republican debate, hosted by Fox. Social media questions. Hilarious!
Because you need a emigrant and a Saudi Arabian to tell you how to be an American. News Corp’s,parent of Fox News and The Wall Street Journal, founder and largest shareholder is an Australian emigrant. He had the laws changed so his children did not have to become citizens to own an American media company like he did. The second largest shareholder is a Saudi prince, yes a muslim. Every Fox News reporter knows this. They just think you’re stupid for believing them and keep voting for big international banks. One thing I like about Trump is he wears the real US flag. Not some fake one with a big red star in the middle. Notice all Fox News men and GOP insiders don’t wear the real US flag.
Get a HD broadcast antenna,, costs about $30 and is the size of a magazine 9×12, flat and hangs on a wall.. You’ll get all the broadcast shows, ABC, PBS, NBC, FOX, many local stations Crystal clear, if you are within about 30 miles from the broadcast antenna. Even greater distances work.
You’d be surprised as you can take it on the road with you and
it just plain works.. Just like the old days.. Best $30 you can spend.
In the meantime, nobody likes a cable bill, but i get the comcast package, super fast internet all the movie channels and phone for $99 with taxes and the boxes in 3 rooms, total comes to $159.00 not bad.. Family of 4, it’s on all day.
Comcast will negotiate especially if you have FIOS as an option in your neighborhood.
Merry Christmas ALL. Have a great 2016.
Just a note about “HD Antennas”, they are simply antennas picking up the same frequencies in UHF as alway. It is only the carrier that changed and the design of the antenna. Point is, old antennas will pick up the same channels, but the newer ones ARE nicer!
Downside is most of those won’t pick up the VHF (7-13) channels, although some do include a pull-out version.
(I know they call them “HD”, but Mad Ave. also calls some sunglasses “HD”)
I also enjoy Comcast triple play, 70 Mbps down, HD package (one box) and phone $137 month (yet I seldom turn TV on)
There X1 box is the best in the business (I think)
Merry Christmas to all!!!!
$134/mo is just as ridiculous!
$1500/year for cable service!
This topic is about cord cutting, peoples!
For the last 4 years with my Wife, we have benn spending less than $800/year for regular TV entertainment by just using a $45 digital antenna, Comcast ISP and two low cost monthly subscription services.
Something to think about for the new year!
Merry Christmas Everyone!
That’s video, phone and Internet, not just cable.
The video only adds about $35 a month to the bill.
Calm down.
So in other words, $100/mo for ISP with a VOIP line.
Considering that cord cutters are also ditching their land lines .. not a great value to brag about.
I’m not bragging.
Do you think everyone’s situation is cookie cutter?
I cut the video cord over two years ago.
I quit using land lines over 10 years ago because of a company cell phone and cable internet.
I got a personal cell phone because of the iPhone in 2007 but dropped it in 2013 when my job finally went with smart phones.
Since I live alone, I wanted 911 access.
Since I have guest and kids over sometimes I got cable.
Odd thing is I don’t even watch TV but a few hours a week and then it is usually Netflix or Prime.
I also don’t stay glued to a cell phone 24/7.
I’m happy with my choices for now, but they will change when I retire and move. I will use an antenna, new iPhone and cable internet.
I will also buy a new car, even if I won’t be driving that much.
Feel better now?
Considering that the topic is about reducing costs from prices in the range that you mentioned that you’re paying, it is hard to figure out just why you mentioned it at all … if it isn’t a brag, is it an attempt to rationalize that rate as being a good value (a disagreement on the topic)?
> I cut the video cord over two years ago
… to clarify, you mean down to “merely” the $35/mo you mentioned that you’re currently paying? That doesn’t sound like cord cutting, but more like the “cord shaving” which was mentioned. Fair enough if that was your intention.
> I will also buy a new car …
Where the budget for the average new car today plus the retrospective savings from ~thirty years of value-conscious cord-cutting/shaving would have generated an equal amount so that the new car for retirement could have been a Porsche instead of a Ford. YMMV for life’s choices.
“it is hard to figure out just why you mentioned it at all”
Actually, John did and I was replying to him.
Sorry that was too hard for you to figure out.
“if it isn’t a brag, is it an attempt to rationalize that rate as being a good value”
Really? Those are my only two options for a discussion, brag or rationalize? Again, I was replying to John.
“to clarify, you mean down to “merely” the $35/mo you mentioned that you’re currently paying?”
No, but seeing how you have a difficult time understanding the written word as intended verses what you project, why should I try to explain further?
“thirty years of value-conscious cord-cutting/shaving would have generated an equal amount so that the new car for retirement could have been a Porsche instead of a Ford.”
30 years? I am 53 and have paid for (mainly basic) cable/satellite for less than 10 in all those years and doubt there will be many more after this year.
I do know that once the shift has been to simply ISPs and cellular for most data, video and talk, the price will remain constant. This is the business model that is going into effect slowly. You no longer pay for RF video, but you subscribe to broadcasters, studios and resellers (Netflix, Prime) for digital content that will rise sharply in price to offset the loss in the RF distribution market. Your ISP price will rise to cover the cost of maintaining a (mostly) fiber plant to feed all this bandwidth, and cellular will stay close to the same price but offer higher caps and speed. Off-air broadcasters will slowly merge with local print/radio news companies and become online local reporting.
Yes, it’s a brave new world and it’s affecting the business I have been in for the last 18 years.
BTW, I have great luck with Fords….
The irony of “John” is that he didn’t follow his own advice of getting an OTA antenna, and is spending more per month on box rentals than an antenna would cost…but this tangent isn’t about “john”.
> Really? Those are my only two options for a discussion, brag or rationalize?
Given your posting history, yes: other than your childishly lame personal attacks, they’re the only ones you ever employ.
> 30 years? I am 53 and have paid for (mainly basic) cable/satellite for less than 10 …
53 – 10 = lived in Mom’s basement until age 43… /S
> Your ISP price will rise to cover the cost of maintaining a (mostly) fiber plant to feed all this bandwidth, …
Interesting claim, since the primary capital expense was the deployment of the infrastructure. Once those capital expenses are paid off, then the recurring costs drop from {capital equipment + maintenance} to just {maintenance}.
Of course, there’s still also the fees for content, but this is tracked per customer plus it wouldn’t have any influence unless it is being used to subsidize maintenance. As such, the price increases are really more motivated by the provider not wanting to live with reduced levels of profits … but their problem is that squeezing for more blood from less product hurts the value paradigm and will accelerate the cord cutting (& similar alternative) customer behaviors, resulting in a self-imposed corporate death spiral.
> BTW, I have great luck with Fords….
Enjoy it while you can, as the path ahead for the workers without executive golden parachutes is looking more like a Yugo…
No, the irony is that you make me want to turn my computer off and watch ANYTHING on TV.
“Interesting claim, since the primary capital expense was the deployment of the infrastructure. Once those capital expenses are paid off, then the recurring costs drop from {capital equipment + maintenance} to just {maintenance}.”
You don’t know what you are talking about.
Upgrades are not maintenance.
Construction is not maintenance.
Expansion is not maintena….oh, who cares.
Keep your simplistic view. Fine with me.
> … the irony is that you make me want to turn my computer off and watch ANYTHING on TV.
Merely because you can’t actually support your claims from anyone who brings you to task for your comments.
> Upgrades are not maintenance.
Moving the goalposts now too. Nevertheless, even if you had mentioned upgrades, the nature of IT technology is that the new better stuff is regularly the same price as the old obsolete stuff, plus one can also upgrade through replacement when subsystems need maintenance/service, which reduces (sometimes entirely) the touch labor. Now if the company you’re working for isn’t already doing this, then that’s a lost profit opportunity for them.
> Expansion is not maintena….
Didn’t Verizon suspend all of their FIOS expansion a mere half decade ago? Whoopsie. Pay no attention to the defensive industry shill behind the curtain, folks….
Besides, cable has been deployed in many regions since the 1970s…and even if you look at new housing starts, their rate of change vs existing households is only +1%/year. That’s insignificant noise.
Again, you have no idea what you are talking about.
I’ve been employed by an ISP/cable company for 18 years.
I have no need to substantiate my facts to you.
I told you how it is.
That is all there is to it.
And if you want to search me out to have an argument, choose a field you have some real knowledge in.
You seem to always come up on the short side of convincing by just stating Googled facts.
> Again, …
Didn’t you promise us to go turn off the PC and watch some TV?
> I have no need to substantiate my facts to you.
Unfortunately, by avoiding even the most simple points, you’ve revealed to all the MDN readers just how hollow your claims actually are: “Trust Me” doesn’t cut it.
For example, you couldn’t even admit that Verizon suspended their FIOS … despite that news being readily verifiable in their SEC filings – – those pesky facts go against your narrative.
Another is that your assertion that ISP expenses have to increase after the capital expenses of an equipment rollout have been paid for, yet anyone who has ever paid off a car loan (or home mortgage) knows just how bogus that claim is.
> I’ve been employed by an ISP/cable company for 18 years.
As a tech, not finance/accounting. One doesn’t have to literally own your own company to learn this stuff, but it certainly doesn’t hurt.
Takes a real butt-ache to down vote a non-controversial statement like that.
@ John,
$160 a month is ridiculous.
$2000 a year for cable service? No Thank you.
Keep the antenna, just get Internet service and subscribe to Hulu and another streaming content like Netfix or Amazon.
You’ll cut that cable bill by, at least, half.
We get all of our TV content from a digital and Internet streaming services.
Michel PM – I’m with you.
$160/month for cable is worse than bad – it’s obscene.
Cut my cable years ago, and never looked back. Over-air, and internet works fine for me.
The worst thing that can happen to cable and satellite providers is for Americans to start thinking seriously about value for their money. It’s been a while since any of their customer base could look themselves in the mirror andy say “I’m really lucky to get all this service for only $x per month.”
A market Apple has abandoned. Thanks, Tim, just keep making mistakes and making Apple less relevant.
Thanks Fred for continuing to sound simplistic and stupid. Slobbering idiots like you have no comprehension of the difficulties involved. You really don’t think Apple would if they could? Outside of buying all the companies involved they have to work at this gradually much as we may want it faster. It’s a very complex arrangement fraught with peril and minefields.
BUT If it’s so easy then please YOU do it!! I Triple Dog Dare you. No? Then STFU.
Impotent rage. Not exactly becoming.
But you’ll change in that regard maybe someday. I’m not hopeful. Notice how you constantly get down voted here? Maybe that should tell you something asswipe.
Getting voted down by Apple fanboys, biased and irrational, angry and impotent, isn’t a demerit, it’s a confirmation that I am correct.
You need to join your fanboy choir on Samsung and Google sites instead of childishly trolling here looking for a fight dimwit. You only show your own true unflattering colors. Confirmation in that you are a total twit and specious idiot to be sure.
I really do not need your advice, fanboy. Perhaps when you learn how to be rational and objective I may start considering your opinion.
Fanboy Fred fails to see just who the real fanboy is. (Hint: Look in a mirror.) The issues you state are precisely the ones you so desperately need to work on. Your theories are the worst kind of trollish tripe, your methods are sloppy, and your conclusions are highly questionable! You are a poor poster, Freddie boy!
I wonder if these stats might be misinterpreted. A lot of young people these days have cut the cord mostly because the economy is weak, the future’s uncertain and they can’t afford to pay for cable, not because they are dissatisfied with it. And they probably aren’t replacing it with a bunch of paid apps and paid subscriptions (looking at you, Apple Music). Netflix, Hulu, et al are much cheaper, and deliver quite a lot of legacy content to keep young people occupied (when they aren’t gaming, anyway).
Yes, but the important part is They-Cut-The-Cord!
Once that happens, paying a high monthly fee for TV is no longer the norm, it isn’t something you are expected to do. People discover life goes on without it.
THAT is the real game changer.
“A lot of young people these days have cut the cord mostly because the economy is weak, the future’s uncertain and they can’t afford to pay for cable …”
I’m not a kid, but I think this assumption is incorrect. I cut the cord years ago because I was dissatisfied – and I don’t miss cable at all. I can easily afford cable, but I do not want it – it isn’t worth the cost.
But regardless of why kids today are cutting the cord – they will quickly realize that they do not need what cable is offering. In other words – becoming dissatisfied with what cable has to offer.
And once they’ve realized they don’t need it, cable is going to have a difficult time wooing them back.
I’m not a kid either and I agree with a lot of what you, but I think Grrrilla is spot on about the economic/financial reasons for this.
It’s the reason we cut the cord seven years ago and haven’t gone back. I know four families in our neighborhood that did it for the same reason, and they haven’t gone back either.
Maybe. But as I said, regardless of the reason, they’re going to realize that they don’t need cable. And cable is going to have a very difficult time wooing them back.
They certainly won’t get me back.
Sorry about the typo. It should have read “…I agree with a lot of what you said.”
And I do. You’re right, regardless of the reason, once people leave, with all the alternatives now available there is little reason for them to go back.
Even if I could afford it, I wouldn’t. Some of the neighbors I mentioned previously can now afford it, but they still haven’t gone back.
Obviously cable and satellite providers are serving those with less disposable income.
Being 42, I’m not in that demographic, but we cut the cord a few months ago. I got tired of Comcast raising my rates every few months and calling to get them to lower it, became a game I wasn’t into anymore. Can’t they just make a set price? Also, when I’d call to get it lowered, it would be higher than the prior promo I had the prior year. Screw ’em. Don’t with the stupid games. I got a 2 year internet price of $35 from CenturyLink.
We already had 2 Apple TV’s with Hulu and Netflix. Ad we I cut the cable, my wife bought 2 Roku’s to watch Sling. Roku is cool, but Apple TV seems to work better. I wish Apple TV had Sling or something similar.
But in total, we pay about $70 a month for Internet and media. Comcast was at about $120 with a promo, when they weren’t jacking it to $170 a month.
Tired tired tired of the BS.
Sorry about the typos.
Yes, why doesn’t Apple have Sling?
Once again, Apple offers you only what they want to sell to you; not what you want.
Apple refuses to pay the licensing fees on all the codecs they would have to support for each unit they build, which may or may not be used. I don’t blame them, which is why I’m hoping to see VLC for AppleTV sometime in the near future.
Forget about what marketing people say, age isn’t important. As long as you pay your bills, you are as important as the next person.
As someone who was in marketing for my career, I can tell you that, unfortunately, marketing people believe that age is important.
And it is true. But the problem is that for some incomprehensible reason, they ignore the results of their own research. Research which shows that the fastest growing demographic with the most disposable income is (and has been for some time) skewing towards older people (45+). They keep going after the wrong age demographic… the (18+) youth demographic.
That demographic is (was) most impacted (like Grrrilla states above) by the economy… an economy that still hasn’t truly recovered from the dump that put many businesses (like mine) in the ground about seven years ago.
That economy is precisely why we cut the cord; said goodbye to DirecTV ($120+/month) six years ago; dropped our high-speed, wireless, local ISP ($79/month); and said hello to $39 (now $59)/month, barely-suitable-for-low-rez-video, DSL speed CenturyLink service (the ONLY game in town).
I’ve stopped watching traditional television programming all together. It’s mostly Internet content at this point; lots of YouTube. Can’t be bothered to watch TV or sit and watch it. Something about the sitting and watching it feels “restrictive” or something.
How many of these young cord cutters still gain access to online channels via online app using their parents’ password?
Cable companies will just start raising internet prices to make up for the cord cutters. I’m getting close to cutting cable TV as well. TW just raised prices again.
Cutting the cableTV cord was the smartest thing I did in the past 10 years, and saved me from enduring an untold number of poisonous, lying political ads in 2102. Looking forward to the billionaires wasting more money in 2016 trying to buy my vote with tv I’ll never see.