US pay TV ‘to lose 10.8 million subscribers by 2021’27 June 2017
A new report from S&P Global Market Intelligence’s Kagan predicts US cable, satellite and IPTV operators will lose another 10.8 million customers by 2021.
Kagan also suggests virtual services such as Sling TV and Sony PlayStation Vue will evolve into “mainstream” consumer choices and with around 11 million users collectively by 2021.
Viewers relying entirely on aggregated OTT video choices, meanwhile, will grow to 18 million – accounting for 14 per cent of households.
“Changing viewing habits point to mounting losses for traditional video services, and challengers are lining up to capitalise,” said Ian Olgeirson, research director, S&P Global Market Intelligence. “However, the operators are not without significant fortifications enabling expectations for preserving a majority share in the five-year outlook.”
Kagan’s report states that while households with a traditional multichannel subscription are positioned to remain in the solid majority in the five-year outlook, “upward momentum lies firmly with alternative services.”