The Era Of Pay TV Subscription With Broadband is Over?

The Era Of Pay TV Subscription With Broadband is Over?

The era of pay TV is over? According to the latest data from Deloitte does not seem right, indeed. The data collected show that subscriptions increase because broadcasters have been able to exploit the new possibilities from the world of network and the boom in sales of mobile devices, offering complete packages that provide TV content, online video and broadband.

By the end of the year, as estimated by Deloitte, 50 million households worldwide will have two or more subscriptions to additional services for pay-TV, generating more than 5 billion dollars in revenues. Ten million homes the other hand receive premium programs as an integral part of the package for broadband.

Deloitte points out that this new trend is in contrast with the traditional outlook concerning the so-called cord-cutting, since the pay-TV subscriptions continue to remain constant or even increase in some countries.

Users, in fact, continue to subscribe to cable or satellite services, and in some cases also integrate with on-demand video online. These additional services are generally available for less than $10 a month.

“There will be at least 50 million households will have up to four subscriptions to pay TV, because paying just a small additional amount per month will be able to make even the on-demand content from other operators,” Deloitte said.

According to Deloitte’s, recently, the households hijack these new services on the spending that first was about the purchase or rental of DVD movies as demonstrated by the market data which show a decrease of the first to benefit the substantial increase of subscriptions to the new online platforms.

Talking about 50 million homes is reasonable when you consider that Netflix alone has 40 million subscribers worldwide.

This also indicates that in the near future, companies will seek to diversify their offers to the maximum by offering exclusive content.

Deloitte also predicts that the value of TV rights for broadcasting of sports events will grow by 14% compared to 2013 to about 24 billion dollars worldwide.

This also tells us that the combination of TV and sport continues to be successful and can be better achieved through new technologies.

The report also notes that worldwide sales of smartphones, tablets, PCs, game consoles and TVs will exceed $750 billion in 2014, $50 billion more than in 2013 and almost double if we look to 2007. Although it is anticipated a decline in subsequent years of PCs and televisions contrary to what will happen to smartphones and tablets that will continue to grow.


Photo Credit: espensorvik



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