from the that-thing-you-said-wasn't-happening-definitely-happened dept

It wasn’t that long ago that cable TV execs were trying to claim that “cord cutting” was either outright fiction, or a fad that would end once Millennials started procreating. The willful denial among cable execs was downright palpable for the better part of the last decade. Now they all just pretend like they never made those claims or predictions.

Fast forward to 2023, and streaming subscriptions are poised to pass traditional cable TV subscriptions for the first time ever. According to new analysis by research firm Insider Intelligence, by the end of this year, the number of cable TV subscribers will drop 10.2% to 121.1 million, while non-pay TV customers (streaming, antenna) will soar 12.5%, to 144.1 million.

By 2027, the firm estimates that 182.4 million Americans will be streaming TV customers while “just” 91.3 million Americans will subscribe to cable TV:

“Regardless of how one defines pay TV, there is an unmistakable attrition in the number of people who are willing to pay upwards of $100 a month for a live TV bundle,” Paul Verna, vice president of content at II, said. “The cord cutters have won.”

Organizations like Nielsen indicate that the Rubicon already technically crossed back in June, when the firm reported that 38% of all television viewing was now being done via streaming, compared with 31% for traditional cable. In 2023, broadcast TV viewing accounted for 20.8% of total TV watching, a new low point.

It’s all fairly impressive for a trend that executives spent the better part of a decade trying to pretend wasn’t happening. Even sports leagues, the last major reason to retain a traditional cable connection, have slowly been beefing up their direct-to-consumer live streaming options (see: NFL+).

Now that’s not to say there isn’t trouble in paradise. We’ve seen ample indication that streaming executives have learned absolutely nothing from history, and, as they try to deliver improved quarterly returns to Wall Street, are engaging in many of the same behaviors (nickel-and-diming users, relentless price hikes, an unyielding thirst for consolidation) that gave us Comcast in the first place.

Filed Under: competition, cord cutting, market trends, pay tv, streaming, tv, video