Pay TV is for people who haven’t heard of the internet
TV apps, accessed via mobile devices, computers and media players for HD TV sets are taking over from pay TV for movies and TV shows. And sport. According to the latest information, cord-cutting in America has increased markedly during the first quarter of 2015. Some 31 000 previous pay TV subscribers (or cable subscribers in US parlance) cut all ties with traditional pay television service providers in favour of TV apps accessed via the internet.
These are scary numbers for subscription television companies, but great news for consumers. With TV apps, the days are over when somebody else decides what you can watch and when. The TV app revolution is happening so quickly, traditional TV companies will soon find themselves in the same boat as traditional print publishers. PVRs or not. The internet is simply so powerful that it is now starting to disintermediate previously untouchable TV business models.
Just ask Apple. It had to buy Beats just to play catch-up in streaming music. If Apple can miss an internet boat such as streaming, lumbering “broadcasters” don’t have much of a chance. Or, if they’re HBO, they learn very fast that it’s much better to join them if you can’t beat them.