With Cablevision reporting a loss of 23,000 subscribers and Dish Network shedding 135,000 in the second quarter, the U.S. pay TV industry has lost nearly 200,000 subscribers in the second-quarter — and those are just the ones we know about. But if there was a lack of concern about cord cutters on second-quarter earnings calls, it’s not because operators were unaware of the losses; it’s because in most cases, they didn’t want those subscribers anyway.

As seen in the chart below, public pay-TV providers collectively shed 193,000 subscribers in the most recent quarter. While losses by cable providers are nothing new, they are usually offset by stronger growth in satellite and IPTV providers picking up the slack. That didn’t happen this quarter, as somewhat weak growth by IPTV providers and a big loss at Dish highlighted what seems to be an exodus of pay TV subscribers amidst a weak economy.

When the numbers actually shake out, things are likely to be even worse than this. Keep in mind that these are just the top eight public pay TV providers, and most of those above operate in metropolitan markets. There’s a number of Tier 2 and Tier 3 providers not in this list, and many of those are in rural or underserved areas where the down economy has hit even harder.

Is competition really the cause?

On most of the earnings calls we sat in on over the past several weeks, there seemed to be a common refrain: Cable and satellite providers were losing subscribers in part due to increased competition and deals from the telco providers — Verizon and AT&T — who are aggressively buying share with steep upfront discounts.

But a look at the actual numbers doesn’t seem to bear that out. AT&T added 202,000 video subscribers in the second quarter, while Verizon added 184,000 in the same period. The addition of about 386,000 video subscribers combined is not out of line with previous quarters, and in fact is actually a little low compared to the 410,000 the telcos signed up in the first quarter or the 440,000 they added in the fourth quarter.

Will the real cord cutters please stand up?

If those pay TV subscribers aren’t actually going to competitors, where are they going? Most likely they’ve actually become cord cutters — two words that we didn’t hear much of on those earnings calls. In part, that’s because the rhetoric around cord cutters as anti-establishment, online video-watching rebels has largely been dispelled.

Studies have found those going without cable aren’t doing so because of over-the-top streaming offerings. Instead, those who are choosing to go without cable are doing so because they either don’t see much value in pay TV packages, can’t afford to keep paying for TV, or some combination of the two.

Operators acknowledge that the few video subscribers who have left the pay TV ecosystem so far have most commonly been on the bottom end of the cable value chain — that is, generally low-income users that just paid for TV and didn’t subscribe to broadband, HD or other higher-value services. And for most operators, that’s ok because they weren’t very high-margin customers anyway.

The myth of the higher-value customer

Cable providers are increasingly seeking ways to get more money out of their existing subscriber base. As a result, we’ve seen steady increases in average revenue per user (ARPU) as users sign up for more HD, more premium channels, more DVR set-top boxes throughout the home. That’s the reason Comcast’s ARPU stands at about 0, when basic cable service starts at about based on some introductory offers.

On the other side, operators are increasingly shying away from customers who might not want to pay for the premium cable package, multiple DVRs and other bells and whistles. DirecTV and Dish Network both run credit scores of potential subscribers to weed out those who might turn out to be flakes and cancel after an introductory deal is over. The goal — to get customers signed up for as many value-added services as possible — is not just about driving up revenues, but about making those services sticky and increasing customer lock-in.

The problem is that in a world where all the cable operators are trying to sell ever-more expensive packages of services, there’s a sad truth of business they’re running up against, and it’s that not everyone is a luxury car buyer. That is, not everyone is in the market for the biggest and best. But in the cable world, there’s very little choice if all you want is a Kia.

Will cable reach a tipping point?

It’s not enough to blame the weak economy when things get rough and folks stop paying for cable; there’s also a structural problem with the way the industry views its subscribers. In the quest for higher margins and customer retention, those companies are generally willing to sacrifice subscribers at the low end if it means they can get more out of their so-called higher-value customers.

The question is how long the industry can keep pushing ARPU up before it starts to shed some of its better customers — those that aren’t necessarily poor, but don’t have 0 or more a month to spend on entertainment. There’s the old belief that TV is recession-proof, as consumers hunker down and spend more time at home rather than going out when their disposable income gets low. But at some point, the value proposition has to break down — especially when there are other ways to get low-cost video entertainment from services like Netflix or Hulu.

No TV image courtesy of Flickr user Mykl Roventine.

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The Infrastructure Doesn’t Exist in Rural Areas for High Speed Internet Availability

Many rural areas don’t have high speed Internet availability because the technology and time it takes to set up the infrastructure is very expensive. Since there aren’t enough potential subscribers in rural areas, broadband providers cannot justify the costs of creating an infrastructure there.

Learn some benefits of high speed Internet access.

Cable and DSL High Speeds Diminish Over Long Distance

In more populated areas, broadband providers offer high speed Internet by running cables or phone lines underground allowing anyone in those areas to connect to their network. As the cables stretch farther and farther from the server, the connection will get weaker and weaker. This is another reason why high speed Internet access has been hard to come by in rural areas.

Most Rural Areas Actually DO Have High Speed Internet Accessibility

Now, most rural areas have a new high speed Internet option. High speed Internet can be accessible in almost all rural areas via satellite. Satellite Internet providers do not have to create expensive infrastructures. They have already launched satellites, and they are in orbit and ready to be used.

Learn how to get high speed Internet in rural areas.

All that needs to happen is for a professional installer to go to the rural home or business to install the two-way satellite Internet dish in an area that has a clear view of the southern sky. After the dish has been installed properly, the installer can then connect it to any computers within the home or business. Once installed, users will then be able to surf the Internet with speeds up to thirty times faster than dial-up connections.

Original write-up by Stream Direct TV

The number of clients who subscribe to direct satellite broadcast services has grown dramatically more than the final several many years. Hundreds of thousands of folks have grown weary of watching lackluster programming delivered by network television. They’ve migrated to Direct TV along with the Dish Network since they yearned for any wider choice of exhibits that were extra engaging. Other people have started to depart their cable providers behind because of persistent outages and inflexible offers. They also, have looked to satellite suppliers for a better expertise. The query is, which support is far better: Direct TV or even the Dish Network?

Within this article, we’ll evaluate the 2 aspect by side. We’ll look at the excellent with the programming, pricing and offers, and general consumer satisfaction. In performing so, we wish to help you decide on the subscription that finest fits your television entertainment preferences.

Programming High quality

If you own a high-definition television, image quality is likely vital to you personally. Direct TV has a unique advantage in this particular area. The firm has constantly regarded as high-definition broadcasts a priority. Consequently, they currently provide more than 130 channels that stream continuous, 24-hour HD content material. That not only includes nearby stations, but also a few of their most favorite channels, for example ESPN, Discovery, and all of their sports offers. The Dish Network currently offers fewer than 120.

Direct TV is anticipated to increase their high-definition stock of channels to over 200 within the close to future. This is one of the factors cable Tv clients have been abandoning their suppliers and joining Direct TV.

Pricing And Offers

Both satellite companies offer you several offers, each having a distinct price level and various record of channels. That makes it hard to evaluate the 2. Direct TV provides offers that vary from below $30 per month to their “Premier” package, which they offer at an introductory $59.99 for each month. Meanwhile, the DISH Network’s lowest-priced supply is underneath $25 although their “America’s Everything Pak” (their edition from the “Premier” bundle) is currently priced at $87.98.

Each companies offer you well-known programming choices, for example HBO, Discovery, and Disney (along with dozens of other people). Direct TV has gone a move more and dominated the sports section. They offer their subscribers an enormous amount of unique content material with programs including the NFL Sunday Ticket, MLB Additional Innings, and Mega March Madness.

Consumer Satisfaction

Both the Dish Network and Direct TV consistently outperform cable tv companies in satisfying their respective consumer bases. Nevertheless, right here too, Direct TV manages to edge out its satellite broadcast competitor. Recent surveys exhibit them leading by nearly seven factors.

Buyer satisfaction amounts may well be one of the most instructive barometer of all. One from the factors Direct TV has achieved greater numbers than their competitor for that past 9 years is on account of their programming. A bigger variety of channels are delivered in high-definition plus the deals are far more complete. If you are pondering about migrating to Direct TV or even the Dish Network in the close to long term, look at the elements above. Each of them will play a important function in your overall expertise. For a lot more fantastic facts and resources on Stream Online Movies and Movies Capital visit our site today.

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Does AT&T U-verse require a satellite dish?

No. AT&T is deploying fiber to the node, or FTTN technology to most of the major areas it serves. This fiber is deployed to a large serving terminal in each area, then the existing copper lines deliver the signal the rest of the way to your home. No satellite dish is needed, only the necessary receiving equipment is needed inside. So U-verse is actually more like cable than satellite television. Add in the AT&T U-verse DVR and your setup is just like satellite television

What kind of deals is AT&T offering with U-verse?

These of course are changed from time to time.Current offers generally match what cable TV companies offer for triple play packages of voice, video and high speed internet. Usually, you can get all of these services for about 0 a month for the first six months. Sometimes the promotional price can go for as long as a year, but check with AT&T for the current offer.

How fast is the Uverse download speed?

There are several levels of service. The slowest level of service is the U-verse Express, which is 1.5 Mbps, and the highest is the Max18 service, which tops out at 18 Mbps, great for downloading movies.  Of course AT&T U-verse rates differ based on the tier of service.

What are some of the features of the U-verse home phone service?

The AT&T Voice unlimited plans include all of the local and long distance calling. Other features include voice mail, call forwarding and call waiting ID so you won’t ever miss an important call. So if AT&T is your local phone company, a quick internet search or phone call can alert you to the availability of U-verse. If it is not yet available, you can still bundle your video service with AT&T with one of their Direct TV deals.

Once you get your hands on this thing, you can use it to not only control your SlingGuide DVR, but other stuff in your home theater like Blu-ray players and receivers. What I love is the ability to fiddle with your DVR without turning your TV on. Convenient and eco-friendly!

Previously, subscribers were very upset at the television providers. They were sick of being put on hold, of getting crappy picture quality, and the lack of HD. Plus, who doesn’t hate their cable (or satellite) company.

Amazingly, the companies listened. They seemed to have actually turned the corner, and now satisfaction has jumped back up a more reasonable level. There is still room for improvement however. It’s interesting when you look at the numbers, the IPTV providers seem to really be doing the best out of all of them, with satellite providers coming in second, and cable third.

As illustrated in a few of our surveys, many of you have already made the jump, catching fresh TV via broadband instead of actual channels or even DVR. But the vast majority of us are still watching TV the old fashioned way—paying for packages from cable or satellite providers. But from what I’ve seen in my own house lately, I suspect that it won’t be long before this practice is as archaic as owning a landline. Many of you refuse to pay for a phone twice, so why are you paying for two or three different ways to see your favorite TV shows?

There are, of course, drawbacks to a life without a broadcaster-friendly set-top box, so I spent a month trying to find out whether or not these drawbacks were significant enough to justify the huge additional cost.

The Experiment

Since this is Prof. Dealzmodo, you already know the impetus for this experiment was money. In particular my 12-month introductory package runs out soon, and the same channels will soon cost me nearly $80 per month. But why? The channel lineups are bloated and padded with filler—a veritable hot dog of entertainment where the real meat is mixed in with a lot of hooves and snouts. I mean, 70 music channels? Really? Isn’t that what services like Pandora—and about 100 others—are for? Speaking of services, I decided to play it straight. I didn’t get shows via BitTorrent. For a month, I simply used easily accessible, generally legal alternatives like Netflix, Hulu Desktop and network websites, plus Windows Media Center, which comes “free” with most PCs these days. The idea here is to prove that you don’t need to spend tons of money, use complicated software or go to extreme measures to watch what you want.

Hardware

First let’s talk about hardware. I don’t see the point in spending money on niche players like Apple TV , Vudu, and Roku to get internet content onto your television. These players only handle a fraction of what any home theater PC can deliver. Also, sticking with a computer makes it easier to roll with new services and software platforms as they’re released. (Hulu isn’t on any set-top box yet, but it’s available to every Mac and PC, in several ways.)

You don’t need something elaborate here—an HTPC’s main purpose is to browse the web and stream video. Just about any computer will do—including the old laptop you’re thinking about replacing anyway. Back in the day, I used to attach my laptop to the TV with a simple S-video connection, but a lot of today’s laptops and home-theater PCs make things extremely easy with an HDMI port.

If you don’t have an HDMI port, there are simple workarounds. For older computers in general, there are DVI-to-HDMI (video only) and VGA-to-component cables are also doable for older PCs, and if you already have some video cables, there are adapters out there that might do the trick for less money. Owners of new Macs have to fudge a bit with Mini DisplayPort-to-HDMI converters, but even those, from Monoprice and others, are getting better.

There are plenty of products out there designed for the home-theater market that cost less than $500—including the Asus’ EEEBox line and the Lenovo IdeaCenter Q700. Plus, there is always the option of buying refurbished or upgrading a cheap PC yourself to control costs.

If you want to cheat and record broadcast shows, you still don’t have to pay for cable—you can get an over-the-air HD TV tuner. Generally, a USB dongle TV tuner or PCI card like those from Hauppage will cost $100 or so, and they work reasonably well, though you may need an external antenna for best results. You don’t have to pay for service, and you can be assured of local news and other local programming, if that’s important to you. Just don’t come crying to us if you can’t get your rabbit ears into just the right position.

No matter what computer and accessories you use, the added cost will probably pay for itself pretty quickly when you start canceling all those expensive subscriptions. As I mentioned earlier, going broadband-only will save me about $80 a month in satellite fees—in 8 months, I will have recouped my $600 home-theater PC investment.

In the end, my entire monthly TV entertainment budget runs about $60—that’s $50 for basic broadband plus $10 for Netflix. Compare that to the $140 I would have paid starting in February for the combination of all that plus DirecTV. (As a sports fan, there are online programs that I do pay extra for, but you get what you pay for—as you’ll see below.)

How To Manage and Control Your TV Content

You will have to sacrifice the basic (if not exactly pretty) UI you are used to. Fortunately, things are getting better. Hulu Desktop looks more like what you would find with a broadcast set-top box, and with Windows Media Center, having Netflix and other plug-ins makes finding and watching on-demand shows a whole lot easier. And there’s at least one new website, Clicker that is taking a crack at organizing internet content into an easy-to-use programming guide.

Fortunately, I managed to keep the number of remotes on my coffee table to a minimum. I have a Windows Media Center remote to handle Netflix, DVDs, Hulu Desktop and downloads. Mac users have their own little white remote which handles much of this functionality, too. (A wireless keyboard and mouse are essential for more intricate navigation and many PC functions, but those can stay out of sight for the most part.)

iPhone/iPod Touch apps like Air Mouse and iTunes Remote have made my iPhone an all-in-one solution for controlling my computer and its software.

Watching Your Favorite Shows

I’m not a TV addict by a long shot, but there are shows that I watch religiously. These shows include 30 Rock, Lost, Family Guy, Californication and Dexter. The following graph illustrates the pluses and minuses of viewing a handful of different shows—not just my favorites—from popular networks.

The newest episodes of many of these shows are on Hulu, which mostly hosts fresh content—there isn’t a huge back catalog of shows. The catch with new shows, on Hulu or on network websites, is that you usually have to wait a day to see them. (For many DVR devotees, that’s not a big deal anyway.)

It’s also important to point out that certain networks tease their new seasons in many locations online—NBC has been offering free HD downloads of many new shows on iTunes, in hopes you’ll buy the season pass for $40 or more.

Netflix is another place where networks promote new shows: I was able to see the first episode of Californication and Dexter on Netflix during their limited time Watch Instantly preview. Speaking of that, Showtime shows, if available at all, do tend to appear on Netflix, but mostly only in re-runs.

As you can see, not everything streams in HD quality, although this appears to be changing. ABC is already streaming in HD, and others like Hulu and Netflix are dabbling, so it’s only a matter of time before HD content is widely available for streaming online.

What’s Not Online

CBS, HBO and Discovery: I’m talkin’ to you. I couldn’t care less about CBS programming—though it’s the #1 rated network, so clearly somebody does. CBS.com (and TV.com) offers a handful of full episodes (CSI and NCIS), and some of those show up in Netflix too, but until CBS decides their agenda, you may have to wait for new seasons of Big Bang Theory to show up on DVD, or try to record over-the-air broadcasts (see above).

I love History Channel and Discovery Channel, and these guys are also reluctant to accept reality, move away from old revenue models and look towards the future. Nonetheless, I still get my fix though Netflix. Early seasons of some of my favorite shows (Deadlest Catch, Man vs Wild) are available for streaming via Watch Instantly, and more recent seasons are available for rental. I have the patience to wait for some of my favorite shows to arrive on DVD or Blu-ray—it’s a virtue that could save you lots of money.

Let’s Talk Live Sports

Traditionally, one of the major drawbacks of internet TV is a lack of live sports. Again, I don’t know what sports and teams you are interested in, but for me it is all about football. For example, a few days ago I checked out the Steelers/Chargers game on NBC Sunday Night Football online. The streaming content is “HD” quality (at least it’s in the realm of HD) and the service offers a viewing experience that is actually deeper than a standard broadcast. Users have access to DVR style controls, four separate camera angles, highlights and live analysis.

I also have the privilege of access to my beloved out-of-market NY Giants games each week with DirecTV’s online Supercast service. It broadcasts all of the Sunday Ticket NFL games over the internet, but access to the online content requires DirecTV service and the full SuperFan package that runs a ridiculous $400 per year (Manhattan residents can access Supercast without DirecTV service). However, if you know someone with a Supercast account, you can piggyback.

If baseball is your thing, MLB.com offers a service similar to Supercast for around $100 per year depending on the package—although it only includes out-of-market games. Live golf can be viewed for free on PGATour.com; college sports, baseball, tennis, soccer and more is free on ESPN360 (if you are affiliated with an ESPN-approved broadband provider) and streaming sites like Justin.tv offer plenty of free sports viewing options, including live ESPN. Windows Media Center owners can also get SportsLounge, with Fox Sports.

The Future?

This is still the wild west, and things are apt to keep changing. I already mentioned services like DirecTV’s Supercast and streaming games from MLB.com. Little by little, you will start to see primetime shows or packages offered a la carte online too. I hope we don’t get to a point where we are paying more for access to online content than we now pay for cable content, but there has been serious talk by executives from Time Warner (HBO), CBS and Hulu (Fox, NBC, Disney) about that very thing: Either charge subscribers for premium content on demand, or simply verify that they are already paying customers of cable and satellite, and grant them access to stuff others can’t see.

If the broadcasters have their way, you’ll pay for it one way, or you’ll pay for it another. Still, technology has a way of keeping pace with the dreams of media execs, and the experiments conducted by YouTube and Hulu and others with advertising may lead to some kind of compromise, too. It is really all up in the air, but for now…

What You Should Think About

When all was said and done, I found my experience without standard cable television to be more liberating than anything else. Sure, streaming video isn’t always HD quality, not all of my favorite shows are readily available, and I have to search around a bit more for the things I want to watch—but I didn’t suffer and I didn’t feel like I was missing out. The added expense was not justifiable—especially when I was paying for a bunch of things I never watched. The best part is that I was able to get pretty much everything I needed with a basic set of tools that anyone with a computer can take advantage of right away.

Not everyone shares my taste in television but, at the very least, you should take a good look at your cable or satellite bill and ask yourself if it’s really worth all that money.