Cablevision Loses 112,000 Video Subs8 Nov, 2013 By: Erik Gruenwedel
New York cabler continues MVPD trend of jettisoning video subscribers to alternative entertainment sources such as SVOD
Cablevision Nov. 8 reported it lost 112,000 video subscribers in the third quarter (ended Sept. 30), compared with the same period last year. The Manhattan, N.Y.-based cable operator finished the quarter with 2.8 million video subs.
Charter Communications lost 27,000 video subscribers during its most recent fiscal period, ending with a base of 4.1 million video subs.
When combined with Comcast and Time Warner Cable, the cable industry lost more than 500,000 video subscribers in the most recent fiscal period.
The trend underscores the reality that increasing numbers of households are opting for alternative video sources, including subscription video-on-demand.
It’s also the reason Comcast is rolling out a low-cost bundled content offering that includes 20 channels, HBO and Xfinity Streampix streaming.
Time Warner CEO Jeff Bewkes said the program outlines ongoing maneuvering at HBO to facilitate its network with distributors' varying household demographics. He said it could be an effective way to reach 10 million broadband homes that currently don't have multichannel TV.
“It won't probably be attractive for most people, but it might be something that appeals to a segment,” Bewkes said during the Nov. 5 fiscal call. “There are places where the penetration of HBO would naturally be much higher in the basic video households. And so HBO is working hard with some key distributors on that.”