2014: Pay TV Sub Losses Remain Modest By Phillip Swann TVPredictions.com
Washington, D.C. (March 3, 2015) - The 13 largest pay TV providers lost 125,000 net video subscribers in 2014, a slight increase compared to 2013 when they lost 95,000, according to Leichtman Research Group.
Some analysts have proclaimed that millions have or will soon drop their TV services in favor of less expensive online video offerings from companies such as Netflix and Hulu. But last year's subscriber losses suggests the pay TV industry remains dominant and still largely unharmed by so-called cord-cutters.
Leichtman estimates that the top 13 pay TV operators account for 95.2 million subscribers.
"2014 marked the second consecutive year for pay TV industry net losses, but the losses remained modest again last year," said Bruce Leichtman, president of the research group. "Despite a relatively saturated market, and increasing alternative for consumers to watch video, the top pay TV operators have only lost about 0.2% of all subscribers over the past two years."
If the pay TV industry has a chink in the armor, it's the cable TV sector. The top nine cable TV operators lost 1.195 million net video subscribers in 2014. But that's compared to a loss of 1.695 million in 2013 and Leichtman notes that 2014 was the best year for cable TV operators since 2008.
Satellite TV operators (DIRECTV and Dish) added 20,000 net video subscribers in 2014, compared to 170,000 net additions in 2013.
The telco TV services, AT&T and Verizon, added 1,050,000 net video subscribers in 2014, compared to 1,430,000 in 2013.
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