This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

More Online Sports Looks Like More Cable Cord Cutting

NEW YORK ( MainStreet) -- There are more than 84 million paid television subscribers in the U.S., with Comcast (CMCSA - Get Report) leading the pack with almost 22 million, followed by DirecTV (DTV) with about 20 million, according to Multimedia Research Group.

But are all those cable and satellite TV customers actually happy with their service? Or is the day coming soon when many bolt the paid television subscription model in favor of online programming?

The answers are "yes" and "yes."

That exodus may have started.

Almost half of U.S. adults believe cable TV is a complete waste of time, according to a study on paid television subscribers from, an online retailer discount provider. Despite the 45% of Americans complaining, 81% of the U.S. adult population subscribe to paid subscription television services.

The survey, conducted with the help of Harris Interactive, interviewed 2,046 U.S. adults.

Trends almost always start with the young (think the iPod and Facebook (FB)

What could eventually drive television viewers from the paid TV model for good are higher prices. The survey reports that 31% of the U.S. population faces a monthly cable bill of $100 or more -- a monthly bill their parents and grandparents never faced.

"Despite the big bills that arrive month after month for TV services, most Americans continue to subscribe," says Jackie Warrick, senior savings adviser at "In fact, 15% of cable subscribers we surveyed said they would never consider dropping cable TV services."

"As more viewing options arise at lower price points, though, it's likely more consumers will pull the plug," she says.

One life preserver for the paid TV sector is sports programming. Evidently, fans can't go without Monday Night Football, or watching the Masters or Kentucky Derby in high-definition. says that 43% of cable subscribers said they won't drop their subscription "because they can't live without sports programming."

But as more and more professional and college sports packages are showing up online and more viewing options become available in high-resolution on computers, tablets, and mobile devices, even sports fans may decide to give up those fat cable bills to watch the big game online.

The ball is rolling in that direction. Netflix (NFLX - Get Report), for example, is already unbundling its cable ties and offering new episodes of shows such as Arrested Development directly to its customers.

If online or direct television services such as Netflix or Hulu could provide a worthy alternative, 56% of U.S. adults said they'd give up their paid TV subscription packages -- 55-inch plasma TV or not.

That should get the attention of cable and satellite providers, although what the paid TV industry is going to do about any potential exodus isn't clear.

What is clear is the TV picture is changing, and not in the favor of the Comcast's and DirecTV's of the world.

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
DTV $0.00 0.00%
CMCSA $61.05 0.00%
NFLX $89.37 0.00%
AAPL $93.24 0.00%
FB $117.81 0.00%


Chart of I:DJI
DOW 17,660.71 +9.45 0.05%
S&P 500 2,050.63 -0.49 -0.02%
NASDAQ 4,717.0940 -8.5450 -0.18%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs