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Winter is here for cable and satellite TV operators.
American consumers are cancelling traditional pay-TV service at a much faster rate than previously expected, according to research firm eMarketer.
In 2017, a total of 22.2 million U.S. adults will have cut the cord on cable, satellite or telco TV service to date - up 33% from 16.7 million in 2016 - the researcher now predicts. That's significantly higher than eMarketer's prior estimate of 15.4 million cord-cutters as of the end of this year. Meanwhile, the number of "cord-nevers" (consumers who have never subscribed to pay TV) will rise 5.8% this year, to 34.4 million.
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Younger audiences continue to switch to either exclusively watching [over-the-top] video or watching them in combination with free-TV options," said Chris Bendtsen, senior forecasting analyst at eMarketer. "Last year, even the Olympics and [the U.S.] presidential election could not prevent younger audiences from abandoning pay TV."
Overall, 196.3 million U.S. adults will have traditional pay TV (cable, satellite or telco) this year, down 2.4% compared with 2016, eMarketer predicts. By 2021, that will drop to 181.7 million, a decline of nearly 10% from 2016. The number of pay-TV viewers 55 and older will continue to rise over the next four years, while for every other age cohort the subscriber tallies will decline.
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