Earlier this year I wrote about my concerns for the big telecom and cable companies, as it seems inevitable that their sources of revenue will be cut dramatically as everything transitions to the internet – or they’ll have to cut fees to stay competitive.
A friend sent me this article last week titled: Yes, Netflix And Hulu Are Starting To Kill Cable. It’s interesting to see the effect based on actual numbers. Over 18% of households that use Netflix or Hulu don’t subscribe to cable! And the trend is certainly against the cable providers.
There was also a hearing yesterday in the Supreme Court between Aereo and a group representing many of the large content providers. Aereo captures TV content via antennas (for free like the original rabbit ear antennas) and broadcasts them to customers via the internet for a monthly subscription fee. A ruling probably won’t be made until later this summer, and initial reactions don’t look good for Aereo, but this should have major implications for the industry and content distribution moving forward.
Thanks for following!
-Nick