Wednesday, December 3, 2014

Declining Demand a Problem for Growing Range of Telecom Products

The biggest problem arguably faced by the linear video subscription business is declining demand for the product, a trend that already has affected fixed network voice and mobile network text messaging.

New data from Bernstein Research shows TV audiences have continued to decline. And though one should not give too much credence to any one-week change, aggregate cable television audiences dropped eight percent Nov. 17 through 23 of 2014, while broadcast TV viewing dropped nine percent, according to Bernstein Research.
Aggregate audiences are also down over the third quarter of 2014, a possibly more-significant trend. Both cable TV and broadcast TV viewing dropped nine percent.

Children's programming fared even worse, with audiences falling 12 percent in a week, and 15 percent during the quarter, according to Bernstein.

The slipping viewership among young audiences may be because children's programming is particularly vulnerable to competition from streaming services like Netflix and Hulu, some argue.   

Nickelodeon viewership fell 25 percent and Disney Channel viewership fell 24 percent.

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