Why CBS and HBO May Have Ushered in TV’s Cord-Free Future
If you have the time, read this entertaining article from “Vulture.com”, which takes a look back in television’s history to help understand the changes the industry is going through, especially with the announcements of CBS and HBO declaring that they would soon offer a direct to customer on demand streaming service.
This is a step towards unbundling the pricey cable TV packages that american customers have been complaining about, moving towards an à la carte model, which could save viewers plenty, as the article lays out: “For under $25 a month, a combo of the Eye’s new service and Hulu Plus, along with Netflix, will get you access to most next-day episodes of network and many cable shows, plus a host of past seasons (and some buzzy originals) via Netflix. Adding Amazon for $99 a year (or $8.25 per month) keeps your TV bill under $35 and gives you access to past seasons of almost every big TV show (plus some original content and free shipping). And assuming the new stand-alone HBO Go is priced, as expected, at about $15 per month, you should be able to cut the cable cord and not miss much beyond sports and news for just under $50 — well below half the $123 average cable bill at least one analyst is forecasting for next year and the $65 or so most people now pay for just expanded basic cable (sans HBO).”
However, unbundling could lead to confusion among customers, who would have to subscribe to many different content sources and as many different apps, which could easily lead to a bill as high as the current cable bill. “Unbundling does not appear to be the answer. The consumer does not want to choose from relatively highly priced, small content packages. Rather, people want the ability to choose from more content and not have to make choices about what to pay for and what they don’t want. That decision will be confusing, paralyzing, and ultimately lead to more dissatisfaction.”
Take the time to read this article!