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Report suggests cable, telecoms trading customers
Telcos and cable providers are in a fight for customers. From cable companies adding to their broadband user lists to telcos adding more video subscribers to their roster, there is a changing face of telecommunications and video providers.
Is video on the way out? New data from the Leichtman Research Group suggests some waning interest in traditional subscriptions. What that means for video in the long term remains to be seen. According to the Leichtman Research Group the top nine cable companies lost more than half a million video subscribers (Q2 2013); satellite providers lost just over 150,000 subscribers. Meanwhile telephone providers added nearly 400,000 video subscribers to their rosters.
"The traditionally weak second quarter proved to be a down quarter for the multi-channel industry, but industry-wide losses were similar to recent second quarters," said Bruce Leichtman, president and principal analyst for Leichtman Research Group, Inc. "The multi-channel video industry has leveled-off, with major providers losing about 0.1% of all subscribers over the past year."
However, where cable companies are losing customers - video subscribers - they are making up for in online subscriptions. The top telcos added nearly 300,000 high speed Internet subscribers (Q2 2013); the top broadband providers account for more than 82 million subscribers.
"For the third time in the past four years, Telcos cumulatively reported small net broadband losses in the second quarter," said Leichtman. "Over the past year, cable companies have accounted for 85% of the 2,600,000 net broadband additions."
Image via Shutterstock
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