Streaming in the Cord-Cutting Era

A lot of people have been cutting the cord from cable TV and satellite providers to get more flexibility in choosing their content and not having to pay for content they’ll never watch. But the plethora of streaming content providers could create an environment that’s not a whole lot different from the cable/satellite experience. And, you might even wind up paying just as much money, if not more.

We came away from a recent Disney conference with the distinct feeling that Netflix is destined to go the way of Blockbuster, at least in terms of being the only source for content. Remember them? They’re the company that basically had a lock on the videocassette rental market until the worlds of Netflix and On Demand made video rentals as easy as pushing a few buttons on your remote. If you want to rent a DVD, you can order it from Netflix or find a Redbox machine.

Most people, however, prefer to get their video content via the internet, cable or satellite, and those who hold the rights to that content are getting ready to scale up an access war. Netflix, in addition to producing its own content, has also provided feature films and old TV shows to its own base of subscribers. They pretty much had the market to themselves, but that’s changing.

In case you weren’t paying close attention, Disney, which makes films, owns the ABC network and provides sports programming through ESPN, recently bought Fox’s movie studio and many of its non-news TV assets. That means Disney now has a huge library of content, and they’ve already started to move some of into “+” Channels, such as Disney+ and ESPN+. This allows them to stream selected content for a few bucks a month more, and you can’t get it anywhere else.

Disney is not alone. Netflix, Amazon and Hulu all have exclusive content in addition to hours upon hours of movies of all ages and genres. And each has its own subscription fees. HBO, Showtime and a few others still offer movies and original programming, and YouTube and Sling offer packages of TV content now found over the air (remember broadcasting?) or offered by various cable and satellite companies.

Finally, the field is getting more crowded with the entry of Apple TV+ and its original shows and movies.

Regardless of whether your content is delivered through a cable box or streaming internet or both, there will be a lot of hands out there for your money. And in all likelihood, you’ll pay for more content than you want unless somebody decides to offer single events, single movies or a single series of programming.

You’ll have to decide whether to cut the cord based on what you perceive will be your best value. The cable companies have an incentive to keep you because they can sell advertising. They also provide your internet access in most cases, and that gives them leverage in controlling what you pay for it.

The Triple Play packages (TV, internet and phone) are a staple of their business, and many subscribers find their balance of TV content and internet speed. One selling point for the packages is that you don’t use any data to watch the content delivered over the cable. The cable also provides better quality in most cases than high-def content streamed over a Wi-Fi network, though you can build a network to handle almost any need.

Cutting the cord but keeping the internet service could raise costs in two ways. First, if you need more bandwidth for streaming, it will cost more as a stand-alone service. Second, you’ll likely face data caps, which could limit how much streaming video you can watch or the speed at which you can watch it. Of course, more money can mitigate the cap issue, but don’t forget, the content providers are looking for more money for what they bill as premium content.

If you’re highly selective in the premium content you watch, cutting the cord and finding the right internet service may pay for you. But if you need the wider range of choices, you just might want to keep that cord connected.

We can help you make a decision by looking at your Wi-Fi network and the internet capacity you’ll need to support your viewing. Call us – 973-433-6676 – or email us to discuss your needs and set up an evaluation.

Apple TV+ – Delicious or Wormy?

Apple has announced it will launch its own TV streaming service this fall, Apple TV+. Apple will join Netflix, Amazon and others in providing content. We don’t what it will cost, and we don’t know if the experience will be delicious or full of worms. But we can count on Apple disrupting the market and changing the game. It’s how they play it.

Let’s start with the promises. Apple claims its new stream will be “the new home for the world’s most creative storytellers featuring exclusive original shows, movies and documentaries.” If you want a hint about if they’ll be able to keep that promise, they will debut with a sneak peek through a new Apple TV app that works across iPhone, iPad, Apple TV, Mac, smart TVs and streaming devices. You’ll be able to subscribe to Apple’s TV channels a la carte and watch them through the app.

You may want to look at Apple’s move as another reason to cut the cable cord, but we don’t see it that way. Even though increasing numbers of people are streaming programs through their TVs, in addition to computers and devices, cable companies are accommodating customers who want programming from “non-TV” providers. You can get Netflix, Amazon, Hulu and Apple – in addition to premium content providers such as HBO and Showtime – through your cable system. And why not? As gatekeepers, they’re happy to pick off a few dollars in subscriber fees from any and all content providers.

And it’s as a gatekeeper and content provider that Apple may be trying to maximize its hold on content viewing. Apple has a big market share of smartphones and an even bigger share of tablets – all in addition to a large base of Mac computers. But it’s way behind Roku and Amazon for connected TVs with only 15 percent of the market. Further, more than half of the nation’s TV streamers use Roku or Fire TV, and some 30 percent use smart TVs. Apple gets only 15 percent of the streamers. Clearly, Apple will need to partner with those who deliver content just as much as it will need to provide strong content to make this venture work.

We don’t know what Apple TV+ will cost, but various sources figure it will fall somewhere in the range of $10 to $15 per month. Apple could undercut the market with attractive intro deals. They have the resources to do it if they wish. With a push based on low prices and innovative programming, Apple could disrupt the industries that create and deliver content, especially in the short term. But history tells us that other industry giants will react to meet their own needs – and that some upstart will find a way to step on the giants’ toes.

Whatever happens, here are some things to keep in mind:

  • High-definition streaming requires a fast internet connection and a powerful Wi-Fi network. If you have multiple high-def TVs and a slew of devices, you’ll need lots of speed and capacity.
  • Many consumers get their internet from cable providers, and there are some things you need to balance when figuring out how much content to get from cable or the internet. Cable companies are willing to give you good internet speed if you’re a cable TV customer. If you are an internet-only customer, you may pay more for your connection, and you may face caps on how much data you can download. For the cable companies, it’s all about profitability.
  • How and where do you want to watch your content? Cable is good for big TVs for large groups, but you can take your devices anywhere. Consider the price of what you watch on. You can get a really good, fairly big TV for $500 or less, and you can pay twice that much for a mobile device.

We can help you make smart decisions about how and where you’ll watch programming by looking at the technology currently in your home and recommending what you’ll need to have a system that works for your preferences. Call us – 973-433-6676 – or email us for answers to your questions or to set up an appointment to discuss your needs.