[opendtv] Re: TV Technology: Netflix Passing U.S. Cable Visualized
- From: Craig Birkmaier <brewmastercraig@xxxxxxxxxx>
- To: opendtv@xxxxxxxxxxxxx
- Date: Thu, 15 Jun 2017 07:47:06 -0400
On Jun 14, 2017, at 10:35 PM, Manfredi, Albert E
<albert.e.manfredi@xxxxxxxxxx> wrote:
Not sure what point you were trying to make with that graphic, Craig, but if
it's to say that the ISP industry is doing just fine, I wouldn't be
surprised. We're in the growth stage still.
The point I was trying to make is that the market for TV and movie content is
HUGE, and the SVOD segment, which Netflix is in, is very small by comparison.
This is not to diminish the success that Netflix has enjoyed, but it debunks
the totally misguided chart from Statista, which tried to claim it is becoming
more popular than MVPD subscriptions.
The graph combines multiple industries, so I'm not sure what is attributable
specifically to broadband ISPs. But just for the sake of making a point, I
see no downturn, or less-steep rise, following the Title II decision of 2015.
I was not trying to attribute ANYTHING to ISPs, although we must attribute a
significant portion of the market for ISP service to "TV Entertainment." This
will become even more important as legacy MVPD subscribers switch the cord and
subscribe to Internet VMVPD bundles.
Simple facts Bert:
The market for TV advertising is at least ten times larger than the market for
SVOD service like Netflix.
The market for MVPD bundles is even larger.
Most homes that subscribe to Netflix ALSO subscribe to a MVPD bundle.
Regards
Craig
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