Networking and IT giant Cisco has reported quarterly results topping analysts' expectations, but it forecast adjusted profit and revenue growth for the second quarter below analysts' estimates.
Sony has reached a broad-ranging deal with Disney and ESPN Media Networks to their content to the PlayStation Vue Internet TV service.
Broadcasters in the US play an important role in the marketplace of ideas – and one that won’t be disappearing any time soon.
In what he called a sign of the “post-advertising era,” TDG analyst Alan Wolk noted that Hulu’s announcement that it would run interactive sponsorships using technology from recent FOX acquisition TrueX could be a savvy model for the future.
Hulu is looking to sell a 25% stake to Time Warner Inc, which would include cash and content licensing, valuing the streaming company at more than $5 billion.
The latest round of media earnings are starting to come in, and so far, it’s been a mixed bag.
Comcast, Time Warner Cable log big broadband advances
Overall, cable operators in the US added 804,000 subscribers, according to Strategy Analytics — good news given the sector’s previous history, which has seen nothing but TV subscriber losses quarter after quarter after quarter. Given the ongoing migration of viewership to online, the trend signifies an opportunity to maintain video engagement with subscribers despite erosion in cable MSOs’ traditional bases.
The Strategy Analytics report indicates that the top 19 tracked operators in the US have seen strong growth in 2015, adding more than 2.1 million new subscribers through the third quarter.
In another positive note for the service providers, broadband average revenue per user (ARPU) continues on an upward trajectory. In the third quarter results, Broadband ARPU was up between 2% and 7% across cable and telco providers. Operators are investing in capabilities to offer higher-speed tiers to accommodate the influx of streaming video, and customers are responding favourably.
However, there was a fly in the ointment in the results. The total number of US broadband subscribers only increased by 679,000 due to losses in DSL and slower growth in fiber subscriptions at AT&T and Verizon. Over the past 12 months, Comcast and Time Warner Cable have accounted for 71% of the 3 million new broadband subscribers. In the third quarter, AT&T lost 106,000 subscribers and Verizon added only 2,000.
"Cable operators continue to increase market share in US broadband," said Jason Blackwell, director of the Service Provider Strategies (SPS) service at Strategy Analytics.
He added, "Over the past 12 months, Comcast has accounted for 42% of new subscribers among the operators that we track. Fibre growth is still strong, but the telco operators haven't been able to shake off the losses of DSL subscribers. In 2016, we expect to see a real battle in broadband, as cable operators begin to roll out DOCSIS 3.1 for even higher speed offers, placing additional pressure on telcos."