Strategy Analytics research has provided further evidence for the growing strength of the of virtual multichannel video programming distributor sector noting that the US TV sector added 868,000 subs in the second quarter of 2018 up 118% annually.
According to the US Pay TV and Video Subscriber Update - 2Q 2018, this means a total of 6.73 million vMVPD subscribers in the US by the end of the quarter and the rise compares very favourable to a general US pay-TV market which Strategy Analytics calculates fell to 93.78 million, breaking a string of two consecutive quarters of growth.
This fall for the cable, satellite and IPTV companies, in total 973,000, was nearly as many subscribers as the prior two quarters combined, 1.16 million. The analyst also found that in the second quarter total legacy pay-TV subscriptions fell to 87.05 million, down 3.6% year-on-year. Cable subs fell annually by 2.3% to 46.347 million; satellite, tumbled 5.2% to 30.637 million; IPTV subs slid 4.2% to 10.066 million.
Sling TV was the leading vMVPD in the second quarter growing its subs base 25.9% to total 2.344 subs. It was followed by DIRECTV NOW with 1.809 million subs; the rapidly growing Hulu Live TV on 955,000; PlayStation Vue with 745,000; YouTube TV with 410,000; fuboTV on 325,000; and Philo with 150,000.
“While the entire vMVPD segment is growing, AT&T’s DIRECTV NOW deserves special notice given how rapidly it has grown in a fairly short period of time,” said Michael Goodman, director, television and media strategies, explaining the trends uncovered in the US Pay TV and Video Subscriber Update - 2Q 2018 report.
“If it continues on its current growth trajectory it will overtake Sling TV as the largest vMVPD in early 2019. Historically, pay-TV in the US has consisted of cable, satellite, and IPTV; however, the introduction of over-the-top pay-TV services [vMVPDs] necessitates a change in our thinking. What we have commonly referred to as pay-TV (cable, satellite, and IPTV) should now be referred to as legacy pay-TV, while the definition of pay-TV should include vMVPDs.”
This fall for the cable, satellite and IPTV companies, in total 973,000, was nearly as many subscribers as the prior two quarters combined, 1.16 million. The analyst also found that in the second quarter total legacy pay-TV subscriptions fell to 87.05 million, down 3.6% year-on-year. Cable subs fell annually by 2.3% to 46.347 million; satellite, tumbled 5.2% to 30.637 million; IPTV subs slid 4.2% to 10.066 million.
Sling TV was the leading vMVPD in the second quarter growing its subs base 25.9% to total 2.344 subs. It was followed by DIRECTV NOW with 1.809 million subs; the rapidly growing Hulu Live TV on 955,000; PlayStation Vue with 745,000; YouTube TV with 410,000; fuboTV on 325,000; and Philo with 150,000.
“While the entire vMVPD segment is growing, AT&T’s DIRECTV NOW deserves special notice given how rapidly it has grown in a fairly short period of time,” said Michael Goodman, director, television and media strategies, explaining the trends uncovered in the US Pay TV and Video Subscriber Update - 2Q 2018 report.
“If it continues on its current growth trajectory it will overtake Sling TV as the largest vMVPD in early 2019. Historically, pay-TV in the US has consisted of cable, satellite, and IPTV; however, the introduction of over-the-top pay-TV services [vMVPDs] necessitates a change in our thinking. What we have commonly referred to as pay-TV (cable, satellite, and IPTV) should now be referred to as legacy pay-TV, while the definition of pay-TV should include vMVPDs.”
