For the first time ever, the number of Americans paying for online video services has surpassed the number paying for cable or satellite TV.
Deloitte released data, reported by Fortune, showing that 69% of consumers are paying for internet video services while 65% are paying for cable or satellite TV services. These numbers are the result of a growing cord cutting industry and more consumers choosing to end their cable contracts.
This change has been relatively recent. In fact, just 10 years ago in 2009, only 10% of consumers were paying for streaming services. That number quickly jumped to 55% the following year.
Gen Z (ages 14 to 21) and millennials (ages 22 to 35) accounted for the largest portion of consumers choosing streaming video. Of Gen Z consumers, 80% were subscribed to streaming services while 57% chose pay TV. Of millennials, 88% were subscribed to internet TV with 51% choosing pay TV.
One other important stat to note is that 43% of consumers are still paying for both internet streaming services and cable or satellite services.
The data wasn’t all bad news for pay TV services. Some companies, like Comcast, noted that they’re still benefitting from consumers choosing streaming services because they sell internet services in addition to pay TV.
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