New Strategies to Cut the Cable Cord

Next-generation strategies for getting rid of cable once and for all.

(Image credit: Zlatan Mojsilovic)

The pioneers who dared to declare their independence from cable had to be prepared to make sacrifices. Streaming video services from Amazon, Hulu and Netflix offered plenty of movies and previously aired TV shows, but for the most part, watching live TV wasn’t an option. Sports fans could use an antenna to catch games on broadcast networks or subscribe to streaming services dedicated to specific sports leagues, but ESPN was out of reach.

In 2015, Sling TV cracked open the market for live TV over the internet, offering an online streaming package of several channels, including ESPN, traditionally found only if you subscribed to cable or a satellite TV service. Since then, the movement to sever the tether has snowballed. The media companies that create and own programming have been following the crowd by participating in live TV over the internet and releasing content to internet video services, says Craig Moffett, founder and senior research analyst at telecommunications research firm MoffettNathanson.That has cannibalized the more lucrative business of selling programming to traditional cable and satellite operators—and customer losses among traditional providers have mounted, says Moffett. In the first quarter of 2017, providers of cable, satellite and telecom lost 762,000 subscribers, compared with a 141,000 drop a year earlier, according to MoffettNathanson. Meanwhile, Sling TV and DirecTV Now (both internet-delivered services) gained a total of 305,000 customers between them.

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Lisa Gerstner
Editor, Kiplinger Personal Finance magazine

Lisa has been the editor of Kiplinger Personal Finance since June 2023. Previously, she spent more than a decade reporting and writing for the magazine on a variety of topics, including credit, banking and retirement. She has shared her expertise as a guest on the Today Show, CNN, Fox, NPR, Cheddar and many other media outlets around the nation. Lisa graduated from Ball State University and received the school’s “Graduate of the Last Decade” award in 2014. A military spouse, she has moved around the U.S. and currently lives in the Philadelphia area with her husband and two sons.