One in five American pay-TV subscribers may cancel service in the next few years, primarily because they find multichannel video services too expensive, according to a new survey by Credit Suisse.
Overall, 25% of consumers surveyed by the firm currently subscribe to or use an over-the-top service, such as Netflix, Hulu Plus or Amazon Prime Instant Videos. Roughly half of those said they use these services as a substitute for pay TV, with the other half indicating that Internet-delivered video services are complementary to cable, satellite or telco TV, Credit Suisse found.
Among those who don't subscribe to pay-TV, 50% said the reason was the high cost of multichannel video services -- the single biggest factor cited. Other reasons non-pay TV users cited were that they "don't watch a lot of TV" (22%), "just watch broadcast TV over the air" (16%) and "don't find pay TV channels compelling" (14%).