VMVPDs a Bright Spot in Pay-TV Exodus: Parks

The U.S. pay-TV industry lost more than 18 million subscribers 2014-2020, including 7 million last year, said Parks Associates Thursday. Traditional pay-TV services had about 10 million sub losses in 2020, Parks said, while overall pay-TV subscriptions fell 7 million, as virtual MVPDs gained 3 million subs, said analyst Kristen Hanich. The only pay-TV category with growth during the COVID-19 pandemic, vMVPDs now account for 16% of U.S. pay-TV households, and are expected to increase to 23 million by 2024 vs. 53 million for traditional pay-TV, Hanich said. ISPs and others operating in pay TV are looking for alternatives to traditional pay TV, said the analyst. Cable companies had some success in bundling around Wi-Fi-first mobile virtual network operator services, primarily running on Verizon’s network, Hanich noted. A Q1 Parks survey showed 4% of broadband households subscribed to Comcast Xfinity Mobile, Spectrum Mobile or Altice Mobile. With over 110 million residential and small business internet subs, U.S. ISPs can leverage the “massive subscriber base,” Hanich said.