Why users should ditch the cable and stream online

by Mike Rehan

The trend of choosing to watch TV online has attracted many people over cable television. More than half of the world is switching to streaming shows online. Many big companies are moving towards this trend. Redbox which is a DVD vending machine is teaming up with Verizon wireless to allow viewers to stream premium quality DVDs online. Netflix has been generating more than 60% of business in the mail in DVD segment, but since the cable industry seems to be dying out, they’re planning to shift over to online streaming.

With cable television slowly becoming the least popular choice, many have and are considering cutting the cable. Many believe that online streaming has more choices and its cost friendly. For example, a subscription to Netflix will cost 7.99 per month. Vudu which is owned and operated by Wal-Mart is offering a similar price to allow unlimited streaming.

This is a lot less of what Direct TV and Comcast are charging. For example, with cable, an average family is paying close to $50 per month on basic cable which doesn’t include the top channels like TBS, TNT, CW. Studies have predicted that by the year 2015, 10% of the world is going to cut the cord and emerge into online streaming. This study correlates to the amount of users that are already online today. Cutting the cord trend is attracting celebrities in creating Web series. In fact, World Wrestling Entertainment has recently developed a channel on YouTube dedicated to Web series. Also, Yahoo is partnering with ABC news to bring web videos while YouTube is investing $100 million on original programming.

Companies like Android, Apple, and Blackberry have allowed users to stream premium content on their tablets and mobile devices. Companies like Netflix, Hulu Plus have created applications for mobile and tablet devices to allow users to stream their content online. Sites like is getting in on the mobile application trend by allowing users to search for their favorite video content and watch online on their devices. Nearly 10  per cent  of the North American population owns a tablet and the numbers are expected to double as time progresses.

With online streaming, users are able to get more choices in premium content. Compared to cable television, the internet has double the amount of available video choices. In fact, has over 13,000 videos indexed on their site from several trusted sources which allows users to watch TV shows online. That alone is more than the available content that cable television has to offer. Blockbuster will also be entering into the online streaming game and allow most of the DVD content made available online for streaming towards the end of this year.

With the talk that is been associated with cutting the cord, companies like Samsung, Sony and Panasonic will face some challenges, but now they are offering TV’s that are equipped with an internet connection, and Wi-Fi access. Streaming on Television sets began with Boxee. Boxee had introduced the internet TV by allowing online content streamed through a live internet stick. Only a few Televisions had the option of an internet connection, but by the end of 2013, all TVs are going to be equipped with an internet connection. Internet televisions are one of the popular choices because it allows a family to sit together and enjoy the quality of watching TV while streaming the content online.

As you can see, the trend of moving towards the online streaming has and will increase over time. Most companies have already put plans into action for the new shift by partnering with wireless companies or expanded their online streaming segments. along with those companies is doing its part by indexing their content by allowing users to find premium quality TV show and movies and stream them on their PCs, tablets and mobile devices


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Jim Love, Chief Content Officer, IT World Canada

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