U.S. Cable Operators: Stronger Revenues Coming From Broadband

U.S. cable operators will continue to see revenue growth in the coming years -- but much more with broadband than video business.

Broadband subscriptions will climb 13% -- 8 million subscribers over the next 10 years, totaling 71 million, according to SNL Kagan.

This is more than one and a half times the total of video subscriptions. Basic video subscriptions will see a tiny overall 1.5% annual compounded growth -- getting to 45.4 million by 2026 -- this is slower than SNL Kagan’s 1.7% last year estimate.

Overall, SNL Kagan estimates that total revenues for residential video services will slip at a 0.5% compound annual rate over the next 10 years, totaling $55 billion annually by 2026.

Despite weakness in subscriber growth, cable operators will see gains when it comes to advertising -- climbing 4.3% through 2026 to total $6.3 billion.

Total residential revenues for U.S. cable operators -- broadband, video, and commercial services -- are set to climb 9% over the next ten years to $117.7 billion in 2016 from $108.4 billion this year.

Total revenues -- including commercial services -- will see an 8% growth over 10 years to $140.99 billion.

advertisement

advertisement

Next story loading loading..