Commentary

Cable-Streaming Costs: A Necessity? But With Options

What’s more important to consumers' monthly spending -- TV/streaming access or electricity?

No doubt both. But at least there are options with the former.

Average cable/satellite monthly costs for the total U.S. consumers are currently estimated at $125 per month. Electricity is just $4 more than $129 according to new data from doxoINSIGHTS.

The survey shows high-profile comparisons between the two, and may offer a new perspective on home necessity and optional discretionary spending: 74% of U.S. households have cable/satellite bills, with a total market size of $172 billion. Electricity? According to the research, 90% of U.S. households have one of those bills.

Both cable/satellite and electricity amount to around $1,500 in annual costs -- behind a monthly mortgage ($1,759), rent ($1,453) and auto loan payments ($487).

advertisement

advertisement

Streaming/over-the-top platforms can add to those home TV-media access purchases of around $70 to $100 per month, according to an Adwave report.

Totaling up broadband, traditional cable/live-TV, mobile data -- and an average suite of four streaming video services -- can now bring a monthly consumer's cost to $280 a month, or around $3,350 annually, according to other estimates.

So electricity may seem like a bargain to some at $1,500 -- although those costs are climbing as well.

Against all of this, future streaming platforms (and legacy pay TV executives) are always judging where pricing can go -- seemingly even as the marketplace matures.

Executives may worry about consumers "churning" cadences -- where TV consumers sign off and then sign on to the same or different platforms.

But the good thing is that churn is now at a steady and fairly low 4% rate, according to subscription researcher Antenna.

On average premium streaming platforms raise prices every 12 to 18 months, usually timed late in the third quarter -- just before the traditional start of the TV season -- or early in the fourth quarter.

In recent periods, those high-profile streaming price hikes have been around 14% to 17% per year, which works out to around $1.50 to $1.70 per month.

Ad-free subscriptions have borne the worst of these increases. Still, the popularity of ad-supported subscriptions continues to grow.

So, the good news? There are lots of option variations for consumers that make them feel in control. Electricity for consumers does not offer many of the same options.

But perhaps some utilities may believe an ad-supported option could boost revenues. Geico outdoor signage on some low-hanging solar panels, anyone?

1 comment about "Cable-Streaming Costs: A Necessity? But With Options".
Check to receive email when comments are posted.
  1. Ed Papazian from Media Dynamics Inc, August 31, 2026 at 4:22 p.m.

    Wayne, they said that 74% of all homes are "pay TV" homes per your report. Doesn't that figure seem rather high?

Next story loading loading..