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America Cable TV Revenue to Drop by $2.7 Billion from 2016 to 2026 as Broadband Increases $11 Billion


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As a result Comcast will be doing better than ever.

The triple threat to the pay-TV biz — cord-cutters, cord-shavers and cord-nevers — will drive down U.S. cable operator’s video revenue 4.7% by 2026, even as monthly cable TV bills will continue to climb, according to a new forecast from SNL Kagan.

Total residential video revenue for Comcast, Charter Communications and other American cable operators is projected to fall from $57.7 billion in 2016 to $55.0 billion annually in 2026, declining at a compound annual growth rate of 0.5% over the next 10 years, according to SNL Kagan. That’s as basic video subscriptions are projected to drop from about 53 million today to 45.4 million by 2026.

But don’t weep for the nation’s cable guys — thanks to 13% rise in broadband subs, they’ll rake in more than $11 billion in additional cash from residential broadband over the same time frame. And, on an operating basis, broadband is far more profitable than TV.

SNL Kagan expects U.S. cable broadband subs to increase by more than 8 million in the next 10 years, to reach 71 million by 2026. That will drive up revenue for the segment from $35.5 billion this year to $47.3 billion.

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