Our weekly news brief summarizes cordcutter news from around the Web. In this week's round-up: Hulu invites beta testers for new streaming service, Slingbox production ceases, streaming services move toward content exclusivity, AirTV launch misses mark on channel integration, and more.
Netflix ended 2016 with 4.1 million DVD-by-mail customers, a loss of 159,000 subscribers in the 4th quarter alone. Although that's an 11-year low (DVD subscribers declined by nearly 10 million over the past 5-1/2 years), the service is reportedly extremely profitable, subsidizing Netflix's streaming expansion outside the U.S.
Fifteen percent of U.S. households with broadband use only antennas to receive TV according to research from Parks Associates. As antenna use has increased, "Pay-TV subscriptions have dropped each year since 2014, falling to 81% of U.S. broadband households in Q3 2016," said Brett Sappington, Senior Director of Research at Parks Associates.
Those looking for an alternative to Sling TV, DirecTV Now, and Playstation Vue can sign up for a chance to try a beta version of Hulu's new streaming service by visiting experiencehulu.com. Hulu has been sending out private invites for the service, which will include programming from CBS, Time Warner, Disney and Fox.
Will streaming TV services follow the music streaming service model of exclusive content? Julia Alexander, in an article for polygon.com, writes that "the future of television is exclusive streaming via specific apps." She gives some examples: "Showtime is exclusively streaming a few of its new Twin Peaks episodes. The CW stopped giving Hulu the exclusive rights to carry episodes of its series the day after they aired, and instead started streaming through its own app. CBS launched its own streaming service, CBS All Access, and confirmed its upcoming Star Trek: Discovery series would be the only place North American audiences could watch the show."
Before Sling TV, PlayStation Vue and DirecTV Now there was Slingbox, a set-top box that allows users to stream local video from an antenna, cable or DVR to remote Internet-connected devices. In a Zatz Not Funny post, Dave Zatz says that he has confirmed a Multichannel News report that Sling Media has discontinued production of the Slingbox. The company will continue to sell existing stock and promises to continue to support Slingbox owners into the future.
As we recently noted, Roku expects a 50 percent increase in the number Roku TV models in 2017. However, Haier will not be among those new models. Haier is dropping the Roku TV platform and adopting the Chromecast built-in platform. A Haier spokesperson said that "with Google, we can better leverage Haier’s global footprint and develop platforms which we can use in different countries," a reference to Roku's current heavy focus on North American growth rather than international growth. For its part, Roku plans to continue supporting for Haier's Roku TV with regular software updates.
In a recent survey commissioned by a streaming security company, nearly
one-third of those surveyed admitted to watching pirated video. Nineteen percent of those watching pirated video said they would stop doing so "if made aware that doing so has a negative impact on studios' ability to create new material." "It's not always clear to consumers which services are legitimate and which are illegal. Pirate sites offer multiple channels and carry ads for legitimate brands."
Early buyers have been disappointed to discover that Dish's AirTV does not yet integrate local broadcast channels with Sling TV's cable channels, as had been shown at this year's CES. While offering to give refunds to unhappy customers, a spokesperson told TechCrunch that "AirTV’s upcoming software update, currently undergoing testing, will place available OTA channels directly in the Sling TV channel guide and in a separate Locals ribbon on the My TV tab... We expect this software to automatically roll out to all AirTV boxes in February."
AT&T's many problems with the newly-launched DirecTV Now service have been widely reported. To make matters worse for frustrated customers, AT&T is refusing to issue refunds to those who cannot use the service they paid for. AT&T is going so far as to deny refunds within the 7-day free trial window if the cancellation isn't done by 7pm EST.
Meanwhile, Sling TV CEO Roger Lynch has been responding to DirecTV Now complaints on Twitter by by telling users to "Try @Sling instead!"
