Mobile

Short Take: Cable subscriber growth slowing, study says

Facing market saturation and intense competition from direct broadcast satellite (DBS) operators, cable operators will face slower video subscriber growth over the next few years, according to a new study from the Strategis Group. The report predicts cable will gain only 1.1 million new subscribers by 2004 while the DBS providers will nearly double to 21 million customers by 2004. The slower growth puts immense pressure on cable operators to launch new services such as cable modems, local phone service and interactive TV, Strategis said. Additionally, nearly 12 million people will use cable modems by 2004.

Facing market saturation and intense competition from direct broadcast satellite (DBS) operators, cable operators will face slower video subscriber growth over the next few years, according to a new study from the Strategis Group. The report predicts cable will gain only 1.1 million new subscribers by 2004 while the DBS providers will nearly double to 21 million customers by 2004. The slower growth puts immense pressure on cable operators to launch new services such as cable modems, local phone service and interactive TV, Strategis said. Additionally, nearly 12 million people will use cable modems by 2004.