Leichtman: Major MVPDs Add 380K Video Customers in 2011
Major multichannel video programming distributors added about 380,000 video customers in 2011, according to Leichtman Research Group.
While the numbers are less than the 550,000 video customers MVPDs added in 2010, Leichtman noted that the decline was mainly due to fewer additions at subscriber stalwarts like DirecTV and Verizon Communications' FiOS TV service. Cable operators, who for years have continued to increase video losses annually, began to turn back the tide in 2011, shedding 1.62 million total video subscribers in the period, 160,000 customers better than the 1.78 million they lost in 2010.
Leichtman Research looked at 14 of the top video service providers, including major cable companies like Comcast and Time Warner Cable; satellite giants DirecTV and Dish Network; and telco video providers Verizon and AT&T. Combined, Leichtman Research estimates the companies represent about 94.5 million subscribers, or about 94% of the pay TV market.
While cable showed improvement, others showed that video customer growth is slowing down. Satellite providers added about 496,000 video customers in 2011, compared to 696,000 additions in 2010; and telcos added 1.51 million video subscribers in 2011, versus 1.64 million in 2010.
But the sector showed promise in the fourth quarter when MVPDs added 230,000 video subscribers, compared to 90,000 additions in the same period in the previous year.
"Despite a relatively saturated market, low housing growth, and an increase in ‘over-the-top' alternatives, the multi-channel video industry grew modestly in 2011," said Leichtman Research Group president and principal analyst Bruce Leichtman, in a statement.
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