Today we learned that Charter Communications, the parent company of Spectrum, has once again lost 241,000 TV customers in the 1st quarter of 2023. Spectrum also reported that they lost over 220,000 voice customers as many Americans turned away from traditional phone lines and TV services. Spectrum did add 76,000 internet customers during that time.
The rate of cord cutting is once again speeding up in 2023, as in 2022, Spectrum only lost 112,000 TV customers during the same time. This means that the growth of cord cutting has more than doubled over the last year.
Spectrum did add 686,000 wireless customers in the 4th quarter of 2022. This comes as Spectrum tries to use wireless to offset its TV and voice losses.
“In the first quarter, we made significant progress on our three key initiatives — evolution, expansion and execution,” said Chris Winfrey, President and CEO of Charter. “Our customer-first strategy is focused on delivering a differentiated, converged connectivity product that delivers the fastest speeds and saves customers money, while simultaneously driving growth and creating long-term value for Charter shareholders.”
Spectrum did see revenues up 3.4% to 13.7 billion. Internet revenue grew by 4.9% year-over-year thanks to new customers and “rate adjustments,” as Spectrum says.
Spectrum says video revenue is down about 2.1% to $4.3 billion. Spectrum says this drop in video revenue was driven by “a higher mix of lower priced video packages within Charter’s video customer base and a decline in video customers during the last year, partly offset by promotional rate step-ups and video rate adjustments that pass through programmer rate increases.”
Spectrum did report that mobile services revenue totaled $497 million, up 28.3% year-over-year.
Over all, Spectrum like Comcast and others, is facing the fact that cord cutting is speeding up with no signs that it will slow down.
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