A recent study by Parks Associates showed that roughly half of those who said they would be willing to get HBO Now, plan to cancel their cable service. The survey also showed that 17% of households with broadband are interested in subscribing to HBO Now.
In 2013, 78% of US homes had broadband service or about 248.7 million people. That would mean 21.2 million of HBOs 35.4 million subscribers say they are interested in the new HBO Now service coming out later this month. This means 60% of current HBO subscribers in the United States plan to ditch cable and join the cord cutting ranks. (Note: these numbers are US only. HBO has about 114 million subscribers worldwide.)
HBO Now will allow non-cable subscribers to access HBOs content live and on-demand without a cable subscription. The service costs $14.99 a month and will start rolling out later this month. At launch, HBO Now will only be available to Apple customers, but will be available to everyone later this year.
With CBS and Showtime joining, HBO is offering an OTT service and growing competition from Netflix, Hulu, and Amazon the cable industry should be very concerned. It is evident that 2015 is quickly becoming the year cord cutting becomes main stream.
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