Canadian Cord-Cutting in Lockstep With U.S. (Report)
TORONTO – Canadian cord-cutting has picked up steam, mirroring the U.S. trend of declining TV subscribers.
The latest financial results from Canadian cable, satellite and phone companies illustrates a decline in TV subscribers in each of the last three fiscal quarters, according to a research report from consulting firm Boon Dog Professional Services.
And the pace of cord-cutting is increasing.
Canadian carriers lost an estimated 19,624 TV subscribers combined in the second quarter of 2013, according to the report.
In the first quarter of 2013, carriers lost 5,394 TV subscribers. That followed an estimated 8,175 customers lost by all carriers in the fourth quarter of 2012.
That’s only a sliver of the domestic TV market, which includes 11.8 million households.
But the latest severing comes as digital insurgents like Netflix Canada and iTunes continue to take subscribers away from domestic TV carriers.
“Interestingly, the cord-cutting situation in Canada mirrors what is happening south of the border,” said Mario Mota, Boon Dog partner, referencing U.S. analyst Craig Moffett of Moffett Research, who recently noted that the number of U.S. TV subscribers has shrunk for three consecutive quarters.