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Streaming TV's Golden Age in Peril Amid Cord-Cutting Fears

"Hulu's DNA has been recent episodes of TV shows," said Glenn Hower, an analyst at the research firm Parks Associates.

The apparent anxiety at television companies is common to any industry that's faced what Harvard business professor Clayton Christensen calls "The Innovator's Dilemma." That's when established companies find their big, lucrative businesses undercut by innovative rivals with cheaper -- and, at least at first, less profitable -- alternatives. The big companies can't embrace the new approaches without helping cannibalize their own cash cows.

From the article "Streaming TV's Golden Age in Peril Amid Cord-Cutting Fears" by Anick Jesdanun.

Previously In The News

The Simple Reason Why I Won't Buy Roku Inc.

Roku (NASDAQ:ROKU) went public on Sep. 28, its stock surging nearly 70% from its IPO price of $14 per share. The stock hit almost $30 the following day, but subsequently pulled back to the low $20s....

AT&T Deal: Merger For New Media Era Or A Bad Remake?

Pay-TV operators are seeing a "slow erosion of the core business," analyst Brett Sappington at Parks Associates said. "After years of attempts to be more than just a 'dumb pipe,' pay-TV operators h...

Roku Plunges: 3 Reasons to Buy, 4 Reasons to Sell

Last August, Parks Associates reported that Roku controlled 37% of the streaming device market in the U.S., while Amazon, Google, and Apple held shares of 24%, 18%, and 15%, respectively. All three of...

Netflix Is Killing It—Big Time—After Pouring Cash Into Original Shows

“There seemed to be an attitude around the industry that after House of Cards and Orange is the New Black, there was no way Netflix could catch lightning in a bottle again,” says Glenn Hower, a senior...

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