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Standalone HBO GO Service Likely to Spur Further Cord-Cutting: Report

January 25, 2015

Is access to Game of Thrones, Girls, and other HBO content enough to make consumers cancel the rest of their pay tv subscription? New research from Parks Associates says the answer may be "yes—but not necessarily in numbers that should have cable and satellite providers worried.

According to a new report called "Consumer Segmentation: OTT Video Buyers," only 17% of U.S. broadband subscribers are likely to subscribe to HBO GO when it becomes available, reportedly in April. Of that 17%, 91% are current pay TV subscribers, and about half of those say they'd cancel their pay tv service if when they do. The report is based on a survey of 10,000 respondents in Q4 2014.

But even the research firm itself admits that those numbers might not represent reality. "Just because somebody says on a survey that they're going to do something doesn't mean they actually are," Parks Associates research analyst told The Huffington Post. As compelling as a standalone HBO GO service is likely to be—assuming it offers exactly the same content that the current, TV Anywhere version does—it may not be enough to make up for all of the content that subscribers get with their pay TV service.

From the article "Standalone HBO GO Service Likely to Spur Further Cord-Cutting: Report" by Eric Schumacher-Rasmussen.

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