Switching Away from Cable: Too Much Work?

In the third quarter 2017, TiVo Digitalsmiths surveyed approximately 3,000 U.S. households and asked respondents what TV channels they would want included in a customizable bundle.  There was good news and bad news for Disney.  Among the top twenty channels, ABC was ranked the most preferred, with 66.3% indicating a preference for it to be included in an a la carte bundle.  CBS (63.6%), Fox (59.4%) and NBC (55.4%) were ranked second to fourth and the FX Network was ranked sixth.  Disappointingly, ESPN (39.6%) was ranked 17^th.

This got me thinking.  What channels would be “must-haves” for my family and would a new bundle and service make me/us happier?  A critical part of answering this question is defining happiness in terms of channel access and what I would like to pay for it.  Full disclosure: This is not the first time I sat down to figure out how to save money on the cable bill.  Each time, I got frustrated as it seemed to take way too much time to compare options among just four options– Verizon FiOS (current provider), Comcast, AT&T/DirecTV, and Dish.

As I compare options, I check for the inclusion of the broadcast networks, ESPN’s suite of channels, and news and entertainment channels like CNBC, TNT, and TBS.  This handful of channels are all part of my current bundle with Verizon FiOS that are included in a triple play for $119.98 per month ($139.99 with a $20 discount).  Specifically, I get 425+ channels (Ultimate), Internet (50/50), digital voice, 3 set-top boxes, and DVR service.  I subscribe separately for Netflix and Amazon Prime. 

From what I can tell, a “comparable” service from Comcast, excluding cable box rentals and DVR service, would be its Select service at a monthly price of $99.99 for digital voice, 210+ channels, and internet download speed of 150 mbps.  I would have to agree to a two-year term.  I could go “crazy” and sign up for the OTT service, DirecTV Now, and get 85+ channels for $55 per month.  There would be no cable box rental fees, but I would have to buy unbundled internet access from a broadband provider (Verizon or Comcast) at a price of about $50 per month for 100 mbps download speed.  I would also need Smart TVs or streaming players (e.g. Roku) to view video on my TVs. 

As I write, I am getting more frustrated and coming to the realization (again) that I probably will maintain the status quo.  The differential is not significant enough while the opportunity cost of switching seems too burdensome.  They got me, but I’m not happy!