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Cable and Satellite Services are Dead, Long Live Video Streaming.

Dur­ing a recent con­fer­ence Net­flix CEO Reed Hast­ings per­ceived that lin­ear TV (basi­cal­ly cable and satel­lite ser­vices) would start to decline in view­er­ship and that in the next two decades Inter­net TV would take over. Well the results as of late make his pre­dic­tions appear to be true. Net­flix (find jobs at Net­flix) shares have soared 70% this year as the video stream­ing leader has topped sub­scriber growth expec­ta­tions twice; it added near­ly 2.28 mil­lion domes­tic mem­bers in its most recent quar­ter, rep­re­sent­ing near­ly 20% growth from the pre­vi­ous year.

People’s rela­tion­ship with tra­di­tion­al TV has grad­u­al­ly been chang­ing; mil­len­ni­als have been decreas­ing Lin­ear TV con­sump­tion, which dropped by 20% last year. Accord­ing to media research firm Mof­fett Nathanson, pay-TV sub­scrip­tions fell by 31,000 in the first quar­ter. The first set of data on pay-TV sub­scrip­tions for the year has come in, show­ing that the indus­try is declin­ing faster than thought.

It’s a cord-cut­ting rev­o­lu­tion which appears to be accel­er­at­ing. Pay-TV sub­scrip­tions fell by 95,000 in 2013 and increased to 125,000 in 2014. About 150,000 pay-TV cus­tomers can­celed video ser­vice in the three months that end­ed June 30, accord­ing to esti­mates pub­lished on Fri­day by Leicht­man Research Group. It could be pos­si­ble this year the loss­es could be well beyond a mil­lion. Tra­di­tion­al TV view­ing hours have also plum­met­ed by about 10%, an indi­ca­tion that con­sumers are let­ting go of cable and satel­lite TV but still pay­ing for them.

These kind of fig­ures should cre­ate more com­peti­tors like HBO (find jobs at HBO) and Show­time (find jobs at Show­time) to start cut­ting their cords to offer more stream­ing options; which will only increase the speed of Amer­i­can con­sumers to do the same. Take for instance Hulu recent­ly pur­chas­ing the entire Sein­feld series and a promise to juice up its orig­i­nal pro­gram­ming in the same fash­ion that has done with its Gold­en Globe win­ner pro­gram Trans­par­ent and a new TV show cre­at­ed by Woody Allen.

Here are some inter­est­ing stats — the 13 biggest pay-TV ser­vices in the U.S., which account for about 95% of the mar­ket, reach 95.3 mil­lion U.S. homes with a pay-TV ser­vice, accord­ing to Leicht­man’s esti­mates. Time Warn­er Cable (find jobs at Time Warn­er) lost the most with 182,000 defec­tions, fol­lowed by Com­cast with 81,000, accord­ing to Leicht­man. Com­cast, the biggest cable com­pa­ny in the U.S., is seek­ing per­mis­sion from reg­u­la­tors to buy Time Warn­er Cable, the indus­try’s sec­ond-biggest, for $45 billion.

AT&T, with its U‑verse fiber-optic TV ser­vice, picked up the most sub­scribers with 216,000 new cus­tomers, Leicht­man said. AT&T is seek­ing per­mis­sion to buy satel­lite-TV provider DirecTV, which lost 28,000 sub­scribers, for $48.5 bil­lion. It seems like now is the time to be seek­ing a media job with a stream­ing video com­pa­ny. If you’re already in a lin­ear TV job, per­haps you need to rethink your future.

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