When the cost of the materials that go into a product become more expensive, so does the product itself. Product makers are generally businesses, designed to make money, so instead of take the hit, they pass costs on to their customers instead. Cable TV works the same way, and as the cost of content skyrockets, so too have cable bills. It’s not hard to see why. Cable customers expect to see certain channels on TV when they pay triple digit bills each month, so when those networks go to negotiate with cable providers, they hold all the cards and can demand any price they want. Plenty of money gets thrown around by these networks in the production of these shows as well, all in pursuit of the next big hit. Fox reportedly spent $50 million dollars on Utopia alone, a show that never did particularly well, and was canceled mid-season. That show alone should be living proof that more expensive does not always mean better, especially when it comes to entertainment.
With content itself being so expensive, could simply ditching the cable company be enough to avoid those high costs? In theory, if you want content, and content is what’s driving the cost, you’d still be paying a lot for it from whatever source you got it from. But one of the real problems with traditional Pay TV is that you’re paying for far more than it’s even possible to watch. 24 hours of content on hundreds of channels, 7 days a week, 365 days a year. Cord cutters still watch many of the same shows that cable subscribers do, but rather than having it bundled with other content that they don’t watch but still pay for, their must-watch shows are instead supplemented by much cheaper alternatives.
While services like Netflix and Hulu often come up when the media industry discusses cord cutters, some of the best sources of the most compelling content are often absolutely free. Video sharing sites like YouTube, DailyMotion, Twitch and others each have millions of users creating content, some of which grabs more eyeballs than the top shows on television. There are YouTube channels with millions of subscribers and billions of total views. Viral videos can draw millions of views in less than a day. It’s easy to forget about or dismiss these internet stars, but the truth of the matter is that YouTube and other sites are also home to extremely high quality content, which very often costs next to nothing to produce.
There’s a reason that Smart TVs, Roku, tablets, phones, and other such devices and services include YouTube apps. For cord cutters, it’s economics at work. When one thing becomes too expensive, people begin to substitute something more affordable in its place. Cable subscribers don’t have that option, since their bill remains the same regardless of how much they actually watch. But as more people cut the cord, the day could be fast approaching when the networks start to see themselves in competition with online video. When consumers actually get to choose between paying up one way or another for network programming, and entertaining themselves with freely available content, it’s going to put the brakes on soaring content prices. Competition brings prices down, and in a future where web-delivered TV is the norm, the networks will increasingly be competing with free online programming. It may take some time for consumer attitudes to change, but nothing is more certain to accomplish that than content prices that only move in one direction: up.
FreeCast Inc built Rabbit TV Plus with the future in mind. All of that great free content available online forms the backbone of our service, making it entirely possible to pay only $10 a year for TV service and still have plenty of high quality content to enjoy every day. For those who want to see the latest network shows, Rabbit TV Plus also makes it possible to get nearly everything you’d see on cable, either via additional subscriptions, or à la carte, while still paying far less. We curate all over-the-top content sources to bring users the highest quality content, much of which you might be surprised to learn is free.