blog Market Intelligence /marketintelligence/en/news-insights/blog/traditional-multichannel-video-plummets-in-rural-areas content
Log in to other products

Login to Market Intelligence Platform

 /


Looking for more?

Contact Us

Request a Demo

You're one step closer to unlocking our suite of comprehensive and robust tools.

Fill out the form so we can connect you to the right person.

If your company has a current subscription with S&P Global Market Intelligence, you can register as a new user for access to the platform(s) covered by your license at Market Intelligence platform or S&P Capital IQ.

  • First Name*
  • Last Name*
  • Business Email *
  • Phone *
  • Company Name *
  • City *
  • We generated a verification code for you

  • Enter verification Code here*

* Required

Thank you for your interest in S&P Global Market Intelligence! We noticed you've identified yourself as a student. Through existing partnerships with academic institutions around the globe, it's likely you already have access to our resources. Please contact your professors, library, or administrative staff to receive your student login.

At this time we are unable to offer free trials or product demonstrations directly to students. If you discover that our solutions are not available to you, we encourage you to advocate at your university for a best-in-class learning experience that will help you long after you've completed your degree. We apologize for any inconvenience this may cause.

In This List

Traditional Multichannel Video Plummets In Rural Areas

COVID-19 Impacts Incumbent Telco Revenues In Western Europe

Disney+ Ditches Free Trials — Will Other Big Streamers Follow Suit?

COVID-19 Pandemic Likely To Cause US Telemedicine Boom

Facebook's Payments Push Will Be Costly, Require Clever Collaboration


Traditional Multichannel Video Plummets In Rural Areas

Traditional multichannel cord-cutting is disproportionately affecting the United States's less-populated areas, according to an analysis of Kagan's MediaCensus residential video subscriber data.

With an estimated 82.3 million residential video subscribers, the national traditional multichannel penetration rate dropped to 65.2% as of Sept. 30, 2019. But a 21 percentage-point gap separated the nation's least populated counties from the most populous ones.

This may seem counterintuitive given the broadband gap between rural and urban areas, and an assumption that rural populations are less likely to have access to relatively inexpensive streaming video alternatives.

But it is important to keep in mind that affordability is one of the primary drivers behind cord-cutting. Rural areas are more often than not comprised of more economically vulnerable households.

Moreover, the economics of multichannel services are more challenging for the small operators that tend to serve rural areas. With video margins slipping into negative territory, smaller operators are increasingly less aggressive about chasing customers than their larger peers.

The dynamic also extends to satellite services, which, despite their scale, are losing subs at a significantly faster rate than their wireline competitors. This retreat from traditional multichannel has disproportionately impacted rural areas, where satellite penetrations tend to be higher.

SNL Image

Our analysis of the traditional multichannel penetration rate across variously populated areas involved a multi-step process. 

First, we compiled household, household per square mile and MediaCensus' traditional multichannel subscriber data at the county level.

Second, we divided the nation's more than 3,000 counties into six groups based on household-per-square mile data, aggregating households and video subscribers across each of the six categories to calculate their traditional multichannel penetration rates.

Learn more about Market Intelligence
Request Demo

US Broadband Only Homes Surge in Q3 Ahead of Disney+ Launch

Learn More

Q3 traditional video decline hits nearly 1.9 million amid modest virtual gains

Learn More

Satellite services face protracted decline in DBS outlook

Learn More