While politics might be the prevailing family fight-starter during the holiday season, a close second in many households these days is the concept of cord-cutting. Some argue that between the cost of cable and internet bundles with major providers are expensive; others argue that the continually rising cost of streaming services will cost more in the long run. No matter what side of the debate you fall on, as the world of streaming services evolves, the question of which avenue provides the most savings is one worth exploring.
The common denominator between both camps is the cost of internet service. After all, you can’t have streaming without the internet. Cable companies such as Spectrum, WOW! And AT&T typically offer savings for new customers that drive down the initial cost of internet service. This can range from $30-$100/mo, depending on the needs of your household. The addition of a basic cable package, which would include around 160 channels, including associated taxes, fees, and equipment, could net you about $125-$150/mo.
The benefit of this total-package is obvious. Paid once monthly, this would cover the basic TV and Cable needs of most American households. Based on your preferences to add on extras such as sports or movie networks, this would, in turn, add cost.
For cord-cutters, let us consider a mid-range internet package of $50/mo.
Average Monthly Cost:
Internet – $50
Netflix – $12.99
Hulu Basic Ad Free – $11.99
Disney + – $6.99
Total monthly cost: $81.97
While there are clear cost savings here, live TV, sports, and major movie networks (HBO, Starz, etc.) further drive up the price, similar to the cable bundle scenario. Hulu + Live TV will set you back $59.99 beginning December 2019, which drives the total monthly cost in our cord-cutter version up to $130/mo, and ultimately puts us right back in line with the cable package.
What’s clear is that as content shifts between one streaming platform and another, a user’s ability to save depends completely on their entertainment priorities. As this new world of streaming evolves, so too will the ways providers price and bundle their services to meet our needs as consumers. It’s a brave new world of entertainment out there, and we are just streaming it!