New research suggests that people who have cut the cord aren’t doing so because they think Netflix provides a good alternative to their local cable TV company. In fact, those that go broadband-only are only slightly more likely to watch online video than those with pay TV subscriptions, according to the latest data from Leichtman Research Group.
According to the research firm, 8 percent of U.S. households subscribe to broadband services without also having a pay TV subscription. That compares to the 70 percent of U.S. households that pay for both broadband and pay TV. But that minority of broadband-only subscribers is doing so mainly due to the cost of pay TV services, not the convenience of online video as a replacement.