This week on TechHive: Why Netflix is losing cord cutters
If you read to the end of last week’s newsletter, you probably saw the wheels turning in my head for this week’s TechHive column.
It’s all about my growing sense of fatigue with Netflix, which also dovetails with the company’s lackluster second quarter. Netflix subscriptions grew by just 1.5 million worldwide in Q2, and they fell by 430,000 in the United States and Canada.
Why is Netflix stumbling? It’s partly a matter of saturation, as the company runs out of potential customers in major markets after a year of pandemic-fueled growth. But my own experiences with Netflix suggests other reasons are at play, ones that don’t show up as easily in quarterly earnings reports. Read the full column on TechHive.
Weekly rewind
Walmart Onn streamer review(s): Also over at TechHive this week, I reviewed Walmart’s Onn FHD Streaming Stick and UHD Streaming Device, and found them to be suprisingly great budget options. The HD stick costs just $25, and the 4K-compatible box costs $30, but neither have any major performance compromises. They also both ship with Google’s Android TV software, which I’ve been liking a lot for the way it suggests new things to watch without making apps overly difficult to access.
Keep in mind that neither device supports Dolby Vision, Dolby Atmos, or HDR10+ (though they both support regular old HDR10), so you’ll want to look elsewhere for higher-end home entertainment setups. I also had problems getting the FHD Stick to control my TVs and soundbars, while the UHD box had no such issues. But if you just want a decent streaming player for cheap, these are tough to beat.
AT&T’s pay TV spinoff: AT&T has completed the DirecTV spinoff it announced in February. The new company is once again called DirecTV, and AT&T still owns 70% of it, with the rest belonging to a private equity firm.
The streaming service currently known as AT&T TV will soon become DirecTV Stream instead—I already recapped the service’s ridiculous branding timeline a few weeks ago—but otherwise this changes nothing for customers in the near term. Existing AT&T and DirecTV service bundles remain in place, and all pricing and packaging is still the same.
As DirecTV tells it, a singular focus on video will make the company more competitive than it was before. I have my doubts given the overall downward trend for pay TV bundles, but after six years in which AT&T shed 10 million customers, lost 76% of its value, and laid off roughly 55,000 people, the new company probably can’t do any worse.
Smooth sailing for DiscoWarner: Speaking of AT&T, I’m disheartened to hear that regulators seem just fine with the company’s plan to spin off WarnerMedia and merge it with Discovery. That’s according to Discovery’s CEO, who says that “on every level, we’re seeing green lights, we’re not seeing yellow or red lights.”
Traditional media companies have become obsessed with achieving “scale” to take on the likes of Netflix, even as smaller and cheaper services begin to thrive. But while mega-mergers might help them achieve that goal, they almost always result in fewer choices and higher prices for us. I like HBO Max and Discovery+ as they are, and would rather them not combine if led to bigger TV bills for everyone.
More catch-up
- YouTube TV says no price hikes in the “near term,” whatever that means.
- YouTube tests a cheaper ad-free offering, but not in the U.S.
- Amazon releases standalone iOS and Android apps for its IMDb TV free streaming service.
- HBO Max lands on LG TVs, adds free pilot episodes to its apps, and discontinues its Prime Video Channel.
- Vizio TVs gets BET+ and a redesigned free streaming app, with Discovery+ coming soon.
- Using Tablo DVR on a PC? Download the Windows app ASAP.
Save more money
It’s slim pickings for deals this morning, but here’s something: Target is taking 25% off a year of Disney+ when you spend $25 on the retailer’s site by Saturday, August 7. That brings the price for Disney+ down to $60 instead of the usual $80. The deal is just for new Disney+ subscribers, and you’ll get a discount code from Target via email after making your purchase.
Just be aware that the $25 purchase requirement excludes certain items, such as gift cards, pharmacy items, booze, and milk.
Thanks for reading!
We’re still in what I would describe as a typically slow period for cord-cutting developments, which means I’m all the more eager to hear about what you’d like me to cover next. Get in touch with your cord-cutting questions and thoughts by replying to this email.
Until next week,
Jared