This week on TechHive: No, cord-cutting won’t break the internet

File this one under “unexpected defenses of cable TV”: A couple recent opinion pieces suggest that cord-cutting is a threat to the Internet as we know it. The theory is that as more people abandon cable and satellite TV for streaming services like Netflix, demand for more internet bandwidth will skyrocket, and our poor internet infrastructure won’t be able to keep up.

While the concern seems reasonable on its face, it’s ultimately a lot like the bogus claims that cord-cutting won’t save you money (it almost certainly will), or that cord-cutting will ruin television (it most definitely hasn’t). That is to say, it falls apart under scrutiny. Read the full column on TechHive.

Weekly Rewind

Comcast’s cord-cutting play: The nation’s largest cable provider is getting ready to launch a streaming TV bundle, at least for its home internet subscribers. Sources tell Reuters that the service will be called Xfinity Instant TV, and will cost between $15 and $40, with major broadcast networks and ESPN in the lineup.

Comcast has been testing a version of this service, called Stream TV, in a couple of markets since last year, and it’s actually not a terrible deal. It includes HBO and broadcast channels for $15 per month–the same price as a standalone HBO Now subscription–with live streams on Roku players, mobile devices, and computers, plus logins for TV network apps on other platforms. The basic Xfinity Instant TV package could be similar, and I suspect the $40 version will be more like the big streaming bundles from DirecTV Now and PlayStation Vue.

Reuters’ sources say Comcast will only offer the service inside its cable footprint, and only for Xfinity internet customers. But the company did reportedly just secure nationwide streaming rights from TV networks, so it could go broader if the in-market business goes south.

Netflix devours all: I’ve linked before to stories about how Netflix is causing fear in Hollywood. Unbound by legacy business models (and pressure from investors to maintain those models’ profit margins), Netflix can afford to bid up the price of high-quality TV, putting it out of reach for other TV networks and studios. But here’s a new wrinkle: Netflix has gotten so aggressive that TV stars are starting to expect twice the pay that they used to, and other studios are even having trouble hiring top production crews.

I’m conflicted about the ramifications. While Netflix has done immense good for cord-cutting, any company with this much power will eventually abuse it, and that’s something we’re already seeing as Netflix holds back the evolution of streaming device interfaces. In any case, it’s interesting to go back in time to when Netlfix was insisting House of Cards–its first big-budget original series–was not the start of a strategy shift. Hollywood probably wishes it had realized the truth sooner.

More Catch-Up

Save More Money

The Roku Premiere+ is currently on sale for $80, which is $20 off the regular price. It supports 4K HDR video in both Netlfix and Amazon Prime (if you have a 4K HDR television), and it’s the cheapest current-generation Roku box to include a remote control headphone jack, Ethernet, and MicroSD storage. At this price, 1080p TV owners might even consider it over the $50 Roku Streaming Stick. The sale price is available through Amazon, Best Buy, Walmart, and B&H.

Thanks for reading!

Do you have any stories you’d like me to tackle? Need advice on your cord cutting setup? Have a success story you’d like to share? Feedback on this newsletter? Drop me a line by responding to this email.

Until next week,
Jared