A new IDC Canada report predicts that IPTV and OTT (over the top) services will erode Canadian television revenues by 7.8% over the next 5 years. The report, entitled Canadian TV Services Forecast, 2015-2019 by Emily Taylor and Lawrence Surtees forecasts that a half million Canadian cable subscribers will cut the cord over that period.
Netflix and Youtube have introduced OTT options to Canadian consumers. But the incumbents are not standing still. They have introduced Shomi and CraveTV to counter the competition.
The CRTC mandated pick and play ruling (see CRTC Pick and Pay) may also help cable companies maintain relevance in the new world.
So what will the Canadian broadcasting market look like in 5 years? For sure, people will be watching less cable and more OTT. But the degree of that shift depends on how well Canadian incumbents deliver on customer demands.
To find out how to purchase the report, see IDC Report