Cable TV Subscriptions

https://www.economist.com/business/2019/05/09/american-pay-television-is-in-decline

https://en.wikipedia.org/wiki/Cable_television_in_the_United_States

Cable and satellite TV use has dropped dramatically in the U.S. since 2015

Hey! Quick Summary

Cable TV subscribers and networks grew rapidly through the 1980’s and 1990’s reaching near universal availability. US subscribers plateaued from 2009-2014 at 100 million before rapidly declining to 74million in 2021. As the first graph shows, much of the decline has been a substitution of internet for cable access to media content. This is “good news” because everyone that wants it has access, but a new, better product has started to rapidly displace this 50 year-old technology.

Desktop/Laptop Computers

Mobile Fact Sheet

Ownership of a home desktop or laptop computer also remains near universal, at 77% in 2021. The ownership of tablet computers has risen from 14% in 2012 to a majority of homes (53%) in 2021.

Broadband Internet Access at Home

Internet/Broadband Fact Sheet

Broadband internet access has rapidly grown from 1% of homes in 2000 to 58% in 2008 to 77% in 2021. The retired generation (65+) lags behind at 64% connectivity. Black (71%) and Hispanic (65%) homes are below the average. Rural residents are also less connected (72%).

Internet Users

Pew Research also reports that the percentage of individuals that are internet users has nearly doubled from 52% in 2000 to (near universal) 93% in 2021. About three-fourths of older individuals (65+) are “surfing the web”. 97% of others are connected. There is no major difference between racial categories. Rural citizens are little less engaged (90%).

Mobile Phone and Smart Phone Owners

Mobile Fact Sheet

Mobile phone ownership has grown from 62% in 2002 to 97% today. Seniors (65+) have slightly lower ownership rates (92%). Racial groups have the same ownership. Rural residents have slightly lower ownership rates (94%).

Smart phone ownership has grown rapidly from 35% in 2011 to 77% in 2016 to 85% in 2021. Ownership rates vary by age: 18-49 (95%), 50-64 (83%) and 65+ (61%). There is no racial ownership gap. Rural residents have an 80% ownership rate.

Summary

Although we saw news coverage during the pandemic which highlighted the imperfect access to electronic devices and network required for effective on-line learning, the US is approaching a state where nearly everyone has access. Cable TV access is now post-peak. TV network access is increasingly through the internet. Broadband access is the weakest measure at 77% ownership. Cell phone ownership is universal and smart phone ownership will reach that level before the end of the decade.

Postscript: Economic Impact = 10% of GDP

Industry associations, journalists and consultants wrestle with each other to capture and communicate the economic value added by personal computers, smart phones and the internet. In rough terms, about 10% of GDP is due to the direct and indirect value of these technologies that did not exist in any economically material amount in 1980, just 40 years ago. Good news? No, GREAT NEWS.

Click to access GSMA_MobileEconomy2020_Global.pdf

Click to access Accenture-Strategy-Wireless-Industry-Powers-US-Economy-2018-POV.pdf

Click to access mgi_impact_of_internet_on_economic_growth.pdf

https://www.reuters.com/article/us-usa-internet-economy/internet-sector-contributes-2-1-trillion-to-u-s-economy-industry-group-idUSKBN1WB2QB

Click to access The_Internet_Economy_G-20_tcm9-106842.pdf

Study Finds Internet Economy Grew Seven Times Faster Than Total U.S. Economy, Created Over 7 Million Jobs in the Last Four Years