Comcast to launch an Internet-only TV plan called Stream. Plan includes broadcast channels and HBO for $15/month — but you also have to pay for Comcast Internet service.
Comcast on Monday announced a , which is set to compete a bit differently from other competitors of online TV. Comcast’s version offers HBO plus “all of the local broadcast channels in a customer’s area,” and can only be viewed on devices within the customer’s home, a Comcast spokeswoman said. Stream should be available in the Denver area and everywhere else by “early 2016,” according to the company.
“It’s good news for consumers in so far that it’s yet another option for consumers to access video outside a traditional pay TV service,” said Greg Ireland, research director of multiscreen video for IDC, a market research firm. “…The audience of non-pay TV subscribers, as it continues to grow, it’s becoming too big to ignore for incumbent pay-TV providers.”
On , Stream includes access to 10 live broadcast channels (mentioned are ABC, CBS, FOX, NBC and PBS) plus HBO. Added channels and tiers is being explored for the future, the company said.
But in addition to the TV fee, subscribers also must be Comcast Xfinity Internet customers. That monthly price is not available, but the regular Comcast Xfinity Internet rates for the 25 MB plan are between $58.95 to $66.95 per month. (On , Comcast offers various discounts so the 25 MB plan is $24.99 per month for the first year.) But while an Internet subscription is required, the company says that Stream doesn’t use the Internet. It uses Comcast’s managed network — its “Internet Plus cable service” — so it doesn’t incur Internet usage, the company said.
In other words, Stream can only be used when inside one’s home, using the pipe Comcast provides.
When Stream debuts in Boston at the end of summer, it will compete with several companies already offering TV online. But most rivals offer video on demand — not live streams.
Dish Network, however, was the first to offer a collection of live TV channels online . The $20-a-month service , such as ESPN, Disney and HGTV. But Sling’s package doesn’t include any regular over-the-air broadcast channels.
Other TV channels are selling straight to the consumer. CBS channel. Meanwhile, ABC offers to customers of pay-TV companies.
Several cable channels also have Internet packages for fans of their shows, including ($3.99/month for movies), (HBO Now is a standalone service for $14.99/month) and ($10.99/month).
Broadcast channels are free to those with a good antenna installed at their homes. You can plug in your zip code to check available local channels at .
Ireland, with IDC, reminds consumers that while there seem to be options galore, one should research what plans work best personally. If you order Comcast’s Stream, Sling TV and Showtime, the monthly bill comes in at $45 with no Internet.
“At the $15 pricepoint, it’s cheaper than $60 to $80. But you’re getting a slim selection of channels. When you add other slim TV channels, you’ll find yourself in the same area of $70 a month,” Ireland said. “Traditional pay-TV may be cheaper (at that point).”
Comcast, like most traditional pay-TV companies, has been losing TV subscribers. In its , which ended March 31, Comcast said it had 22.375 million video customers, down from 22.601 million a year earlier. Internet and voice customers, however, edged up during the same period, as did monthly bills. The average monthly revenue per customer was $140.41, compared to $134.10 a year earlier.
The new Stream service also includes a cloud-based DVR, so subscribers can record up to 20 hours of shows to view later. No hardware is required with Stream and users can view it from mobile devices with the home. There are also no contract requirements or added fees for activation or cancellation.
