The Cord-Cutting Math: Why Paid Live Streaming Packages May Be Unnecessary

The question many people ask when they cut the cord or start streaming is, "How can I still watch TV like I'm used to watching it?"

The simple answer is, you can't. You may be able to watch the same content, but the overall experience won't be the same.

Is the difference difficult? For some people, it is. But for most, it's really not that difficult. I'm older, and I had no trouble with it.

So, how do you determine how difficult it will be? Let me answer the question with a question: How upset do you get when the cable company changes the channel numbers, or drops a channel and replaces it with something else? If you throw a fit over such changes, you might find the switch to streaming frustrating.

If you can deal with change, then you'll be just fine.

It's not exactly the same when you go to streaming, but it's similar to moving to a new city with a different cable system. You have the shows you want to watch; you just need to find where they now are.

The Real Question is "Live"

Here's where I think most people need a perspective shift: You should ask yourself if you really need live streaming. The answer depends on two types of viewers:

1. The DVR User: If you are the type of person who records most of what you watch and catches up later, you are already functioning as an on-demand viewer. For you, SVOD services like the base Hulu plan are a perfect, low-cost replacement. You get current-season shows hours after airing, achieving the same result as your DVR.

2. The Channel Surfer: If you are the person who likes to "turn the TV on and let it play," a paid live streaming package is often unnecessary. This is where free options step in:

• Antenna (OTA): If you are within range of broadcast towers, an antenna gives you all your major local networks (ABC, CBS, Fox, NBC) for free, filling the need for local news and specific live sports.
• FAST Services: FAST (Free Ad-Supported Television) services, such as Pluto TV, Tubi, and The Roku Channel, offer hundreds of specialized channels with news, movies, and classic shows that perfectly mimic the experience of channel surfing on cable, all without any monthly bill.

The combination of on-demand SVOD, free OTA, and free FAST services addresses almost every viewing need.

The SVOD versus vMVPD Divide

Why does this distinction matter? Well, what's the difference between $12 and $90? That's the difference between Hulu's cheapest standard service, which includes a vast library of current season TV content available hours after airing, and Hulu+Live TV.

Hulu's on-demand, ad-supported service costs about $12/month. The Hulu+Live TV service, which currently bundles live channels with Hulu, Disney Plus, and ESPN Select, costs about $90/month.

Yes, Hulu+Live TV has more live programming. Is that extra live functionality worth the $78/month premium? That's a cost of $936/year.

The choice isn't just between $12 for SVOD and $90 for the live package. Instead, consider that many channels similar to those in the bundle are available entirely FAST or via your free OTA antenna. By making that switch, you could potentially save the entire $90/month cost of the live streaming package.

---

It is important to note that we are using Hulu+Live TV as a common example for this comparison. While there are cheaper virtual streaming packages available, the key takeaway remains the same: the potential to save significant money exists whenever you choose on-demand and free services over a paid live TV subscription, regardless of the vMVPD's starting price.

The Seasonal Approach

Even if you decided that you absolutely needed live streaming during certain times of the year -- say during March Madness or College Bowl season -- you could easily add a live streaming service for just a few months. The savings won't be as great as cutting live TV entirely, but it will be significant.

However, saving money isn't the only reason people stream. Some simply like the benefit of having more control over their TV, watching content on their own schedule.

If replacing cable with a live streaming service is the thing for you to do, then get the best one that meets your needs. But if you find that you can save more by going with on-demand packages, and that's what's best for you, do that. I'm not suggesting you not use live streaming services, I'm just ensuring you know your options.

---

My Streaming Life focuses on using an outdoor antenna and on-demand services, which minimizes my overall monthly video costs and works best for me. Do whatever works best for you, and take control of your TV. Make it work for you.