With razor-thin margins, video operators must take full advantage of any revenue opportunities that not only satisfy customer needs but also move them closer to profitability. One significant area of opportunity is the set-top box.

Local Live Streaming Opens the Door for Profit

As evidenced by over one hundred MG-TV Live Streaming video providers now streaming their traditional lineup of channels, consumers now have complete control over their device of choice. In North Dakota, DRN is a video operator incentivizing customers to use their existing consumer devices or lease a streaming set-top box from the company for $14.95 per month. Jeff Goehring, Network Operations and Video Specialist at DRN says options for price-sensitive consumers presents a good opportunity to transition them to devices like Roku, Firestick, and iOS devices that are compatible with the Live Streaming service. Having a proprietary streaming set-top box keeps customers who desire a traditional remote and viewing experience satisfied. Goehring says they have customers renting up to four of their STBs in their homes, and calculates a return on investment of approximately 18 months.

Here is a Report From MG-TV Customer Websites Listing their STB Pricing

DRN in North Dakota – $14.95 Per Month – No Free Ones

Prodigi in West Virginia – $10.00 Per Month – No Free Ones

DTC in New York – $6.99 Per Month – No Free Ones

TCC in Wisconsin – $4.99 Per Month – No Free Ones

Albany Fiber in Minnesota – $5.95 Per Month – One Free

NTEC in Wisconsin – $5.00 Per Month – No Free Ones

Pierce in Nebraska – $5.00 Per Month – No Free Ones

Darien in Georgia – $4.95 Per Month – No Free Ones

Sandhill in South Carolina – $7.50 Per Month – One Free

ITC in South Dakota – $8.00 Per Month – No Free Ones

This sample size indicates that many companies are no longer providing set-top boxes (STBs) with their subscriptions. The shift from traditional IPTV and cable services to streaming has enabled these companies to turn STBs into a profitable product, rather than incurring a recurring monthly loss.