Prior To Peacock Launch, Comcast Likely To Raise Cost of Cable

Comcast's Brian Roberts

As the Peacock streaming service prepares to unfurl its offerings, Comcast is bracing for more subscribers to fly away, reports USAToday.

The cable operator hemorrhaged 149,000 pay-TV customers in the fourth quarter, the 11th straight quarter of decline.

Luring them away: Streaming apps. So Comcast is betting the future on its new streaming service Peacock to take on Netflix, Amazon, Hulu, Apple TV Plus and Disney Plus. How big a bet? $2 billion over the next two years.

"With the rate adjustments that we are implementing in 2020, as well as the ongoing changes in consumer behavior, we expect higher video subscriber losses this year," said Comcast's chief financial officer Michael Cavanagh on Thursday during an earnings call.

So what does that mean for subscribers? The likelihood of higher cable prices. Comcast's price hikes were announced in October.

The Peacock service is Comcast's appeal to the growing number of people cutting the cord as cable prices continue to climb.

CEO Brian Roberts said the whole company is pivoting to the streaming world during an interview on CNBC’s “Squawk Box.”



Comcast also said Thursday that it gained 442,000 high-speed broadband customers in the fourth quarter. Later that same day, the company's cable and internet service Xfinity experienced disruptions across the country, fanning consumer frustration.