Consumer demand for in-home entertainment helps make premium cable recession resistant

As reported by Paidcontent.org, cable operators and networks are faring better than ad-driven media companies in the recession, thanks to subscription revenue.  Profits at Time Warner’s HBO and Cinemax grew more than 10 percent during the fourth quarter of 2008, and the networks ended the year with their highest subscriber total ever—40.9 million.   Revenues at Showtime and Starz were also up in Q4 at 6% and 8% respectively.

Why? The mix of factors includes aggressive bundling, more online and mobile promotion, an increased interest in-home entertainment.  If cable operators are to begin to feel the pinch it will be when the lag time between troubles at home and subscription cancellations is exhausted.  For the full story click here.