Netflix Helps People Cut Cable Cord, Report Says

The Diffusion Group released a report finding that people who use Netflix to stream Internet video to their televisions are twice as likely to cancel, or slim down, their cable television options as they were a year ago.

When the Diffusion Group surveyed Netflix members in 2010, they found that 16 percent of customers were planning to downgrade or cancel their cable television service. During the same survey this year, the number of customers planning to make that change had doubled to 32 percent. The report also found that although the majority of those surveyed cited economic reasons and “the need to save money” as a rationale for canceling cable, 34 percent said a growing use of online video was the culprit, “two-thirds of which cite Netflix in particular as the primary perpetrator,” the report says.