7 things to consider before canceling cable

7 things to consider before canceling cable

Cutting the cord isn't always a straightforward process. Here's what you need to know.

Josh Miller/CNET

1. There isn't one perfect alternative.

One of the biggest problems with traditional cable subscriptions is bundling -- you have no choice but to pay for dozens of channels you never watch just to get the few you want. The ideal alternative would allow you to pick and choose just the channels you want.

The reality is that cutting cable does not eliminate bundling. Whether you switch to Netflix, Amazon Prime, Sling TV or any other option, you'll still pay for shows that go unwatched.

If you're lucky, you'll be able to find one streaming service that covers all the shows and networks you watch. But most people will end up subscribing to a few different bundles to cover all their needs. And don't be surprised if one of your favorite shows has different seasons distributed on different streaming channels.

2. ...So it might not be cheaper than cable.

$10 per month for Netflix here, a $50-per-month PlayStation Vue subscription there, and suddenly you're not saving so much by cutting the cord.

Our own David Katzmaier cut the cord a few years ago only to find out that he was saving $35 per month. After a la carte iTunes purchases, an add-on DVR and various streaming subscriptions, cutting the cord just wasn't worth it.

That doesn't mean it's not an option. Before you cut the cord to save money, do the math. Depending on your needs, you could end up spending just as much -- or more -- going a la carte.

3. You'll need a strategy for live events -- especially sports.

If you're a hard-core fantasy sports player who needs to see every game in every market live or recorded, cutting the cord could be a huge headache.

For instance, Sling TV and PlayStation Vue, the two live TV alternatives to cable, don't include a lot of the major sports networks. As outlined in this piece, ESPN (and its sibling networks) are only on Sling right now, while MLB TV, NBA TV, NFL Network, NFL Red Zone, MSG,* SNY,* and most other regional sports networks aren't available through either service.

If you like teams outside of your area, you'll get a lot of value from signing up for apps like MLB TV (baseball), NHL Center Ice (hockey), NBA League Pass (basketball) and other such services that offer live out-of-area games. But to watch nearly any local team, you'll need either an antenna (for NFL football) -- or a friend who's still paying for cable.

In this case, outline your sports needs and determine whether or not a single streaming service (or combination of services) will meet your needs.

4. Let's talk about DVR.

For on-demand services like Netflix, Hulu and Amazon Prime, you obviously don't need a DVR. Sling TV and PlayStation Vue, which stream live TV, include some DVR-like features. But if you're using an antenna, you might want a way to record fleeting shows and events.

You have options. ChannelnMaster, Tablo, and TiVo Roamio are among the more popular products, letting you record and store shows through an antenna. The TiVo Roamio, for example, also acts as a streaming hub, giving you access to a content guide and streaming services like Netflix and Hulu.

But without one of these DVRs, your over-the-air antenna will be limited to live TV only.

5. You'll need a strong (and generous) Internet connection.

Once you ditch cable, your Internet connection will become the lifeblood of your media consumption, so you'll need a very reliable Internet connection.

For starters, make sure your ISP supports super-high-speed bandwidth necessary for streaming high-def (and super-high-def) video. In some cases, you might need to upgrade your subscription (read: pay more) to get a high bandwidth. And finally, your ISP should be unmetered -- without cable, you'll be using more data than ever before.

6. How many concurrent streams do you need?

Cable subscriptions make multiroom viewing easy (albeit expensive), but your mileage will vary with streaming options. If you have a household with varying viewing interests, things could get dicey.

For instance, Netflix's pricing tiers are partially based on multistreaming allowances. While $7.99 per month gets you a single stream, the $8.99-per-month option allows you to stream to two screens at once.

Sling TV, on the other hand, will stop the current stream if it detects that another one has started. This may change in the future, but for now, Sling and other streaming options have limitations.

7. You might be taking 'background TV' for granted.

How often do you come home and immediately switch on the TV? Maybe you like background TV when you're cooking, working from home or having friends over. Yes, it's doable without cable, but it's not nearly as easy.

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Google taps Morgan Stanley exec for CFO post

Google taps Morgan Stanley exec for CFO post

Ruth Porat, a Silicon Valley native, will head west from the marquee Wall Street firm, where she had a hand in a number of technology ventures.

Ruth Porat, who will join Google as CFO in May, is known as one of the most powerful women on Wall Street.Getty Images

Google has turned to Wall Street to find its new chief financial officer.

Ruth Porat, who has been serving as CFO of investment bank Morgan Stanley, will take over as Google's finance chief starting May 26, the search giant announced Tuesday. In her new post, Porat will report directly to Google CEO and co-founder Larry Page.

The announcement comes just two weeks after Google issued a filing with the Securities and Exchange Commission saying that its current CFO, Patrick Pichette, is retiring. Pichette, who began working at Google in 2008, said that he wanted to spend more time with his family and go backpacking with his wife. He said he would remain with the company to find his replacement.

The change comes as Google increasingly invests in more areas outside its dominant search and advertising business. The company has in the last several years made experimental bets in out-there projects like driverless cars and Wi-Fi-beaming balloons, as Google looks to where future revenue streams might come from.

Pichette was seen as a counterbalance to Google co-founders Larry Page, who is also CEO, and Sergey Brin, as the company develops its sometimes expensive experimental projects. Porat is expected to bring a similar level of discipline.

"You have two founders who have big ambitions and don't mind spending money," said Sameet Sinha, an analyst with the investment firm B. Riley and Co. "If you look at Morgan Stanley, on a regular basis, they are very cost-conscious."

Porat joined Morgan Stanley in 1987 and held several major jobs at the company, including vice chairman of investment banking and co-head of technology investment banking. She is a graduate of Stanford and has an MBA from the Wharton School. She also serves on Stanford's board of trustees.

Google's CFO shakeup is just the latest in a series of executive changes at the company. In October, Page said that he would focus on his company's future, rather than day-to-day operations. In tandem with that announcement, Sundar Pichai, who had been running Android's mobile software business and is considered a rising star in Mountain View, was elevated to oversee all Google products.Even though Porat is known as one of the most powerful women on Wall Street, she's no stranger to the tech industry. While at Morgan Stanley, Porat served as the lead banker on financing rounds for tech sector notables including Amazon, eBay and Netscape, Google said.

"I'm delighted to be returning to my California roots and joining Google," Porat said in a statement Tuesday. "Growing up in Silicon Valley, during my time at Morgan Stanley and as a member of Stanford's Board, I've had the opportunity to experience first hand how tech companies can help people in their daily lives."

Page said that Google is "tremendously fortunate" to have Porat coming aboard. He said the company will continue to invest in its core businesses, like search, ads and its Android mobile operating system. But it will also continue to make experimental bets in a "thoughtful, disciplined way."

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Hulu vets launch Vessel, a premium mini YouTube with a price tag

Hulu vets launch Vessel, a premium mini YouTube with a price tag

New video site Vessel wants consumers to pay $2.99 a month for early access to clips from online stars. The big question: Will consumers actually sign up?

Vessel hopes exclusive windows on video will entice people to pay for clips that they'll often be able to see free three days later.Vessel

YouTube may have 300 hours of video uploaded every minute, but new service Vessel believes there's room for more.

Vessel, an online service for short videos, launched Tuesday as the HBO to YouTube's massive public access network. People who pay $2.99 a month get early access to clips from video creators who already have big followings.

"Consumers of Web video care so deeply about this video that they're willing to pay to get it early," said Jason Kilar, Vessel's cofounder and the former chief executive of Hulu.

(First adopters won't need to make that choice: Vessel is offering a free subscriptions for a year to anyone who signs up through Thursday.)

Consumers are watching more video on mobile devices, and YouTube -- backed by the might of Google -- has become the undisputed leader in delivering it. While YouTube can't be beat for reach, some creators complain that YouTube doesn't pay them at levels commensurate with the size of their audiences. Vessel aims to address that issue, believing it will attract the best content that, in turn, will pull in viewers.

The new service will share 70 percent of advertising revenue and 60 percent of subscription revenue with content providers. YouTube doesn't disclose the terms of its deals with creators, which can vary widely, but its standard revenue share is widely known to be 55 percent of advertising revenue. Its top creators enjoy more lucrative terms under a program called Google Preferred.

Jason Kilar and Richard Tom left Hulu in 2013 to found Vessel.Vessel

Formed by Kilar and Hulu's former Chief Technology Officer Richard Tom, Vessel's emphasis is on short-form clips, and many of its marquee faces are familiar from Google's giant site. But Vessel differs from YouTube by hosting only established video makers, asking viewers to pay for early access to clips and offering creators a bigger cut of the rewards.

"It's like the 1979 introduction of cable," Kilar said. "Consumers got better product... and it brought in a business model that didn't exist before, which is subscription."

YouTube has offered a paid channel option to individual content providers since 2013, but it never gained widespread traction. The question for Vessel is whether consumers will pay for content they can get for free three days later.

A YouTube representative noted that revenue to the top 100 creators in Google Preferred increased more than 70 percent by the end of last year versus a year earlier. And for the third year in a row, members of Google's overall YouTube Partner Program saw their revenue increase 50 percent. YouTube's overall watch-time also grew by 50 percent last year.

Vessel will offer exclusives, which typically last 72 hours. Their creators are largely native to Internet video. These include Good Mythical Morning, a daily morning talk show with more than 6 million YouTube subscribers; and Shane Dawson, a comic vlogger whose biggest YouTube channel also has more than 6 million subscribers. Vessel will also host content from traditional TV networks, such as A+E, and mainstream celebrities, such as a series starring Alec Baldwin. Viewers can watch Baldwin drive around New York in a taxi doling out relationship advice to unsuspecting couples who get into his cab.

Most of the stars on Vessel are native to the Web, though the site also has content made by mainstream celebrities like Alec Baldwin.Vessel

Vessel will also serve up Tastemade, often described as a digital next-generation Food Network. The new-media venture got its start on YouTube. Steven Kydd, a founder of Tastemade, called Vessel a unique offering that can give creators what they always want: a way to improve their brand, their audience and their revenue. While the consumer reaction "remains to be seen," he said, "Jason [Kilar] and his team have a proven track record of great appeal to consumers."

Vessel will also have music exclusives. Vessel signed deals with Universal Music Group and Warner Music Group, two of the world's big three labels, for early access to video content.

People who don't subscribe to Vessel can still watch video on the service at no charge, just not early-access content. Both subscribers and nonpaid viewers will see ads: five-second spots before a clip rolls and "motion posters," which are a bit like moving, full-page magazine ads that you can flip away or pause to check out at your own discretion.

The free part of Vessel has more traditional media outlets providing content, such as Sports Illustrated, Discovery Communications, People magazine and the New York Times.

Vessel is backed by Amazon founder and Chief Executive Jeff Bezos through his personal investment arm, Bezos Expeditions, as well as venture capital firms Greylock Partners and Benchmark.

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