Interesting article. Personally I have never had cable. The cable company was too stupid to realize that we had a cable line on our street growing up and refused to give us cable, and as we lived in a bit of a ravine satellite was not an option either. But because I grew up on videos instead of TV I now have an accute distain for advertisements in the middle of shows. If I have to watch more than 1-2 comercials, then it is simply not worth watching. I would much rather spend that $50-100/mo buying shows on a DVD or BluRay release after the end of a season.
Sure, I am always behind, and if I was into sports then it would not be an option, but I get uninterrupted TV goodness with as many episodes in a row as I can stand to watch, and typically in much better quality than people get with cable. Plus I can watch a show I like over and over again to my heart's content, and if I don't like a show, or don't plan on watching it again, then I can sell it to someone else for a little less than what I bought it for.
I think that cable is not going to go away quickly. It is part of the cultural fabric of my and my parent's generations. Not having some form of cable or TV has such an odd stigma to it because it was the first 'luxury' item that people could afford back in the '70s and '80s, so to not have it makes them feel poor.
But cable is not doomed. I mean, I am more than willing to blow $20-50 on a single season of a show that I like. That is a single 45 minute show, not even a whole channel. If someone were to give me a subscription option of $20-50/year for each show that I want, but with limited commercials (2-4), and on-demand capability for previous episodes in the season, then I would go for that. In a given year there are typically only 3-4 shows that I would be remotely interested in watching, so at $50 a pop then it would be a monthly bill of $4.16 per show. It would keep my bill down, avoid the crap that I don't want to deal with, and put a lot less strain on the network.
But who knows. I am not exactly a 'normal viewer' so maybe this would not fly with the masses. But with streaming services getting a bit better every year I would think that TWC would much rather have me pay some $20/mo for the few shows that I want to watch 'live' than $45/mo for all of the bandwidth that I choke down every day streaming a-la-carte services like Netflix, YouTube, and CrunchyRoll. And while they don't have to think that way yet, they will have to start thinking that way in the future.