Streaming vs. cable: Which TV service is better?

Camryn Smith

Aug 28, 2024 — 5 min read

Streaming and cable prices are rising and we can help you discover the best options for your entertainment dollars.

With more than 200 services currently available, we are firmly in the streaming era. Most streaming services even now offer a live TV subscription option to ensure you still get access to the sports and news, or anything else you want to watch in real time. This has led to the phenomenon of cord cutting, or canceling your cable service in favor of streaming. But is streaming cheaper than cable TV? Let’s learn more about streaming TV and cable to find out:

What is the difference between cable and streaming?

Streaming providers are entirely dependent on internet connections to deliver content. Cable providers broadcast content over dedicated networks. Streaming allows you to watch its content on demand, wherever you are connected to the internet, while cable allows you to watch content as it airs. Even so, you can still access cable content on-demand but usually for an extra fee.

Cable providers usually offer more channels for a steeper price, while streaming services are cheaper for slightly less robust content lineups.

Cable vs. streaming pros and cons

Cable

  • Channels: Cable providers usually provide more channels than streaming services.

  • Video quality: Cable may provide better video quality since it does not rely solely on your internet connection.

  • Contracts: Cable providers require contracts so if you decide to cancel your service, you could face early termination fees.

  • Flexibility: Cable services are less flexible than streaming services. You have a contract and cannot explore other services as easily as you can with streaming.

Streaming

  • Cost effective: There are no contracts or installation fees with streaming, so it can be more cost effective than cable.

  • Customizable: You can try many different streaming services to see which one is best for you, and you often have free trials available. Wtih cable, you’re stuck with your provider.

  • Channels: Individual streaming services usually offer fewer channels in general than cable providers.

  • Connection: Your streaming service relies on your internet connection, so you could experience buffering if your signal strength is not strong enough.

Is it worth cutting your cable?

To get live TV channels, you’ll need to subscribe through an old-school cable TV provider or try a live TV streaming service like fuboTV, Hulu + Live TV or YouTube TV. Streaming services generally position themselves as cheaper alternatives to cable. This is somewhat true.

Outside of a few “skinny bundles,” most streaming packages with live channels are just as expensive as cable TV. We still consider streaming TV a cheaper alternative in the long term, however, since price increases tend to be less severe with streaming services than they are with cable TV. 

As we explore streaming vs. cable, you’ll see that the main benefits of cable TV are its higher channel count and potential bundle discounts, but more and more internet providers are beginning to do away with these discounts, and the channel count for streaming TV services is still quite good.

How we compared cable and live TV streaming services

Every cable and live TV streaming service trumpets the number of channels they offer as proof of their quality. But in almost every case, those raw numbers are propped up by a lot of fluff.

Every cable and live TV streaming service trumpets the number of channels they offer as proof of their quality. But in almost every case, those raw numbers are propped up by a lot of fluff.

To gauge the true quality of each provider’s channel lineup, we utilized an annual report from TiVo, which asked 3,330 respondents, “Which channels would you be interested in including in your TV package?” The more people wanted a channel, the higher it ranked. We then used these rankings to compare the channel lineups of each cable, satellite and live TV streaming service.

We also considered contracts, pricing, contract length and video quality. Overall, cable TV has a hard time competing with the new streaming TV services.

Cable vs. live streaming

Across the board, cable TV packages offer better channel lineups than live TV streaming services. While both YouTube TV and fuboTV are missing a handful of channels in the top 25 most highly rated channels, the only ones the cable providers don’t have are HBO and SHOWTIME — premium networks that can be added on for an extra fee.

DIRECTV, on the other hand, is one of the few streaming services that offers a channel lineup competitive with cable TV.

Watching sports on cable vs. streaming

Some popular sporting events like various MLB or NFL games can be found on cable TV with your regular cable package. If you want to access certain team games or rarer events like a cornhole tournament, you may need to pay extra for specialty channels such as ESPN.

Streaming sports is very specialized and will also cost you extra. For example, you can stream nearly all live major baseball games through MLB.com, or if you like a choice of several sports, subscribe to a service like Peacock TV for access to motocross, soccer, football and more.

On-demand streaming provider comparison

Netflix is one of the original on-demand streaming services and still remains one of the most popular, with about 247 million paid subscribers. Most services charge around $7 to $10 a month to view with ads, but that fee can jump considerably if you decide to watch without ads. Just keep in mind these plans do not include Live TV.

Is it better to bundle with cable or a streaming service?

While the prices shown above are for TV only, most cable providers offer heavy discounts if you bundle with internet service. That said, there are often a number of hidden costs with cable TV that streaming services don’t have.

You can also bundle services with some internet providers and receive a free promotional period for an on-demand service. For instance, Verizon often offers a free subscription to Disney+ and some providers offer a monthly discount on YouTube TV.

Cable vs. streaming costs

Charging about $80 to $120 a month, cable TV often tacks on extra fees to that monthly cost, including equipment fees, broadcast fees and more. They are enough to run a good monthly bill up by $20 to $30 in some cases. Bundling internet and cable can save you $10 to $20/mo. with most providers, but not all. 

The cost of streaming is typically less expensive than cable. The difference between cable and streaming is that the monthly charge streaming services advertise is what you pay – there aren’t any hidden fees.

Is cable TV or streaming the better option?

If you’re looking purely at the quality of channels offered, cable provides better packages than live TV streaming services. You’ll get more channels in total and the option to save by bundling with an internet plan.

Streaming also comes with several benefits you won’t get from cable. Part of the appeal of streaming is that you don’t have to pay for a bunch of channels you never watch, so you can save money by not adding on the extra available channel packages.

Aside from DIRECTV, you’ll also never have to commit to more than a month at a time with a live TV streaming service. Most also come with plenty of DVR storage and the ability to stream on a few different devices at once.

So while streaming services might not have as strong of a channel selection as traditional TV providers, in the debate of “is streaming better than cable tv”- there’s a good chance you’ll have a better experience overall with streaming. Also, if you aren’t interested in live TV, on-demand streaming services like Netflix can save you a bundle every month and still provide you with a wide variety of movies and shows to enjoy.

Satellite TV is always an option as well, but it can be more expensive than streaming services, depending on the provider and package.

Our recommendation for choosing the best TV package

If you’re in the market for a new TV service, we recommend making a list of the channels you want the most and comparing them across the cable and satellite providers in your area and a few streaming services. If the price and channel lineups are comparable, the streaming service will provide better perks and flexibility. YouTube TV and Hulu Live are great streaming services to check out and compare to cable providers like DIRECTV or Xfinity

For more of the latest news on streaming and TV, check out our Resource Center and follow along with our experts on Facebook and Twitter.

Cable vs. streaming FAQs

What are cord cutters?

Cord cutters are those who choose to cancel their cable TV service in favor of streaming subscriptions with live TV options.

Cable generally has a better picture quality due to streaming relying solely on your internet connection.

You could potentially save money by switching to a streaming service. You also have more flexibility and customization options than with cable TV.

Camryn Smith

Written by:

Camryn Smith

Cammy is a writer with Allconnect, growing her broadband industry knowledge for over a year on the internet marketplace. Her expertise lies in home internet and broadband service with a focus on providers, plans… Read more