Elijah Grant
Many cable and satellite TV customers pay a monthly fee to rent set-top boxes from their TV provider. However, it is possible to buy your own set-top box, which may save money in the long run. Some companies, such as Comcast, offer their streaming app as an alternative to renting a set-top box, and other third-party media players can also be used.
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What You'll Learn
Cost savings of buying vs renting
There are cost savings to be made when buying a set-top box instead of renting one. Typically, renting a set-top box from a TV provider incurs a small monthly fee, usually less than $10 per device. However, these costs can add up, especially for households with multiple TVs requiring several set-top boxes. A 2015 study found that the average American paid about $231 per year just for their TV provider's set-top boxes.
By purchasing a media player such as Roku, Amazon, Chromecast, or Apple, users can save money in the long run. These devices often cost between $30 and $150, depending on the brand and model. For example, the Xumo Stream Box, a streaming device offered by Spectrum, can be purchased outright for $60, while the rental option costs $5 per month, excluding the $10.99 monthly equipment fee.
Additionally, trading a traditional pay-TV package for a TV antenna or a streaming-TV package can result in significant savings. Services like Sling TV and YouTube TV offer slimmer channel bundles starting at around $40 per month, compared to the $100 or so typically charged by standard pay-TV services.
It is worth noting that cutting the cord with traditional TV services might not always result in cost savings, as subscribing to multiple streaming services and paying for higher broadband speeds can sometimes amount to similar monthly expenses. However, the avoidance of cable box rental fees can make a difference in the overall costs.
Furthermore, users can also consider purchasing their own router instead of renting one from their broadband provider. Investing in a good-quality router for a one-time payment of $100 to $200 can be more cost-effective than leasing an inferior router for $10 per month.
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Cable box alternatives
Cable TV alternatives, also known as "cutting the cord", are streaming services that can be accessed via a smart TV or a streaming device. These services can be significantly cheaper than cable TV, with no hidden fees or equipment rental costs.
Streaming services such as Netflix, Hulu, Amazon Prime, Sling TV, and YouTube TV are popular alternatives to cable. They offer a wide range of channels, including local channels, news, live sports, and entertainment on-demand. Some services, like Hulu, offer additional perks such as access to Disney Plus and ESPN Plus with ads.
Streaming devices such as Roku, Amazon Fire TV Stick, Chromecast, and Apple TV are viable alternatives to cable boxes. These devices typically cost between $30 and $150, and work with most streaming services on the market.
Spectrum, a cable company, is also phasing out cable boxes in favour of streaming devices. They have introduced the Xumo Stream Box, a small device that streams cable programming and provides access to streaming apps. Customers can choose to purchase the device outright for $60 or rent it for $5 a month, which is cheaper than their cable box rental fee.
For those who are not interested in streaming services, a modern antenna is another alternative. This antenna can be placed atop your roof or behind a picture to deliver live TV without cable. According to Chris Brantner, also known as Mr. Cable Cutter, a quality antenna can receive dozens of free over-the-air (OTA) broadcast channels in high definition, including popular networks such as NBC, ABC, CBS, FOX, and PBS.
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Cable companies discouraging buying
Cable companies have been discouraging customers from buying set-top boxes in several ways. Firstly, they have created a situation where it is challenging to find boxes for sale, with only TiVo boxes being readily available. This is despite the potential for manufacturers to tap into a multi-billion-dollar market. Secondly, cable companies have been slow to develop and promote alternatives to set-top boxes, such as streaming devices and apps. While some companies have introduced streaming devices like the Xumo Stream Box, they continue to charge rental fees for these devices, which can be more expensive in the long run than purchasing a set-top box outright.
In 2015, Comcast launched a box-free cable service called Stream, but this service remains limited to Boston and Chicago. Comcast has also been drawing in video customers by upgrading its cable-box system, X1, which integrates Netflix and is expected to add YouTube. Other companies, such as Spectrum, are also introducing streaming devices but making it difficult for customers to opt out of cable boxes. For example, Spectrum customers must specifically request to turn in their cable boxes and use a streaming device instead.
The cable industry has also actively opposed efforts to open up the cable-box market and give consumers more choices. In 2015, tech companies and consumer advocates pushed the Federal Communications Commission (FCC) to allow consumers to buy cable boxes, but this effort was shelved by the FCC under the Trump administration. The cable industry argued against this proposal, pointing to the availability of TV-watching apps. However, these apps often require a cable box during the beta stage or come with additional costs for use with multiple TVs.
The lack of competition in the set-top box market has resulted in high rental fees, with the average American household paying more than $231 per year for cable boxes. This situation has been exacerbated by the decline in cable subscriptions, as cable companies try to make up for lost revenue by increasing fees and pushing households to add more set-top boxes. As a result, consumers are often better off financially if they can avoid renting cable boxes and explore alternative options like streaming devices or antennas.
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Buying from third-party retailers
If you are looking to buy a set-top box from a third-party retailer, there are a few things to keep in mind. Firstly, it is essential to understand the different types of set-top boxes available and their features. For example, some set-top boxes have PVR capabilities, allowing you to record TV programmes, while others offer catch-up and streaming apps such as BBC iPlayer and YouTube. The price of a set-top box is often dictated by features such as hard drive size and the number of tuners. A larger hard drive means you can record more content, and additional tuners enable you to record multiple channels simultaneously.
When buying from a third-party retailer, it is important to ensure that the set-top box is compatible with your TV and your region's broadcasting standards. For instance, in the UK, you may require a set-top box that supports Freeview or Freesat. Additionally, if you intend to access subscription-based streaming services, ensure that the set-top box you choose supports these services in your region.
There are various third-party retailers and suppliers of set-top boxes, including online platforms such as Tradewheel.com, which offers a wide range of set-top boxes with various features, including internet connectivity, gaming, and recording capabilities. Another option is to consider media players such as Roku, Amazon, Chromecast, or Apple, which work with most streaming-video services and offer a cost-effective alternative, typically ranging from $30 to $150.
When purchasing from a third-party retailer, it is essential to research the seller's reputation and read reviews from other customers to ensure the legitimacy and quality of the product. Additionally, keep in mind that buying a set-top box outright may save you money in the long run compared to renting, as the average American pays about $231 per year to rent a set-top box from their TV provider.
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Cable box streaming app replacements
Cable TV boxes are being phased out by some providers, who are instead offering streaming devices or apps. Spectrum, for example, is offering its customers the Xumo Stream Box or the Spectrum TV app, which can be used on a streaming device of the customer's choice. Comcast is also testing a similar platform that works with Roku players and some Samsung smart TVs.
There are many streaming services that can replicate cable TV, often at a lower monthly cost. These include Sling TV, YouTube TV, Hulu + Live TV, Philo, Fubo, DirecTV Stream, and Google’s YouTube TV. Most of these services allow you to add genre- or theme-based channel packs and premium networks such as HBO Max, Showtime, and Paramount+ for an additional fee.
Streaming services are available on top streaming devices from companies like Amazon, Apple, and Roku. These devices typically cost between $30 and $150, depending on the make and model.
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Frequently asked questions
No, you can buy your own set-top box from websites like HD DVR TV or hddvrtv.com. However, cable companies like Comcast and Xfinity make it difficult for customers to buy their own equipment, as they profit from rentals.
The cost of renting a set-top box is normally less than $10 per device per month. However, the costs add up over the year, especially if you have multiple boxes.
Set-top boxes cost between $30 and $150, depending on the make and model.
Buying a set-top box can save you money in the long run, as you won't have to pay monthly rental fees. Additionally, you can avoid the hassle of dealing with cable companies and their complicated activation processes.
You can use streaming devices such as Roku, Amazon Fire Stick, Chromecast, or Apple TV, which work with most streaming services and typically cost between $30 and $150. You can also use a TV antenna or subscribe to streaming services like Sling TV or YouTube TV, which offer slimmer channel bundles at a lower cost than traditional pay-TV services.
