The average U.S. consumer shelled out more money to stay connected to the outside world via home Internet plans, cable TV, streaming video and wireless phone service, according to a new report from Reviews.org.
The report reveals the average American spends 5 percent of their monthly earnings on connectivity-related services, with pay television products accounting for the largest share of those expenses.
A typical household shells out nearly $89 per month for a pay TV product like cable, satellite or a cable-like streaming service, Reviews.org found, an increase of $8 compared to what Americans were paying in 2023.
The cost of pay TV is closely tied with the amount broadcasters charge for the carriage of their channels and networks on those platforms, and those prices have increased steadily over time. On Thursday, YouTube TV told subscribers they will soon have to pay $83 per month for a base package of nearly 100 local channels and cable networks that offer entertainment, news and sports, with the company blaming higher programming-related costs. Other services, including Dish Network’s Sling TV, Disney’s Hulu with Live TV and DirecTV Stream have effectuated similar price adjustments over the last two years.
Home Internet plans account for the second-biggest connectivity-related expense in an American home, with most shelling out around $70 per month for land-based or fixed wireless broadband service, Reviews.org found. While the sticker price might seem high, Reviews.org said the price was actually down from $81 per month that Americans spent on broadband service last year.
The collective price of a household’s streaming video services was under $43 per month in 2024 (down from $55 per month in 2023), as more Americans express “streaming fatigue” by the sheer number of options on the marketplace.
Most households subscribe to no more than two streaming video apps, according to Reviews.org, and many are taking advantage of ad-supported plans from major services like Netflix and Disney Plus to reign in expenses.
Reviews.org surveyed 1,000 Americans and compared the average cost of different connectivity services to effectuate the data in their report on Thursday. The company recommends products and services based on price point, features and customer satisfaction, and occasionally earns a commission when readers buy products or services through links on their website.
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Editor’s note: An earlier version of this story misstated the name of the company that conducted the consumer survey.
