I stopped reading when I got to "The vast majority of broadband internet users already subscribe to a video service". Maybe in America this is true, but there's an awful lot of people out there using DSL.
In my corner of Europe, all the providers (both cable and DSL) are now into triple-play: TV+net+phone package deals (or even 4-play, with mobile too). I had some doubts about the TV-over-phonelines thing, but it seems to work OK.
For about 60 euro/month I get unlimited landline calls, uncapped 8Mb/s net, a DVR box and ~100 TV channels (including some kid stuff and movies, no premium sports). Just the net would be a little less than half the price.
I buy from a cable provider, but people with similarly priced packages from the DSL providers aren't complaining and seem to also have adequate performance.
