Want a really tangible example of why TV Everywhere is so critical to the pay-TV industry? Then have a look at this post from industry banker Ken Sonenclar, who recounts his personal experience of trying to find an online version of the season finale of Showtime's "Dexter" on an evening when bad weather knocked out his satellite dish. Frustrated that he couldn't find the episode available anywhere, he ultimately stumbled upon a pirate site and happily watched the episode, albeit at somewhat lower quality.
Experiences like these no doubt play out daily as pay-TV subscribers seek convenient, on-demand access to their favorite programs. The TV Everywhere model works because it still requires a valid paid subscription, so the current monetization model is unharmed. But the incremental value to viewers is substantial. With services like Netflix and Hulu Plus increasingly available on every conceivable online and mobile device, consumers' expectations are being raised. If the pay-TV industry (both operators and networks) can't meet or exceed the experiences that a sub $10/mo service can deliver, then they shouldn't be surprised when subscribers begin dropping their expensive pay-TV services.