For over two and a half years I can proudly say I don't have a subscription to either cable TV or satellite TV. I use my internet connection to watch Netflix programs and other available programs either using Apple TV, or the old XBOX 360 on my LED flatpanel TV. Now granted rarely at times the bandwidth slows to a crawl, and I miss watching some sports live - but when I paid over $60 a month for the BASIC satellite package - this was back in 2010, so prices have probably increased - though I had local channels, I also had about 60 or 70 channels that I hardly watched, and those that I did watch, the programs are on Netflix, though they aren't episodes that aired last night.
And if I want to rent a movie that is new, I can rent it off iTunes in HD quality. I do watch the nightly national news through the many news channels on iTunes, and worst case I can load something on my laptop and run a HDMI cable to my TV and have a great screen output. I can't see paying $100 anymore per month for those channels that I can watch again online through a service for a lot less.
But for now, the sports is what keeps most people hooked on cable or satellite. Don't think it will hook me back, the savings I have compared to just not using either one - and the monthly total combined price of using Netflix and my broadband bill don't approach the $100 or more cable/satellite bill a month. This is what keeps the cable/satellite big wigs sweating as more and more people 'cut the cord'! I will eventually get a OTA antenna as my area can pick up quite a few stations broadcasting OTA. Wonder how much longer that will happen, maybe a bill will be passed in congress accusing subscribers as not being 'patriotic' and adding to the fat paychecks of the cable and satellite fat cats? Then they will 'ban' all OTA stations that were free and say it is better for the customer viewing experience.
UPDATE - 3 - 2016 - Still watching Apple TV over broadband - been six years now and haven't missed satellite. I might put an antenna on the roof for local broadcasts though.....