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CBS’s Streaming Success Paves the Way for Disney

By U.S. News & World Report

After years of flirting with the idea, Walt Disney Co. (NYSE: DIS) finally pulled the trigger on launching its own over-the-top streaming video service starting in 2019. Disney certainly isn’t the first media stalwart to make a big bet on streaming. While Netflix ( NFLX) subscriber counts always seem to make headlines, CBS Corp. ( CBS) has had its own under-the-radar streaming service for nearly three years.

CBS launched its CBS All Access streaming service in October 2014. Less than a year later, CBS also launched a stand-alone over-the-top streaming service for Showtime, similar to the HBO NOW offering provided by Time Warner Inc ( TWX). CBS recently announced a new $14.99/month bundle subscription that includes both services.

Disney seems to be taking a similar two-pronged approach by launching one subscription service for TV and movie content and another for ESPN sports content.

[See: 10 Great Tech ETFs That Stay Under the Radar.]

CBS is aggressively pursuing sports streaming as well, announcing NFL football streaming on All Access starting back in December 2016.

The over-the-top push is paying off for CBS in terms of subscriber growth.

“Our in-house over-the-top subscription services, CBS All Access and Showtime OTT, continue to grow beyond our expectations and are on track to surpass a combined 4 million subscribers by the end of 2017,” CEO Leslie Moonves said following the company’s second quarter earnings report on Monday. “We are now gearing up to take the next strategic step with All Access by expanding it into the international marketplace, starting with Canada in the first half of 2018.”

CBS has a lot of ground to make up to catch Netflix’s 104 million subscribers, but its two over-the-top services are off to a strong start. So far, the effort is paying off for shareholders as well. Since launching All Access in 2014, CBS stock is now up 18.9 percent compared to only a 12.9 percent gain from Disney stock in that time.

Earlier this year, Nomura analyst Anthony DiClemente predicted CBS’s over-the-top services will be a key part of the company’s future.

“Overall, we remain constructive on CBS’s 2017/18 story, its steady capital returns, its financial discipline with respect to M&A, its [retransmission] growth, and the company’s innovative [over-the-top] products,” DiClemente says.

[See: How to Invest in Esports: 7 Winning Stocks.]

Disney’s media empire and market expectations may be much higher than those of CBS, but CBS has demonstrated that breaking into the streaming business can be a relatively painless transition when executed properly.

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CBS’s Streaming Success Paves the Way for Disney originally appeared on usnews.com

Don’t Settle for Student Loans to Pay for Online Education

By WTOP Staff
Online college programs are becoming a more popular choice for prospective students, with one study finding that more than 6 million students enrolled in at least one online course in fall 2015. The popularity of these courses can be attributed in part to their flexibility with working adults' schedules, students' ability to progress more quickly through online programs and, oftentimes, cheaper tuition. [See 10 low-cost online bachelor's programs for out-of-state students.]Online degrees can be beneficial to many college students, but some studies have shown online learners complete their programs at lower rates than students at traditional brick-and-mortar campuses. Individuals with student loans but no degree comprise two-thirds of defaulted borrowers. Though these numbers are not encouraging, just like for traditional programs, there are ways to reduce how much you'll need to borrow for an online program to ensure you won't become one of these statistics. Don't just settle on borrowing student loans to cover the whole cost of your program and living expenses. Instead, start thinking about how to cut costs and cover your balance in different ways, such as the following. -- Grants and scholarships: Even though you are taking an online course, you can still apply and receive grants and scholarships. But your first step should be to complete the Free Application for Federal Student Aid, commonly referred to as the FAFSA, which will allow you to receive a Pell Grant if your expected family contribution is low enough. The EFC criteria and award amounts are adjusted annually, but the 2017-2018 academic year awards range from $606 to $5,920, which could significantly lower the amount you borrow annually. Your next step is to apply for scholarships. You can start by checking online scholarship search engines, such as the Salt Scholarship Search, College Board's BigFuture and Peterson's. But don't forget to take advantage of local organizations and your school's financial aid office. Both may offer scholarships that you can't find with a national scholarship search. [Review these 10 sites to kick off your scholarship search.]For instance, organizations like the Elks Club, Knights of Columbus or the Rotary Club typically offer scholarships annually to local students. Just because you're going to school online doesn't mean you're ineligible. Visit your local library for scholarship listings, and ask around town. You might be surprised how many local organizations offer scholarships. While these scholarships typically aren't large, every little bit counts. Each dollar you receive in a scholarship is a dollar you don't have to borrow and pay interest on. -- Work-study: Another option for online students may be work-study awards. Not all students enrolled in online programs are eligible, but students at some schools -- including, for example, SUNY Empire State College and Liberty University -- are. Work-study awards are not given upfront like scholarships and grants. In most cases, they are an offer to earn up to the awarded amount if you secure an eligible work-study job. While there is a misconception that all work-study jobs must be on campus, students can work for off-campus, nonprofit or public employers as long as the work is in the public's interest. You may be able to work for a for-profit employer if the job is relevant to your course of study. No matter who the outside employer is, it will need to have an established agreement with your college for you to receive work-study funds. Remember, to be eligible for federal financial aid, you must be enrolled and pursuing a degree or certificate. If you're not working toward a credential, Pell Grants and work-study won't be option, but you may still be able to take advantage of private scholarships -- just be sure to read the eligibility criteria carefully. [Explore what to know about financial aid in online programs.]-- Pay as you go: One of the great benefits to enrolling online is the flexible schedule, which can allow you to complete your college coursework around your responsibilities. But prospective students often overlook using their part- or full-time job earnings as an option for paying for college. Almost 80 percent of college students in 2015 worked at least part time while attending classes, according to the National Center for Education Statistics. By budgeting and thinking strategically about your college costs, you can likely reduce your dependence on student loans by paying a portion out of pocket. Many -- but not all -- online programs are less expensive than traditional programs and often have shorter payment periods. Six, eight or 10 weeks are common course durations. Because of the frequency of payments in an online setting, you may be well-placed to pay as you go and possibly avoid borrowing altogether. Attending college online and avoiding student loans may be challenging, but if you are willing to put in the effort, you can limit the amount you need to borrow. More from U.S. News Q&A: Understanding Student Loan Discharge Eligibility Student Loan Refinancing Isn't Right for All Borrowers
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