The evolution of content distribution and the consistent growth of over-the-top (OTT) streaming generates industry predictions of the inevitable decline and fall of pay TV. As video ecosystems collide, the industry remains in a state of great change.
While streaming continues to grow, the number of pay-TV subscriptions in the U.S. is expected to remain relatively stable and to continue to grow elsewhere in the world. While media coverage focuses on cord cutting, the impact has been minimal thus far. Total pay-TV subscriptions in the U.S. are expected to decline by 0.3 percent between 2015 and 2019. To some extent, the actual number of subscriptions will be propped up by increases in the number of pay-TV households, although the actual penetration is expected to decline from 83 pereent in 2015 to 80 percent in 2019.
From the article "Finding OTT's Tipping Point: Three Factors Could Push It Past Pay-TV Subscriber Totals" by Barbara Kraus.
Parks Associates analyst Brett Sappington agreed that it will be compelling for some customers, particularly due to content that won’t be available elsewhere like MLS games and some of the college spo...
Media research firm Magrid has found that 26% of millennials share passwords for video streaming services, while Parks Associates predicts that in 2021, $9.9 billion of pay-TV revenues and $1.2 billio...
Brett Sappington, director of research at Parks Associates, said price increases are a leading reason why viewers cancel subscriptions. “Customers don’t like surprises that hurt their pocketbook,”...
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