The streaming video industry isn't quite the same as streaming music. But as more content becomes available on streaming platforms, the less content people will take from digital downloads.
Here's the rub. Digital download and rental sales have already fallen off the cliff. Self-reported rental and download spend in the U.S. has been cut in half since 2012, according to Parks Associates. The average consumer claims to spend only a couple of bucks a month on downloads.
So while companies with digital video stores like Apple or Amazon.com could see a further decline in downloads, there's not much farther to fall.
From the article "Where Will Streaming Subscription Budgets Come From?" by Adam Levy.
Nearly 35% of US broadband homes watch user-generated video on sites like YouTube, Vimeo, and Dailymotion at least 10 days per month, according to Parks Associates. The firm’s new OTT research clai...
“Importantly, all of these services have increased their subscriber base over the past year. The top five OTT services have stayed consistent, primarily through maintaining or growing the massive user...
And speeds appear to matter. Parks Associates reported way back in 2015 that fully one quarter of Americans who switched to a new ISP "did so in order to obtain a faster service at a comparable price....
“Pay TV subscriptions have dropped each year since 2014, falling to 81% of US broadband households in Q3 2016,” said Brett Sappington, senior director of research, Parks Associates. “Several factor...
