While widely adopted, pay TV is increasingly threatened by changing consumer habits and substitutes. From virtual MVPDs to new Android set-top boxes, the pay-TV industry continues to reshape itself to address current competition and consumer demands. This report examines competitive trends, alternatives to pay TV, and their impact on the television industry. It profiles the leading virtual MVPD services and their strategic approaches to the pay-TV market. The report includes five-year global pay-TV forecasts.
Bottom Line
Cord-Cutting among Consumers
Rising Cost of Content
Competition with vMVPDs and Others
Subscription Aggregators Pose a Larger Threat Than vMVPDs
Live OTA Broadcasts Are Staging a Comeback
Sports and Content Production in 2020
Impact on Sports Media Rights
New Content Production
Strategies Among Pay-TV Providers
A Focus on Valuable Subscribers
Horizontal and Vertical Integration
Comcast
AT&T
DISH
Set-Top Boxes and App-Based Pay-TV
Advanced Set-Top Box Systems
Android TV and X1 Licensing
Android TV’s Challenger: Comcast’s X1 Platform
App-Based TV and Support for Mobile Devices
OTT Service Bundling and Aggregation
Partnerships with vMVPDs and Others
Market Forecasts
Implications and Recommendations
Create Channel Bundles without Sports
Make Use of App-Based Delivery Models to Innovate on Features
Sports Features and Sports Content for Sports Fans
Watch Parties and Social Viewing
Support Customers on the Platforms They Use
Grow Alternative Revenue Models
Aggregation and Advertising in a New Format
Sports Betting and Sports Betting Content
Look to Alternative Content Sources and New Service Types
Ongoing Change and Market Shifts
Appendix
Pay-TV Adoption by Type (2019-2020)
Pay-TV Services by Type
Seven Key Drivers for Cord-Cutting
Pay-TV vs. OTT Adoption in the US
Recent US Pay-TV Price Increases
Cost of Programming/Content Paid by Major Pay-TV Providers
Adoption of Online Pay-TV from Newcomers vs. Traditional Players; US only, Q3 2020
Adoption of Pay-TV Services Among US Broadband Households by Generation
Top US OTT Video Services
Share of Online Video Viewing Time Per Platform
Share of Time Spent Watching Content
Forecast of Pay-TV Adoption in North America: 2020 - 2024
Estimated vMVPD Share of the US Pay-TV Market: 2015-2024
Watcho User Interface
© Dec 2020 Parks Associates
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Printed in the United States of America.
Disclaimer
Parks Associates has made every reasonable effort to ensure that all information in this report is correct. We assume no responsibility for any inadvertent errors.
