New projections highlight just how much money is shifting from traditional broadcast and pay TV to streaming, with Caretta Research predicting that the global broadcasting industry and pay TV are expected to lose $42 billion in revenue between 2024 and 2029, while streaming is expected to grow by $93 billion (41%) by the end of the decade.
At the same time, traditional TV household penetration is in decline, and broadband penetration is increasing, signaling an urgent need for broadcasters to accelerate their streaming strategies, the researcher reported.
The situation is most acute in Europe where TV set ownership is declining, the study found. The number of households with broadband access will surpass those with a TV set by 2030, enabling Wi-Fi-connected smartphones and tablets to challenge the TV set as the key devices for reaching mass audiences.
“Broadcast and streaming are both huge opportunities in the next five years and successful strategies need to address both audiences. Recent content sharing and cross-promotion deals between ITV and Disney, and TF1 and Netflix, show how broadcasters and streamers are starting to think outside their own apps to achieve this. These deals also put further pressure on pay TV operators’ role as content aggregators, " said Dan Simmons, research director at Caretta Research.
“For technology vendors the opportunity has moved past streaming enablement. To thrive, they must provide efficient solutions that help media companies manage the operational, technical and contractual complexity arising from distributing content across an increasingly wide array of partners, platforms and deals to maximise audiences,” Simmons added.
More data from the study is now available in Caretta Portal covering more than 200 countries. It offers market sizing data for broadcast, pay TV, streaming and telecoms that is designed to help companies develop detailed strategies for whichever markets they operate in.
To learn more about media and telecoms services insights in Caretta Portal, contact info@carettaresearch.com.
