The digital revolution is coming for the Pay-TV marketplace with revenues travelling back in time. Now where could I find a modern pay-tv solution? (P.S. We have one)
Pay-TV revenues for 138 countries peaked in 2016 at $205 billion (€182.4bn). Revenues will fall by 14 per cent to $177 billion in 2024 according to Digital TV Research. This is the same level as 2010 – despite the number of pay-TV subscribers climbing by 380 million between 2010 and 2024.
The $80 billion deal gave the phone giant ownership of the Time Warner networks CNN, HBO, Turner Broadcasting, as well as the Warner Bros. film and television library — enough content to allow the company to stake out a two-front strategy of competing against traditional rivals like Verizon and T-Mobile while also challenging Netflix and Hulu.
But AT&T’s ambitions for its streaming service, set for an early 2020 debut, have hit a snag on a small but important detail: How much should it cost for subscribers?
Much has been made in recent weeks about the prospect of Netflix losing popular programs like “Friends” and “The Office” as the owners of those shows — AT&T and Comcast Corp.’s NBC — plot their own online moves and debate whether to keep supplying programs. Netflix has used their shows and movies to upend pay TV and build a streaming business that investors value at more than $150 billion.
Over one quarter (27 per cent) of respondents are already aware of the Disney+ streaming service, despite minimal promotional activity to date. There is significantly greater awareness among the two audiences Ampere has identified as key for Disney+: 45 per cent of 18 to 24-year olds and 36 per cent of households with children were aware of Disney’s plan to launch a new streaming service.
The upcoming WarnerMedia streaming platform is likely to cost between US$16-17 (€14-15) per month, claims the Wall Street Journal.
Citing ‘people familiar with the matter’, the report says that while it will cost more than Netflix, Disney+ and Amazon Prime Video, the value proposition comes from the inclusion of HBO Now and Cinemax in addition to original programming. Those two offerings sell for US$14.99 (€13.38) and up to US$12.99 (€11.59) a month respectively.
According to a study by Futuresource Consulting, overall eSports industry revenues are set to exceed $900 million (€799.2m) this year with an 18 per cent 19-23 CAGR expected, driving revenues through the billion-dollar mark in 2020 and onto $1.8 billion by 2023. As key events attract viewing figures comparable to tier 1 sporting competitions, securing exclusivity of major eSports events will become strategically important for both traditional sports broadcasters and the largest eSports streaming platforms.