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State of the Screens

What Media Companies Might Be Overlooking in Their Rush to Jump on the OTT Bandwagon

By October 23, 2018No Comments
The streaming video market is getting crowded with several new entrants looking to join the fray.

Recent entrants include:
1) ESPN+
2) DC Universe
3) Bleacher Report Live

Potential entrants include:
1) Quibi
2) Disney
3) WarnerMedia
4) Apple
5) College Humor
6) Discovery
7) Fox Nation

The big question: How many different streaming services are consumers willing to subscribe to?

Quote from Dan Rayburn — Streaming Media Analyst @ Frost & Sullivan:
“Realistically you’re not going to have a consumer with more than two or three services per month… Especially when you consider that these streaming services still largely supplement, rather than replace, traditional cable packages. There’s only so much disposable income to go around, no matter how much you care for The Marvelous Mrs. Maisel.”

Flashback #1: OTT Carves Out Bigger Slice of Pay-TV Pie

Streaming pay-TV providers by subscriber numbers (% of total):
1) Sling TV — 2.4M (31%)
2) DirecTV Now — 2.2M (28%)
3) Hulu Live — 1.1M (14%)
4) PlayStation Vue — 745K (10%)
5) Other — 500K (7%)
6) YouTube TV — 410K (5%)
7) fuboTV — 250K (3%)
8) Philo — 150K (2%)

Flashback #2: A Rising SVOD Tide May Not Raise Subscription Prices

More #1: Why skinny TV bundles are getting fatter

More #2: The battle for the future of TV

More #3: Is DIRECTV NOW & Sling TV Really Cord Cutting? Let’s Take a Look…

Michael Beach

Michael Beach

Michael Beach is the Chief Executive Officer of Cross Screen Media, a media analytics and software company that enables marketers to plan, activate, and measure CTV and linear TV at the local level. Michael is also the founder and editor of State of the Screens, a weekly newsletter focused on video advertising that is a must-read for thought leaders in the advertising industry. He has appeared in such publications as PBS Frontline, The Wall Street Journal, The New York Times, Axios, CNBC and Bloomberg, and on NPR’s Planet Money podcast.