The pay-TV business has been in secular decline for years, with cable and satellite companies’ multi-channel video packages (MVPD) steadily eroding.
But even as pay-TV subscriber friction continues, streaming-oriented virtual multi-channel video providers (vMVPDs) (think YouTube TV and Hulu at the live TV level) continue to gain market share, and two major players in the space seem to be drifting apart. a package.
On July 12, YouTube released new data showing that top vMVPDs now have 12.4 million subscribers, just 20% of the active pay-TV universe, and are well positioned to be one of the areas where we see pay-TV growth. . , thanks to its sophisticated user interface, easy mobility between devices, and seamless check-in and check-out processes.
Although vMVPDs carry many of the same channels as traditional MVPDs (CNN, Food Network, USA, ESPN, etc., showing fantasy sports data in addition to live games).
YouTube revealed that its YouTube TV service reached 5 million subscribers five years after its launch. As the 5 million figure includes free trials, YouTube TV’s latest figures are among its top online rivals, such as Hulu’s (Disney-owned) 4.1 million live TV subscribers and 2.25 million subscribers. Sling TV (owned by Dish), according to these companies. Latest Income Statements.
But while Sling has seen its subscriber base level off (it had 2.5 million at the end of 2020 and 2021, 2.6 million in 2019 and 2.4 million in 2018), YouTube TV and Hulu With Live TV appear to have steadily added subscribers over time (YouTube TV has added about 2 million subscribers since late 2020, the last time figures were released, while Hulu With Live TV grew 8% over the last quarter. )
There are other players in the space, but so far they have been in specific niches, compared to the broad approach taken by Hulu and YouTube (consider FuboTV, run by Edgar Bronfman Jr., with its sports focus, or Philo TV and its ). cheaper entertainment). The exception is DirecTV, now independent from AT&T, which is broadcasting aggressively, although specific numbers are still unclear. Before it started chasing streaming subscriber numbers, DirecTV was on par with Dish’s Sling TV.
Space seems to be evolving at a point where Disney and Google, which have other broadcast platforms in their stables (Disney+, YouTube’s main service, respectively), dominate, while satellite companies and niche players luchan for the rest. the lost
Major pay-TV providers lost 1.95 million subscribers in the first quarter of 2022, compared with 1.91 million a year ago and 1.96 million in 2020, according to Leichtman Research Group. Major cable, satellite and telecom companies now number 66.7 million. subscribers.
However, this does not mean that any service is based on its own merits. As a pure gaming content company, DirecTV now has a strong incentive to increase its streaming ambitions, while Philo launched a brand new campaign on July 12 called “Channeling Comfort” to try to steal market share by emphasizing its ease. of use. and low price.
Pricing is indeed a key factor in the streaming package battle, and it’s an area that gives YouTube another advantage over Hulu: at $64.99 a month, the subscription is cheaper than TV-tier Live from Hulu, which costs $69.99. month.
As for the other options: Philo TV starts at $25 a month, Sling TV starts at $35 a month (each with a much smaller channel selection), and FuboTV and DirecTV start at $69.99 a month, corresponding to to Hulu. .
And if vMVPDs continue to grow and legacy players continue to decline, the future of pay-TV streaming could come sooner than people think.
A version of this story appeared in the July 15 issue. the hollywood reporter magazine. Click here to subscribe.
Source: Hollywood Reporter
Camila Luna is a writer at Gossipify, where she covers the latest movies and television series. With a passion for all things entertainment, Camila brings her unique perspective to her writing and offers readers an inside look at the industry. Camila is a graduate from the University of California, Los Angeles (UCLA) with a degree in English and is also a avid movie watcher.
