Cord-cutting is now showing a significant impact on the multichannel TV business, with PricewaterhouseCoopers predicting TV subscription revenue will slide to $92.7 billion in 2022, a decline from its peak of $101.1 billion in 2015. It also forecasts that total spending on internet access will jump to $196.9 billion in 2022, up from $157.4 billion in 2018.
Magna predicts the spend on digital advertising will be more than three times larger than linear TV advertising by 2023, when digital will hit $164 billion — about 69% of all advertising.
Electronic video rentals will hit $26.7 billion by 2022, while revenue from physical home video continues to collapse, fall- ing to only $3.4 billion by 2022, according to PwC. The company also predicts that by 2022, sports teams and leagues will see their revenue from media rights increase to $23.8 billion in North America.
Subscription video-on-demand revenues will skyrocket from $18 billion in 2018 to about $25 billion by 2022, while total revenues from OTT sales and subscriptions will reach $30 billion 2022.
While TV is still the most popular way to watch video among all online users, 35% of millennials say they prefer to stream video, versus 30% of millennials who say TV is their first choice for watching video, according to new survey data from Magid.
Only 71% of 18-to-34-year-olds still have a multichannel subscription, but 26% have a subscription from a vMVPD and 89% stream at least some content, according to Horowitz Research.
The number of people who say they are very likely to cancel their pay TV subscription is an all-time high, according to survey data from Magid.
New research from Horowitz shows ethnic viewers are more likely to watch shows that feature actors from their ethnic group and view such shows as more authentic. Here's how respondents replied to a series of questions about diversity in TV programming and ads.
Asian-Americans are least likely to have a traditional pay TV service and are the most likely ethnic group to have a subscription to a virtual MVPD, according to Nielsen.
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