Netflix just made the case that there’s plenty of capacity in the SVOD market to accommodate new competition, and a new Digital TV Research report is backing that assertion up.
According to the report, there will be 270 million SVOD subscriptions in North America by 2024, with many homes taking more than one service. There were 160 million SVOD subscriptions at the end of 2018, the research company said.
Disney+, the new streaming service being launched by The Walt Disney Company in the fall, will grow to have 25 million paying customers in five years in North America, the report predicted.
The research firm forecasted more modest growth for Apple TV+, suggesting it will only reach around 8 million subscribers by 2024 in those markets.
Under the research firm’s model, all boats rise, with Hulu nearly doubling a base of 21.4 million paid users in North America.
Netflix, which currently has around 58.5 million North American subscribers, will add another 10 million there by 2024, Digital TV Research also said.
“Netflix’s share of the total will fall from 37% in 2018 to 25% in 2024, despite the company adding 10 million subscribers,” noted Simon Murray, principal analyst at Digital TV Research, in a statement.