https://www.statsignificant.com/p/the-broken-economics-of-streaming
This report examines the financial instability in the streaming industry, focusing on the unsustainable economic models of platforms such as Paramount Plus.
Content Costs and Subscriber Retention
- Expenditure on Content: Streaming services invest heavily in content creation and acquisition to attract subscribers.
- Diminishing Returns: The escalating costs lead to diminishing returns as subscriber growth plateaus.
Competitive Landscape
- Continuous Production: High competition forces continuous, expensive content production to retain subscribers.
Future Projections
- Cable TV Model: The industry may shift towards models resembling traditional cable TV, incorporating advertising, subscription bundling, and higher prices to achieve financial sustainability.
NEWS TV NEWS
Hollywood’s Top TV Execs Are Happy About The Death Of Peak TV – Here’s Why
https://www.slashfilm.com/1593571/peak-tv-dead-hollywood-top-tv-execs-happy/
- Streaming services weren’t required to reveal their subscription numbers or actual viewership
- Shows just needed to look good on paper for investors and stockholders.
- Creators and actors soon learned they weren’t getting paid beyond an initial flat fee; royalties were now gone.
- 600 shows at once wasn’t good for anyone
- Thanks to the strikes, it all came crashing down
