Streaming Services Market Size, Share | Global Forecast [2033]

STREAMING SERVICES MARKET OVERVIEW

The global Streaming Services Market size was valued approximately USD 129.80 in 2024 and will touch USD 865.85 by 2033, growing at a compound annual growth rate (CAGR) of 20.90% from 2024 to 2033.

Streaming Services are online platforms that directly deliver a diverse range of content, including audio, video, and other multimedia, to end-users via the Internet, removing the need for pre-downloads. They let users engage with content either in real-time (through live streaming) or at their convenience (by accessing pre-recorded materials). Typically, these services make money via subscription models or advertising revenue streams.

COVID-19 IMPACT

“Surge in Subscription Growth”

The pandemic spurred a sudden, dramatic surge in streaming platform subscriptions, driven by people staying home for long stretches. Big names like Netflix, Disney+, and Amazon Prime Video all saw sharp rises in their subscriber counts. In just the first quarter of 2020, Netflix gained over 15 million new subscribers, more than doubling initial forecasts. As consumers dropped cable for on-demand entertainment, streaming services grabbed a bigger slice of the TV-viewing market. In the US, 2020 was the first time that overall streaming time surpassed traditional TV time.

LATEST TREND

”Subscription Fatigue”

In recent times, consumers have become ever more discerning when it comes to picking subscription services. With a plethora of options flooding the market, they no longer settle for just any offering. Instead, they meticulously evaluate factors such as content variety, user experience, and cost-effectiveness. This newfound fastidiousness has set in motion a significant shift within the subscription landscape.

STREAMING SERVICES MARKET SEGMENTATION

By Type

Based on Type, the global market can be categorized into Live Video Streaming,Non-Linear Video Streaming.

Live Video Streaming:Live Video Streaming represents the instant spread of content across the vast digital expanse of the internet, giving viewers the opportunity to watch events unfold in real-time. This streaming method is widely used in a rich variety of fields, including live sports events, gaming tournaments, music concerts, news reports, and numerous other occurrences that count on immediate, unadulterated viewer participation. Unlike traditional television, often shackled by a rigid programming timetable, live streaming cultivates a more immersive and interactive experience. It lets users interact with on-screen content via live chat features, instant reactions, and commentary. Well-known platforms like Twitch, YouTube Live, and ESPN+ target a wide range of audiences, from hardcore gamers and sports enthusiasts to those after more diverse entertainment. The rapid growth of live streaming has been boosted by social media influencers, the rise of virtual events, and the explosive growth of online gaming. In turn, these factors have uncovered new chances for both engaging the audience and making money.
Non-Linear Video Streaming:Non-Linear Video Streaming entails on-demand access to video materials, endowing users with the authority to deliberately curate their viewing content and timing, free from the strictures of a rigid programming roster. This streaming model has sparked a revolutionary upheaval within the entertainment sphere, gifting viewers an unparalleled degree of latitude and autonomy regarding their content consumption habits. Platforms such as Netflix, Disney+, and Amazon Prime Video flaunt expansive repositories brimming with feature films, TV series, documentaries, and proprietary original works, all available on-demand without delay. Such convenience has catapulted binge-watching into a salient cultural phenomenon. Non-linear streaming commonly derives its sustenance from subscription-based video-on-demand (SVOD) frameworks, advertising-supported video-on-demand (AVOD) models, or a hybrid methodology, empowering service providers to address the diverse predilections of consumers. The emphasis on original programming endeavors, the assertive foray into global content portfolios, and the implementation of personalized recommendation algorithms have functioned as the driving engines behind the meteoric expansion of this segment. Consequently, it has ascended to the position of a dominant force within the streaming marketplace.

By Application

Based on application, the global market can be categorized into Gaming Consoles, Laptops & Desktops, Smartphones & Tablets, Smart TV.

Gaming Consoles:Gaming Consoles, typified by the vanguard models like PlayStation, Xbox, and Nintendo Switch, have blossomed into comprehensive entertainment hubs. Once confined to the niche of video game platforms, these devices have now vaulted beyond that limited remit; they've broadened their functional scope to integrate streaming services, thereby facilitating the dissemination of movies, television serials, and live happenings. By dint of the seamless incorporation of platforms such as Twitch and YouTube Gaming, users gain the ability to broadcast their live gaming forays. Simultaneously, they can delve into a copious array of on-demand video content, a veritable tapestry of entertainment options. This transformation has firmly established gaming consoles as highly adaptable choices, alluring not only die-hard gaming aficionados but also those in pursuit of a more all-inclusive entertainment spectrum. Nonetheless, gaming consoles are not without their challenges. They must contend with fierce competition from more portable rivals, namely smartphones and Smart TVs. These competing devices, too, have been experiencing a whirlwind of rapid enhancements in their entertainment capabilities, constantly raising the bar in the race for consumer attention.
Laptops & Desktops:Laptops and desktops form a multifaceted and sturdy foundation for streaming endeavors, parading expansive displays and powerful processing prowess that underpin the seamless diffusion of premium content. Via these devices, consumers unlock access to a panorama of streaming services, with Netflix, Amazon Prime Video, and Hulu standing as prime exemplars. The capacious displays, coupled with multitasking capabilities, render laptops and desktops optimal for users seeking to juggle work commitments while indulging in streaming content concurrently. However, they do contends with rivalry from more portable alternatives, such as mobile devices and smart TVs.
Smartphones & Tablets:Smartphones and tablets have emerged as the preeminent portable and user-friendly devices for streaming, endowing users with the capacity to engage with content regardless of their locale. Thanks to streaming applications meticulously tailored for mobile platforms, consumers can delve into an extensive anthology of video and music resources spanning across the likes of Netflix, YouTube, and Spotify. The compact form and high portability of these devices make them perfect for short-form content consumption. Nevertheless, when it comes to long-form content like feature films or television series, the relatively diminutive screen dimensions may curtail the overall viewing experience.
Smart TV:Smart TVs, as televisions equipped with in-built internet access, organically incorporate streaming services into their exclusive operating systems. This seamless integration empowers users to tap into a broad expanse of on-demand content from platforms such as Netflix, Disney+, and Amazon Prime Video. Boasting roomy screens and cutting-edge display tech, like 4K and High Dynamic Range (HDR), Smart TVs deliver an engrossing viewing escapade, rendering them the premier pick for home entertainment. However, they encounter intense rivalry from streaming gadgets, with the likes of Chromecast and Amazon Fire TV scrambling for a portion of the market share.

MARKET DYNAMICS

Market dynamics include driving and restraining factors, opportunities and challenges stating the market conditions.

Driving Factors

”Increased Consumer Demand for On-Demand Content”

The surging penchant among consumers for flexibility in content consumption has spurred a momentous deviation from traditional television and cable services. Streaming platforms proffer on-demand entry to a vast repository housing motion pictures, television series, music, and sundry other media forms, conferring on users the prerogative to interact with content at their own discretion, unfettered by the constraints of time or place. This proclivity is especially conspicuous among younger cohorts, who evince a distinct preference for on-demand, individualized content encounters over the inflexible timetables of conventional programming.

“Improvement in Internet Infrastructure and Speed’

The unremitting advancement of internet infrastructure, especially the all-pervasive deployment of 5G networks along with the augmentation of broadband services, has functioned as the linchpin underpinning the burgeoning expansion of the streaming market. Thanks to the expedited internet speeds and more stable connections, consumers can now stream high-definition and 4K content with negligible buffering.

Restraining Factor

”Intense Competition and Market Saturation”

The streaming market is characterized by fierce competition, as a multitude of players proffer analogous services. Dominant behemoths such as Netflix, Amazon Prime Video, Disney+, and Hulu hold sway, yet there also exist niche-oriented services. Shudder, for instance, specializes in horror films; DAZN caters to sports enthusiasts, while Apple TV+ focuses on exclusive original content. As an escalating number of companies flood into this market, it is growing ever more arduous for any single platform to distinguish itself.

“Rising Content Acquisition and Production Costs”

To remain competitive and allure subscribers, streaming platforms are compelled to pour substantial investments into content acquisition and production. Over recent years, the expenditure associated with licensing sought-after shows and movies from conventional studios, along with the outlay for crafting exclusive original content, has soared exponentially. Take Netflix, for instance; it shells out billions each year on original programming initiatives and content procurement.

Opportunity

”Ad-Supported Subscription Models”

Ad-supported streaming paradigms, exemplified by Hulu's ad-supported plan, Peacock, and Paramount+, are witnessing rapid expansion, especially as consumers hunt for more budget-friendly streaming alternatives. These platforms are rolling out lower-cost subscription echelons, through which users can gain access to content interspersed with advertisements. This strategy empowers the platforms to generate revenue from users who either lack the means or the inclination to opt for ad-free subscription packages.

“Diversification into Live Sports and Events”

Live sports and events constitute a significant growth vector for streaming services, affording them the prospect of luring in new subscribers while retaining the existing user base. Platforms such as DAZN, ESPN+, and Amazon Prime Video have already been plowing substantial resources into sports content. Moreover, streaming services stand to broaden their horizons by venturing into live events spanning concerts, eSports, and other forms of entertainment spectacles.

Challenge

”Subscriber Churn”

Churn, which is delineated as the rate at which subscribers sever their subscription ties, represents a formidable quandary for streaming services. In this contemporary epoch, where consumers are deluged with a vast array of content options and can seamlessly migrate across various platforms, the issue of subscriber churn has vaulted to the forefront as an urgent predicament. Elements like exorbitant subscription fees, a dearth of compelling content, or discontent with the overall user experience all play a part in fueling this phenomenon.

“Piracy and Unauthorized Distribution”

Piracy persists as a formidable hurdle for streaming services. Illegitimate websites and torrents offer gratis access to content that is otherwise only accessible via paid streaming platforms. This unauthorized dissemination not only siphons off potential revenue from legitimate platforms but also erodes the very foundation of the value proposition underpinning lawful subscriptions. Despite ongoing endeavors to stymie illegal streaming, piracy continues to flourish, particularly within markets where subscribing to legitimate services is less financially feasible.

STREAMING SERVICES MARKET REGIONAL INSIGHTS

North America:

North America, led by the powerhouses of the United States and Canada, stands as one of the most mature and hyper-competitive streaming landscapes. In this region, colossal platforms like Netflix, Amazon Prime Video, and Disney+ hold unrivaled dominance. Propelled by the surging craving for on-demand content, a shift from traditional cable TV to streaming is in full swing. Yet, the competitive fray is brutally intense; content expenditure is skyrocketing, and market saturation looms menacingly as a towering hurdle. To carve out a distinct niche, platforms are funneling resources into original programming and rolling out ad-supported models, aiming to draw in customers who are highly sensitive to price.

Europe:

Europe presents a highly variegated landscape, where global streaming behemoths jostle for market share alongside regional services such as BBC iPlayer and Salto. The uptake of streaming services is on the rise, buoyed by the extensive penetration of the internet across the continent. However, this market is fraught with challenges. Regulatory disparities and content fragmentation pose significant stumbling blocks. Streaming platforms are compelled to deftly maneuver through EU-mandated content quotas and stringent data privacy regulations, all while tailoring content to resonate with the diverse cultural predilections of local audiences. Notwithstanding these impediments, Europe endures as a robust market, witnessing a swelling demand for both international blockbusters and homegrown, regionally relevant content.

Asia:

Asia has emerged as the most rapidly expanding region within the streaming landscape, propelled by the pervasiveness of smartphones and the prevalence of mobile-first viewing habits, especially in nations such as India, China, and South Korea. Here, local powerhouses like Tencent Video and Hotstar hold sway, even as they contends with global streaming services. Despite the market's immense growth potential, it is besieged by threefold challenges: regulatory strictures, consumers' acute price-consciousness, and the unrelenting blight of piracy. To flourish within this intricate and fiercely competitive arena, streaming services are compelled to customize content to suit local palates and introduce cost-effective offerings. In a nutshell, North America, while highly competitive, represents a mature market. Europe, on the other hand, presents growth opportunities yet is fraught with regulatory complexities. Asia, brimming with explosive growth potential, has to grapple with its own set of distinctive obstacles.

KEY INDUSTRY PLAYERS

”The streaming market is highly competitive, with global and regional players.”

The competitive terrain of the Streaming Services market is sculpted by a multifaceted array of participants, each jostling for supremacy across distinct regions and market segments. The rivalry is cutthroat, pitting leading global platforms against regional and specialized services.

List of Top Streaming Services Companies

IBM Corporation
Alphabet Inc.
Amazon.com, Inc.
Netflix, Inc.
Hulu LLC (The Walt Disney Company)
Brightcove, Inc.
Apple, Inc.
Roku, Inc.
Haivision, Inc.
Tencent Holdings Ltd.

REPORT COVERAGE

The study encompasses a comprehensive SWOT analysis and provides insights into future developments within the market. It examines various factors that contribute to the growth of the market, exploring a wide range of market categories and potential applications that may impact its trajectory in the coming years. The analysis takes into account both current trends and historical turning points, providing a holistic understanding of the market's components and identifying potential areas for growth.

The Streaming Services market is booming, driven by global titans like Netflix, Amazon Prime Video, and Disney+, plus regional players. Consumers are ditching traditional TV for ad-free, on-demand content, especially original shows. But challenges abound, from fragmented content to soaring costs and price sensitivity. Going forward, AI will fuel more personalization, regional content will take center stage, and ad-supported models will expand to lure cost-conscious users. Streaming platforms will also keep growing in emerging Asian and African markets, while competition stays fierce across all sectors.