WarnerMedia to Introduce an Ad-Supported Tier of HBO Max

Aiming to increase its subscriber base, HBO Max is launching a lower priced, ad-supported tier in the first week of June. The new tier is priced at $9.99 a month versus the ad-free tier at $14.99 a month. Subscribers to the lower priced tier will not have access to Warner Bros. features that debut simultaneously in theaters and on the higher-priced tier. WarnerMedia revealed that the ad-supported version will serve “limited commercials,” and allow advertisers to reach viewers in a way they cannot on linear TV. The company is also planning steps toward global expansion. Continue reading WarnerMedia to Introduce an Ad-Supported Tier of HBO Max

Netflix Battles New Rivals, Cracks Down on Password Sharing

Netflix, with 207.6 million global subscribers, still dominates streaming video. But the growing number of rivals, including Disney+, HBO Max, Paramount+, Apple TV+, Amazon Prime Video and Hulu, is beginning to chip away at its position. Netflix reported four million new subscribers in Q1 2021, below the six million it predicted; it expects only one million new customers in the current quarter. It is also cracking down on password-sharing, but co-chief executive Reed Hastings said the process won’t be aggressive. Continue reading Netflix Battles New Rivals, Cracks Down on Password Sharing

Forecast: Global E-Commerce to Reach $1.4 Trillion by 2025

Euromonitor International conducted a study in October on the rise of e-commerce during the COVID-19 pandemic and found that 74 percent of worldwide retail and consumer brand experts believe the trend will become permanent. The study projected that between 2020 and 2025 half of the absolute value growth for the global retail sector will be digital, equating to $1.4 trillion. Of that, the United States and China will be responsible for 55 percent of the value growth. Latin America also experienced significant e-commerce growth in 2020. Continue reading Forecast: Global E-Commerce to Reach $1.4 Trillion by 2025

Netflix Tops 200 Million Subs in 2020, Lifted by the Pandemic

By the end of 2020, Netflix signed up a record 37 million new subscribers for a total of 203.7 million users, driven by the home-bound people eager for more entertainment during the COVID-19 pandemic. This latest bump in subscriber numbers took place in an increasingly competitive environment with new streaming services, including Disney+, Apple TV+, HBO Max and Comcast’s Peacock. Unlike other TV networks, Netflix has been able to offer more new content during the pandemic, with 500+ new titles in post production or ready to air. Continue reading Netflix Tops 200 Million Subs in 2020, Lifted by the Pandemic

Netflix Growth Lags in Q3, Largely Due to More Competition

Netflix revealed it added 2.2 million subscribers in the third quarter, although it predicted in July it would add 2.5 million. The slowdown follows two quarters of growth that was much larger than anticipated and added 26 million net subscribers, nearly its entire subscription growth for 2019. On the news, shares fell 6.4 percent in after-hours trading. To boost growth, Netflix created a new promotion that will offer everyone in a country access to free service for a weekend; the promotion will first launch in India. Continue reading Netflix Growth Lags in Q3, Largely Due to More Competition

Spotify’s Ad Business and User Activity Are Trending Upward

With the COVID-19 pandemic, music streaming and media services provider Spotify Technology experienced deep losses in the quarter ending June 30 including declines in daily active users and listening time as well as payroll taxes that were higher than expected. Now the Stockholm-based company reported that its advertising business is improving just as its listeners’ time spent on the app reached pre-pandemic levels. In fact, by the end of the same quarter, all regions served by Spotify — with the exception of Latin America — returned to those levels. Continue reading Spotify’s Ad Business and User Activity Are Trending Upward

Newzoo Predicts Global eSports Revenue to Top $1B in 2020

Newzoo reports that, for the first time, eSports revenue will surpass $1 billion this year, even without including broadcasting platform revenues. By revenue, China is the largest market ($385.1 million), with North America coming in second, with $252.8 million. Although Newzoo has been criticized for hyping eSports, the research company said it has re-evaluated the size of the market with better methodologies. It stated that the total global eSports audience will grow to 495 million in 2020. Continue reading Newzoo Predicts Global eSports Revenue to Top $1B in 2020

Netflix Targets International Markets as U.S. Growth Slows

For the first time, Netflix released subscription details and numbers for global regions, including Asia, Europe and Latin America. The company stated in October that it would begin to release this information. It comes after another first: Netflix’s loss of U.S. subscribers — 126,000, to be exact — in Q2 2019. With 60 million Netflix subscribers in the U.S., Netflix appears to have saturated the U.S. market, which is valued at $9 billion annually, making its focus on global markets more crucial. Continue reading Netflix Targets International Markets as U.S. Growth Slows

Newzoo Forecasts U.S. Will Top Gaming Market This Year

According to market research company Newzoo, the United States is on the cusp of becoming the world’s top gaming market at $36.9 billion, the first time since 2015, and supplanting China. Newzoo said its forecast isn’t due to the 2018 freeze on gaming licenses in China, but rather is a reflection of “new console users and in general massive growth in console spending” on both Sony PlayStation and Microsoft Xbox. Newzoo senior market analyst Tom Wijman points out that about 50 percent of U.S. game revenues come from consoles. Continue reading Newzoo Forecasts U.S. Will Top Gaming Market This Year

Bond’s Meeker Predicts Our Digital Future in Annual Report

At Code Conference 2019 in Scottsdale, Arizona, Bond Capital general partner Mary Meeker delivered her annual, highly anticipated Internet Trends Report. The 333-page slideshow looked at trends from the growth of Internet ad spending to digital delivery services in Latin America. One eye-opening fact she reported is that about 51 percent of the world, equaling 3.8 billion people, used the Internet in 2018, up from 49 percent (3.6 billion) the previous year. Smartphone sales are slowing since so many people likely to be online already are. Continue reading Bond’s Meeker Predicts Our Digital Future in Annual Report

Ericsson Forecast: 5G Rollout Will Set New Record for Speed

According to an Ericsson Mobility report, 5G will have the fastest rollout in mobile history, achieving mass market status in 2020 and available in 40 percent of the world by 2024. As a provider of 5G infrastructure hardware, Ericsson is well positioned to make this prediction, although it tempered its own enthusiasm by warning that, “many challenges lie ahead.” Ericsson based its forecast on the fact that manufacturers are building 5G chips and devices and consumer anticipation for 5G is higher than previous generations. Continue reading Ericsson Forecast: 5G Rollout Will Set New Record for Speed

Inside The New Yorker Profile on Facebook’s Mark Zuckerberg

The New Yorker posted a profile of Facebook founder/chief executive Mark Zuckerberg on its website, a week ahead of its September 17 print publication. The article, by New Yorker staff writer Evan Osnos asks if Facebook will “break democracy.” The profile describes Zuckerberg as someone who makes a distinction between feeling an emotion and acting on it through his business. He also states his opposition to government regulations, stressing that breaking Facebook into smaller companies would be a huge mistake. Continue reading Inside The New Yorker Profile on Facebook’s Mark Zuckerberg

Amazon to Tutor Chinese Firms on How to Sell to U.S., Europe

Amazon is scheduled to hold an event in Hangzhou, the city where its rival Alibaba has its headquarters, to get 400 Chinese manufacturers up to speed on buying trends among American and European consumers and be ready for the 2018 holiday season. The event, dubbed “Coming Together for U” and sponsored by Amazon Global Selling, is evidence of Amazon’s effort to dominate e-commerce globally. The company would earn revenue from helping Chinese manufacturers source goods from factories and ship them quickly to other countries. Continue reading Amazon to Tutor Chinese Firms on How to Sell to U.S., Europe

Streaming Helps Indie Record Labels Rock Overseas Markets

Thanks to streaming services like Spotify, which works with more than 20,000 independent labels in 53 countries, independent record labels are experiencing an international revenue surge that would have been unimaginable years ago. Whereas foreign music markets used to be assessable only via local companies or major labels with global marketing capacities and strategies, worldwide digital streaming services have changed the music business landscape in a short period of time, changing the way independent labels make money.

Continue reading Streaming Helps Indie Record Labels Rock Overseas Markets

Viewer Engagement Increasing for Longer Facebook Videos

For years, Facebook counted any video auto-play that lasted three seconds or longer as a view, which resulted in many publishers producing very short clips. Last year, the social media platform tweaked its News Feed algorithm to favor longer videos, and, with the debut of mid-roll ads, publishers had incentive to post clips longer than 90 seconds. Social video publishing specialist Wochit has collected data from over 200 publishers, including CBS, NBC News and USA Today that proves Facebook’s strategy is working. Continue reading Viewer Engagement Increasing for Longer Facebook Videos