Despite the increasing number of digital streaming services currently available, including Amazon, Hulu and Netflix, about 85 percent of U.S. households continue to subscribe to traditional cable television. However, The Diffusion Group suggests the tide is turning; the market analyst predicts that by 2030 as many as 40 percent of Americans will have cut the cord. TDG Research also expects the percentage of households subscribing to pay TV will drop to 60 percent during the same period. TDG suggests that by 2030, about 30 million households will be “without an MVPD service of any kind.” Continue reading TDG: 40 Percent of U.S. Households Will Cut the Cord by 2030

Google is pulling YouTube from Amazon’s smart speaker Echo Show, saying it is doing so because Amazon won’t sell Google products including its Home speaker, Chromecast streaming device and some Alphabet Nest products. Google also states that Amazon won’t make its Prime Video shows available for Chromecast. The move escalates an ongoing battle between the two behemoths whose business interests now overlap. In addition to Echo Show, Google plans to block YouTube on Amazon Fire TV’s media streaming device beginning January 1. Continue reading Google Removes YouTube From Amazon Fire TV, Echo Show

Amazon has decided to cancel its plans to create an online streaming service that would have bundled broadcast and cable TV networks. The decision was reportedly based on the challenges involving how to generate a profit from the proposed service. The e-commerce giant has also experienced difficulties drawing interest from networks for its Amazon Channels a la carte TV platform. The company has been looking to leverage more television content, especially to attract younger cord cutters who are increasingly viewing media on mobile devices. Continue reading Amazon Cancels Plans to Launch a Skinny Bundle TV Service

On September 28, Amazon will live-stream the first of 11 NFL “Thursday Night Football” games to its Prime Video members in over 200 countries and territories (excluding China). The last game, between Pittsburgh and Houston, will live-stream on Christmas Day. The event marks the beginning of an era in which technology titans, including Google and Facebook, vie with traditional broadcasters for the rights to major sports deals. The sports leagues are drawn to the global reach of the major technology companies. Continue reading Amazon’s NFL Deal Creates New Paradigm for Sports Rights

According to a new eMarketer study, Roku is now the leading connected-TV device in the U.S. Roku has more users than Amazon Fire TV, Apple TV and Google Chromecast. The research firm estimates that 38.9 million U.S. consumers will use their Roku devices at least once per month this year. Chromecast will follow at 36.9 million users, Amazon Fire TV at 35.8 million, and Apple TV at 21.3 million. Roku is the only one of the four leading brands that is not connected to an affiliated content service and, as a result, has signed agreements with numerous partners. Continue reading New Research Places Roku at Top of Connected-TV Market

According to new estimates from Morningstar, the number of Amazon Prime members may soon exceed the number of cable and satellite TV subscribers in the United States. Morningstar points to 79 million Prime members, up from 66 million at the end of 2016 (based on analysis of Amazon’s cash-flow statement). S&P Global projects 90 million U.S. households will pay for cable or satellite television this year. Recode reports, “According to these estimates, more U.S. households may have an Amazon Prime subscription than a pay TV subscription as soon as next year.” Continue reading Amazon Prime Members May Soon Top Pay TV Subscribers

The latest eMarketer forecast suggests that adults in the U.S. will interact with media over 12 hours per day this year, due to increases in digital usage and media multitasking. However, while 56 percent of Americans now have the ability to view online video via their TV sets, most are still watching traditional TV the majority of the time. According to the Interactive Advertising Bureau (IAB), there has been a 20 percent jump since 2015 in the number of consumers who can access Internet video directly through their TV or a device like Chromecast, but 39 percent of the time people are watching broadcast TV compared to 24 percent of the time when they are streaming content. Continue reading Majority of Consumers Have Access to Internet Video via TV

Amazon has typically chosen revenue growth and investments over profits, but in Q4, profit rose 55 percent to $749 million, while revenue increased 22 percent to $43.7 billion. The company has enjoyed seven consecutive profitable quarters. While brick-and-mortar sales reported disappointing sales during the holiday season, Amazon won an estimated 42 percent of total holiday online spending growth during that quarter. The company is about to invest heavily, having pledged to create 100,000 full-time jobs by mid-2018. Continue reading Enjoying Healthy Profits, Amazon Turns to Investment, Growth

The Digital Entertainment Group reports that, for the first time, subscription streaming has surpassed disc sales, further evidence that Hollywood may need to reconsider traditional windows for theatrical distribution. While total home entertainment spending increased 1.36 percent, “the $5.4 billion in disc sales fell well short of the $6.2 billion tabulated from SVOD providers like Netflix,” notes Variety. Subscription streaming jumped nearly 23 percent in 2016 (although figures do not include Amazon Prime), while disc sales dropped almost 10 percent. In another first, “spending on electronic-sell-through, or EST, which totaled just over $2 billion, was edged by VOD by just $67 million.” Continue reading DEG Report: Streaming Exceeds Disc Sales in Industry First

Amazon launched its global Prime Video service, pricing it under Netflix to compete in the subscription-video arena. This year, according to Cowen & Co., Amazon is on track to spend more than $3 billion on Prime Video content, compared with $6 billion by Netflix. In addition to its Amazon Studios originals, the program line-up for its international Prime Video offering will include hundreds of movies and TV shows, varying by country. Licensed movies include “Jurassic Park,” “Pulp Fiction,” “Gone Girl” and others. Continue reading Amazon’s Global Push Creates Direct Competition with Netflix

Netflix now lets subscribers download shows for offline viewing on iOS and Android devices. But there’s a catch: many of its most popular shows aren’t available for this kind of viewing. Still, there are hundreds of titles that users can download, including “Stranger Things,” “Orange Is the New Black” and “Master of None,” as well as animated titles like “Kung Fu Panda,” and top TV series like “Breaking Bad” and “Cheers.” The company has said more titles will be released in the future, but hasn’t been more specific. Continue reading Netflix Now Offers Mobile Download of Many But Not All Titles

Prime video members can access premium cable content from HBO and Cinemax now that Amazon has introduced the channels to its add-on packs in Amazon Channels, which now features more than 70 add-ons available to subscribers willing to pay more each month. “HBO is an additional $14.99 per month, and Cinemax is $9.99 monthly, with both offering 30-day free trials,” notes TechCrunch (HBO’s standalone HBO Now also runs $15/month). “The HBO add-on provides access to HBO’s current hits and past hit shows and limited series, as well as their current licensed movies, and news shows. Likewise Cinemax provides access to their original shows, as well as movies.” Continue reading Amazon Expands its A La Carte Offerings with HBO, Cinemax

Amazon Studios unveiled a promotion on its YouTube channel and Facebook page, aimed to garner more Prime subscribers: free viewing of the pilots of 10 original series. Among the pilots being made available on the social media platforms are the critically acclaimed, transgender dramedy “Transparent,” “Bosch,” “The Man in the High Castle,” “Mozart in the Jungle,” “Red Oaks,” and kids’ shows “Annedroids,” “Gortimer Gibbon’s Life on Normal Street,” “Just Add Magic,” “Tumble Leaf” and “Wishenpoof!” Continue reading Amazon Promotes its Series Pilots on YouTube and Facebook

According to a Sandvine study, Netflix has re-encoded some of its video library in order to make the streaming service more efficient and reduce its bandwidth demands. Netflix accounted for 37.1 percent of Internet traffic on fixed broadband networks during primetime hours six months ago in North America. Sandvine notes that Netflix represented 35.2 percent of downstream traffic under the same criteria during March of this year. “Last December, Netflix detailed changes in its video-encoding schemes, which the company said could reduce bit rates by up to 20 percent while delivering equivalent quality,” reports Variety. Meanwhile, “Amazon Video now represents 4.3 percent of peak-period traffic, up from 2 percent a year ago.” Continue reading Netflix Updates Video Encoding, Aims to Use Less Bandwidth

Boosted by Amazon Web Services, Amazon just posted its most profitable quarter in its nearly 22-year history. The company’s revenue is often on a roller coaster; for Q1 2016, it showed net income of $513 million ($1.07 a share), compared to losses of $57 million (12 cents a share) in the same quarter last year. Revenue has bumped to $29.13 billion from $22.72 billion a year ago, with share prices rising more than 12 percent. This compares with less-than-stellar Q1 reports from Apple, Google, Microsoft and Intel. Continue reading Amazon Profits from AWS, Doubles-Down on Original Content