Thursday, June 09, 2016
The digital disruption of the US television industry is at hand. Streaming video is changing every existing relationship in the TV value chain. The very neat and structured relationships of the past—with studios and rights holders relying on broadcast and cable networks to air their content, and networks relying on pay TV distributors to deliver their content into people’s homes—are no longer intact. Powerful digital attackers (among them Amazon, Apple, and Google) are emerging from outside the traditional TV ecosystem, and they are armed with fundamentally different business models and motivations to engage with consumers via video services.
Many in the industry continue to believe that the TV industry will evolve with no major disruptions to existing relationships and with little shift in share.