Media Consolidation & Multiple Platforms Blog 1, Question 2 (Jan. 28th)
Who will be the big winners – and losers – of the so-called “streaming
wars”? Which companies will dominate and which do you think will struggle to
find audiences over the next two years? Limit:
11 responses
Disney+ will need to find ways to gain more subscribers. While Disney+ certainly has a lot of Disney’s intellectual property, it might not be enough to attract people to the service, especially those without families or young children. Disney’s offerings for original content may not be enough for adults to stay on the service. Original content has helped Netflix become successful over the past few years, and this “will be important to any of these services. Just doing reruns and old movies isn't enough." (Jarvey). Additionally, because of Disney’s family-friendly image, some shows will not fit with the service “because of its focus on its core brands, [Disney+] isn't always the right home for, say, a raunchy comedy or gritty drama” (Jarvey). While Hulu is smaller than Netflix and doesn’t have as much of a selection as Netflix does for films and original content, Hulu benefits from Disney’s 67% stake and Comcast’s 33% stake in the company (Kafta). These two companies allow Hulu to offer content from DreamWorks and Universal Studios on demand as well as show ESPN and the Disney channel for its live streaming offerings. Many people like Hulu’s original series, the most recent standout being The Handmaid’s Tale. Of all the streaming services that are out or about to come out, Apple TV+ will be the one to struggle the most with attaining subscribers. It has no intellectual property to incentivize people to use the service and it does not have compelling enough offerings for original content like Disney+, Netflix, and Hulu. HBO Max and Peacock also have intellectual property that they can use to their advantage to attract subscribers. Additionally, Apple TV+ does not have the benefit of being directly involved in creating content like the other streaming services. Apple started as a hardware and software company and has expanded to offer services through subscriptions as well, while the other streaming services are offered either by media distributors or media creators. Apple TV+ is going to have to offer some amazing original content or offer some incentive for people who already own Apple devices to use it, similar to what the company did when it first released Apple Music. Besides Hulu, Netflix, Disney+, Apple TV+, and the forthcoming Peacock and HBO Max, there are services like Philo. Philo offers streaming of live TV and on-demand video for shows from all of the channels it offers, such as A&E, Discovery, TLC, the Food Network and Viacom for $20 a month. While Philo has competition with the soon to be released Peacock and HBO Max, Philo’s COO Mike Keyserling, said, “If anything, we're a little more complimentary to those services than being competitive” (Bloom). Of course, Philo’s service isn’t for everyone, as Keyserling, said of Philo’s competition with Disney+, “Do I think there's a macro issue around fighting for dollars and a (viewer’s) amount of time in a day? That might be a concern but on the day to day, we don't carry the Disney channels. There's no direct competition or threat.” (Bloom). Keyserling seems to agree with many Wall Street analysts who forecast “that despite Apple TV+ and Disney+ launching and other streaming players getting set to compete, Netflix will not greatly bleed subscribers” (Vlessing). Of course, Keyserling is concerned with his service, Philo, but it seems that people are going to pick and choose which streaming services they are going to use at once. Because media companies are bringing their content in house, people can no longer use just Netflix for their content anymore. However, Netflix has built itself as the king of streaming on-demand video content and will continue to reign supreme while people add on other services such as Disney+ and Peacock to fill in the gaps of content that Netflix does not have.
It is clear that streaming services have been dominating the television and film industry because of how appealing direct-to-consumer access is. Throughout the years, many different streaming services have developed, evolved and expanded, like Hulu, Netflix, Amazon Prime, and now Disney+ and Apple TV+. Because of the increase of popularity between these streaming services, competition has increased based on content and pricing. With all of these different streaming platforms, it makes us wonder which ones will thrive throughout the years and which ones will fail due to the success of others. It is always important to examine the similarities and differences between streaming platforms in order to make an evidence-based prediction of which will be successful or not. An article in USA Today ranked the top streaming services from best to worst based on price, originals, library, and whether they are kid friendly. With Hulu at the top of the list, Netflix falling in second and Apple TV+ falling in last place, I’m not too surprised by this list. Disney+, Amazon Prime and CBS all access lie in the middle of the ranking (Lawler, 2019). There are many pros and cons to each streaming service, but overall, it is important to analyze whether or not the streaming platforms will continue to gain the audiences reliability. Hulu and Netflix are both very dominant platforms in the streaming world. Hulu has many award winning originals and also contains a large variety of movies and television series. The cheaper price contains advertisements, which personally does not appeal to some users. Netflix contains a large amount of originals along with many different genres of television shows and films, however they are known for continuously removing content from their site. Disney+ has entered the streaming field in November and the hype was worth it. All Disney shows and movies along with Marvel and Star Wars movies are on this streaming service. While many believed that this would create competition for Netflix and Hulu, it in fact didn’t. According to the article in the Hollywood Reporter, “…Disney+ and Apple TV+ will need to aggressively compete on content and talent to keep pace with Netflix…”(Vlessing, 2020). Disney+ has the appeal to Disney lovers and children, but other streaming services like Hulu and Netflix branch out to a larger audience. Disney+ will definitely not outrun Netflix in the long run, but I do believe they will continue to be a successful streaming service due to its reliable fan base.
Then there are the streaming services that fall behind. Apple TV+, CBS all access seem to be on the backburner of streaming platforms. Apple TV+ may be on the cheaper side but does not have that large variety of classics and only a few originals. CBS All Access has more of the classic films and television shows that appeal to the older generations who are less likely to stream. Therefore, it will probably lose relevance quickly since it doesn’t reach out to a wider audience. There is a new streaming service from NBCU that is arriving in April called “Peacock.” This new streaming service was described as “The equivalent of a 21st century broadcast business, delivered on the Internet”(Hsu&Lee, 2020). Peacock is advertising itself as having a diverse library with many originals, but how will it differentiate itself from the other streaming services like Netflix and Hulu? It is hard to say how Peacock will manage in the streaming war, but we will have to find out once it is finally up and running.
Works Cited Lawler, Kelly. (2019). Disney+ to Apple TV+ to Netflix: All the major streaming services, ranked. Retrieved from https://www.usatoday.com/story/entertainment/tv/2019/10/29/apple-tv-netflix-disney-all-streaming-services-ranked/2484448001/
Vlessing, Etan. (2020). Disney+, Apple TV+ Are No Netflix Killers, Says Analyst. Retrieved from https://www.hollywoodreporter.com/news/disney-apple-tv-are-no-netflix-killers-says-analyst-1270642
Hsu, Tiffany & Lee, Edmund. (2020). Peacock, NBC’s Streaming Service, Will Have a Free Option and “The Office.” Retrieved from https://www.nytimes.com/2020/01/16/business/peacock-streaming-nbcuniversal-comcast.html
Adelle Tedesco Out of the streaming services available, the biggest winners in the streaming wars are Netflix and Hulu and Amazon Prime. Services like Disney+, CBS All Access and other services that are for specific studios or stations are likely to do worse in the streaming wars and be considered more as the losers. Netflix and Hulu have been around since the beginning of streaming and have gained a steady following with loyal customers, and offer such wide ranges of TV shows and movies, that people are willing to spend the money on these services. The more specific streaming services being developed by specific TV stations and Movie studios, are bound to be good in the beginning, such as Disney+. With the launch of Disney+, people were immediately purchasing subscriptions for these services since all Disney content was taken off of other platforms, like Hulu and Netflix, so it was obvious that this streaming service would be successful. Other studios and stations are beginning to follow in foot steps of Disney+, and launching their own streaming services like CBS All Access, HBO Max, and Peacock. These streaming services are bound to do well in the beginning since they plan on pulling all of their content off the services like Netflix and Hulu, so subscribers to these services are likely to also buy a subscription to these services to continue watching the shows and movies that they like. These studio and station specific streaming services are likely to do well when they first launch but over time are not likely to do as successful at Netflix, Hulu, Amazon Prime and other streaming services that are broader ranges of content. Unless more of these studios and stations are likely to all launch their own streaming services over the next two years and continue to pull all of their content off of Netflix and Hulu, these streaming services are the ones that will struggle. People are more likely to stick to their Netflix and Hulu subscriptions, since these streaming services offer such a wide variety of shows and movies from other studios, as well as their own content. CBS All Access, HBO Max and Peacock will see the same boom that Disney+ did with such a success full launch period, but over the next two years these services are the ones that will struggle to keep up these numbers and success, while Hulu and Netflix might have some struggles during these launch periods, but subscribers will always continue to stay with Netflix and Hulu.
Lawler, Kelly. “Disney+ to Apple TV+ to Netflix: All the Major Streaming Services, Ranked.” USA Today, Gannett Satellite Information Network, 12 Nov. 2019, www.usatoday.com/story/entertainment/tv/2019/10/29/apple-tv-netflix-disney-all-streaming-services-ranked/2484448001/.
“Netflix and Apple Have Considered Buying MGM as the Streaming Wars Continue.” /Film, 27 Jan. 2020, www.slashfilm.com/netflix-and-apple-consider-mgm-purchase/.
Vlessing, Etan. “Disney+, Apple TV+ Are No Netflix Killers, Says Analyst.” The Hollywood Reporter, 17 Jan. 2020, www.hollywoodreporter.com/news/disney-apple-tv-are-no-netflix-killers-says-analyst-1270642.
I believe that the most prominent streaming service on the market currently is Netflix because of their critically acclaimed original shows and movies. Netflix has invested a lot of money into producing their own content, and it has paid off. Television originals such as ‘You,’ original films such as ‘The Irishman’ and documentary originals such as ‘Making a Murderer’ have given Netflix a tremendous reputation for stellar content. Although other services such as Hulu provide original content, they do not seem to receive the attention and critical praise that Netflix productions get. Netflix does not appear to be letting up in the new decade. According to Todd Spangler of Variety, “Netflix is keeping its foot pressed firmly on the gas pedal in the streaming-video road race. The streamer will invest around $17.3 billion this year in content on a cash basis.” Disney+ is one of the top contenders in the streaming race because of its brand recognition. With film franchises such as ‘Star Wars’ or ‘Finding Nemo’ being implemented on the service for consumers, it allows Disney to become a top dog in the world of streaming content. Movies and TV shows have seen tremendous success following meme-able moments from the content or within the characters. For example, Disney +’s new show ‘The Mandalorian’ has went viral due to the social media firestorm that took place once the character Baby Yoda was revealed. People that might not have a subscription to Disney + are now subjected to the streaming service’s content through memes on social media. Rebecca Keegan of The Hollywood Reporter states, “By late November, Baby Yoda mentions were outpacing any of the Democratic presidential candidates on social media.” Not only does this kind of recognition improve Disney+’s brand, but it will increase the number of subscribers to their platform. Some services that I believe will struggle over the course of the next two years are services such as CBS All Access and Amazon Prime Video. I do not believe that CBS has any content that will intrigue people enough to buy a subscription. Most shows on CBS are targeted toward an older audience. For example, shows such as ‘Blue Bloods’ or ‘Bull’ tend to receive their ratings from consumers aged 40 and up. This is not the ideal age for online streaming subscribers. Amazon Prime Video’s content does not seem to match up with the content provided on services such as Netflix or Hulu. Personally, I have never heard anyone say “I can’t wait to binge watch that new show on Amazon Prime Video.” I do not believe that the service has the content respect that other companies do. According to Luke Bouma of Cord Cutters News, “Amazon lost about $700 million on Amazon Prime Video in 2016. Amazon has made it clear that it sees Amazon Video as a way to get more people to use and buy stuff on Amazon.” Amazon Video cares more about increasing their revenue than making quality content for their streaming service, and I do not think that they can compete with the likes of Netflix in the coming years.
Works Cited Keegan, Rebecca. “In Baby Yoda, Hollywood Sees Its Past, Present and Meme-Able Future.” The Hollywood Reporter, 20 Dec. 2019, www.hollywoodreporter.com/features/baby-yoda-represents-past-present-future-hollywood-1263588?utm_source=Sailthru&%3Butm_medium=email&%3Butm_campaign=THR%27s%2BToday%2Bin%2BEntertainment_now_2019-12-19%2B07%3A18%3A10_ehayden&%3Butm_term=hollywoodreporter_tie. Spangler, Todd. “Netflix Projected to Spend More Than $17 Billion on Content in 2020.” Variety, 21 Jan. 2020, variety.com/2020/digital/news/netflix-2020-content-spending-17-billion-1203469237/. Bouma, Luke. “Amazon Is Losing Millions on Prime Video, But It Doesn't Care.” Cord Cutters News, 27 Feb. 2017, www.cordcuttersnews.com/amazon-losing-millions-prime-video-doesnt-care/.
Over the past few years we have seen an enormous increase of streaming services. Between the rise of Disney plus, Apple plus, and now Peacock it will be interesting how the older services keep up. Netflix has been the dominant streaming service for a long time, only hindered by the release of Hulu. The new streaming services I previously mentioned did not hurt the Netflix subscription count at all according to Hollywoodreporter.com. This is not to say that in the future we will see the dethroning of Netflix. Now the question is, “who will be the big winners- and losers- of the streaming wars?” I can’t see Netflix taking the fall but I can see Disney taking over. Disney seems to dominate any industry they are in and they have it figured out. The release of Disney plus was a hit and they surpassed every estimation they had. If Disney can find a better way to introduce more content to the high school/teenager demographic they should have no problem controlling the industry.
There are many experts in the streaming industry that may disagree with the idea of a “streaming war” as all kinds of services will benefit from the surge of new users. However, there will be some that will benefit more than others. This is where I believe Disney+ has the advantage, with their deep reservoir of beloved in-house IP and a lineup of brand new Star Wars and Marvel shows. Disney+ is currently the most popular and discussed streaming service on the internet, thanks to the massive success of the adorable “Baby Yoda” that fans have dubbed him. I myself was absolutely hooked on the Mandalorian, and that made me so much more excited for more quality content. If Disney is able to continue capitalizing on the popularity of the Mandalorian, alongside Marvel and other Star Wars content, I can picture Disney+ becoming the biggest winners of the “streaming wars.”
I can imagine that most streamers will keep their big-three subscriptions to Netflix, Hulu, and Amazon Prime. Maybe one of the three will get the cut, but the point is that their services have been in the streaming industry for a while and have amassed a large subscriber base so I don’t see them in any immediate danger. I think the biggest losers would have to be the new players in the streaming scene, like CBS All-Access and Peacock. These are the harder sells in my opinion, with so many streaming subscriptions to go around, most consumers will only pick a few out of the wide variety we have today. HBO Max seems to have the biggest shows and name recognition, but CBS and Peacock may have to make something special in order to gain the same following. Picard is CBS All-Access flagship series, but I have heard mixed reviews so far so we will have to keep watching to see how the streaming plays out.
Works cited: Imke, Steven. “The Long-Tail Economy: What You Need to Know.” Business 2 Community, www.business2community.com/marketing/the-long-tail-economy-what-you-need-to-know-02218650.
Keegan, Rebecca. “In Baby Yoda, Hollywood Sees Its Past, Present and Meme-Able Future.” The Hollywood Reporter, 20 Dec. 2019
Schwab, Katharine. “Why the Streaming Wars Are a Myth.” Fast Company, Fast Company, 8 Nov. 2019, www.fastcompany.com/90428525/why-the-streaming-wars-are-a-myth.
Over the next two years, I think that Netflix will continue to dominate the streaming market as they have been over the past decade. Netflix has established themselves as the #1 streaming service not only due to the many films and television shows they have acquired the rights to have on their platform, but also the many critically and commercially acclaimed films and shows Netflix has created themselves. Netflix has one major thing that has many investors worried about the longevity of their platform, that being the immense amount of money the company gives out to license their many available films and television shows exceeds their actual revenue by a fair amount. According to The Hollywood Reporter, the $15 billion budget set by Netflix for 2019 exceeded their cash generation by about $3.5 billion, leaving their overall revenue deep in the red. However, with their already massive lead ahead of their streaming service competitors along with their continued ventures into film and television production, I still believe Netflix can continue to dominate the streaming wars for years to come. With streaming becoming the #1 option for people looking to watch TV and films, many companies have attempted to throw their hat into the ring and capitalize on the rise of streaming by making their own services. With so many companies all trying to get into the streaming service game at once, it’s only natural that there will be some failures along the way.
In order to remain relevant in a time where cable TV viewership is dwindling, CBS has made their own streaming service, CBS All Access, in an attempt to retain their viewers and compete with the bigger names in the streaming wars. CBS All Access offers content from many of CBS’s older programming, the latest episodes from their currently-airing programs, and original shows exclusive to the platform such as The Twilight Zone and Star Trek: Discovery. Kelly Lawler from USA Today writes that CBS All Access is “limited in scope,” and that “seeing some episodes of “Star Trek: Picard” a few times a year may not be worth the expense.” (Lawler) While it may be a smart idea for CBS to try to capitalize on the streaming hype with a service of their own, their service is inherently limited, only offering shows previously broadcast from CBS themselves, and the few original shows they offer are simply not enough to convince most people to pay $6 a month to access their service. The recent merger with Viacom will add to their content but they are targeting an older demographic audience that will likely be much slower to adapt to the new world of streaming. (Observer)
Ultimately I think the consumer may not be a big winner in the way the streaming wars are developing. People went to cable because it provided a vast amount of content that was easily obtainable from a single source. As the big streaming companies carve their own content onto exclusive platforms it will be necessary to have many subscriptions in order to access all the movies and programs you want to be able to watch. The monthly fees will add up and consumers will be back where they started before the cut the cord.
Katz, Brandon. “Market Experts Predict Which Streamers Will Fail and Why.” Observer, Observer, 19 Sept. 2019, observer.com/2019/09/amazon-apple-netflix-disney-hbo-max-peacock-streaming-wars-who-will-fail/.
Lawler, Kelly. “Disney+ to Apple TV+ to Netflix: All the Major Streaming Services, Ranked.” USA Today, Gannett Satellite Information Network, 12 Nov. 2019, www.usatoday.com/story/entertainment/tv/2019/10/29/apple-tv-netflix-disney-all-streami ng-services-ranked/2484448001/.
Szalai, Georg. “When Will Netflix Finally End Its Cash Burn?” The Hollywood Reporter, 30 Oct. 2019, www.hollywoodreporter.com/news/will-netflix-finally-end-cash-burn-1250782?utm_source=Sailthru&%3Butm_medium=email&%3Butm_campaign=THR%27s%2BToday%2Bin%2BEntertainment_now_2019-10-30%2B07%3A15%3A10_aweprin&%3Butm_term=hollywoodreporter_tie.
When it comes to the streaming wars, Disney + is showing to now come out on top. In a media landscape diagram created by Vox, as a content company, “Disney/21st Century Fox have a market cap of $267 billion with a 67% stake in Hulu. Comcast also has a 33% stake in Hulu. (Molla & Kafka, 2019). However according to Variety.com, “Comcast is holding talks with Disney to see if they can hammer out a deal to sell Comcast’s one-third stake in Hulu.” (Spangler, 2020) This would give Disney complete ownership of Hulu, giving them even more content to offer under Disney + and could definitely hurt Netflix even more.
It seems that there will never not be an audience for Disney and that has been shown through the lack of a generational gap when it comes to consuming Disney content whether that today’s kids watching Finding Dory or watching Frozen. After they were able to buy 20th Century Fox, Lucas Film and many other companies, it seems as though they own most of the television and movie content that we consume.
Just by owning so many other companies, Disney has been able to create an irresistible streaming package that now includes Hulu, ESPN and Disney + for about the same price as a Netflix subscription ($12.99).
Streaming platforms like HBO and Amazon Prime and Netflix are just a couple of the losers in the streaming war, but HBO seems to be the main platform set to struggle. Netflix is somewhat a loser in the streaming wars simply because they are losing a lot of their content with media companies wanting to create their own streaming platform with their content, however, just last year a majority off the content they released has really showed why Netflix is still somewhat superior to everyone else. With shows like You that have created so much attention on social media and the release of the 3rd season of Stranger Things, people are still holding on to their Netflix subscriptions to keep up with the Netflix original series they first fell in love with.
However, when it comes to HBO, it looks to be somewhat in limbo looking for their next hit show after Game of Thrones ended last year. They are currently looking to expand their platform with HBO Max which would include hit shows like “Friends, The Big Bang Theory and South Park [and] Warner Bros. films including Joker” (Stankey). HBO’s lineup is definitely filled with very successful shows that have a faithful audience, especially Friends, however, with the streaming service being $15 and set to feature ads, it really tests just how many subscriptions people are willing to pay for. My prediction is that HBO will definitely be on the list of companies that will struggle to find an audience in the next 2 years. Especially with Disney+ having the bundling option, Netflix still having a cheaper option and Apple TV coming in at $4.99 a month.
Works Cited Jarvey, Natalie. “WarnerMedia Unveils HBO Max Price, Launch Date.” The Hollywood Reporter, 29 Oct. 2019, www.hollywoodreporter.com/live-feed/warnermedia-unveils-hbo-max-price-launch-date-1251013?utm_source=Sailthru&utm_medium=email&utm_campaign=THR's Today in Entertainment_now_2019-10-30 07:15:10_aweprin&utm_term=hollywoodreporter_tie. Molla, Rani, and Peter Kafka. “Here's Who Owns Everything in the Media Today.” Vox, Vox, 5 Dec. 2019, www.vox.com/2018/1/23/16905844/media-landscape-verizon-amazon-comcast-disney-fox-relationships-chart. Spangler, Todd. “Comcast Mulling Sale of Hulu Stake to Disney (Report).” Variety, 27 Apr. 2019, variety.com/2019/digital/news/comcast-hulu-stake-sale-disney-1203197815/. Spangler, Todd. “Netflix Projected to Spend More Than $17 Billion on Content in 2020.” Variety, 16 Jan. 2020, variety.com/2020/digital/news/netflix-2020-content-spending-17-billion-1203469237/.
It’s been clear for the past couple of years that streaming is both the present and future of television and movie content. The questions that remain now have to do with what that system is going to look like, and just how much it will disrupt the hold cable has had over society for the past half a century.
I think that the “winners” of the streaming industry are going to end up being Hulu and Disney+. There are a lot of factors that play into that, starting with Hulu. USA Today’s recent ranking of streaming services puts Hulu at number one, citing its “broadly appealing service that offers plenty of genres and styles without scraping the bottom of the barrel for new content.” (Lawler). I completely agree—personally, I think Hulu is the service whose content is most worth it for the price, which at $5.99/month is already lower than most of its competitors’. The company’s deal with Spotify for college students, which offers both premium services for only $5.99/month, is also a huge draw for people aged 18 to 22 that I don’t think is going to fall out of favor anytime soon. Disney+ is a different ball game, but one with the same predictors for success. Similar to Hulu, Disney+ has a solid catalog. You know things aren’t going to be taken off at random, because everything they offer is their own intellectual content. People are already familiar with the Disney catalog, and so will be interested because of past content they’ve enjoyed as well as because of the appeal of new content from those same creators. The kid-friendly aspect of the service also means it will become a staple for numerous families, those with or without young children, in the search for family-friendly content.
As for the losers, I think those will end up being HBOMax, Apple TV, and Quibi. HBO Max is, I believe, a bad idea for Warner Media. As of now, the service “debuts in the spring and is expected to bleed red ink until about 2025.” (Szalai). While several analysts, including Cowen media analyst Doug Creutz, are confident that the service will “likely... be among the survivors based on their positioning”, I personally don’t see them being able to make up the profits through new subscriptions (Szalai). Most people I know have HBO through their cable provider, and the majority of those people only have it to be able to watch Game of Thrones (which is over). While HBO does have several high quality original shows, none are as big culturally as GOT, and the fan bases for them are usually niche audiences. I have a hard time believing that enough people will go out of their way to register for this subscription service with the content they currently have now, especially because HBO isn’t known for a catalog of older original content. I feel the same way about Apple TV+. The service has “no back library of classic shows or films. You could burn through their entire new catalog in a few weeks.” (Lawler). Even worse, its original content is already seeming to flop, with only one, “For All Mankind”, getting a measly “maybe-good” rating from USA Today (Lawler). The price point is one of the lowest out there, at $4.99/month, which might incentivize subscribers, but I just don’t think the content is enough of a draw. And, ironically, that low price might devalue the subscribers they do get, as that income probably isn’t enough to get Apple in the black. In fact, Cohen and Co. released a report in November of 2019 that declared that “Low prices for new streaming services, designed to boost subscriber reach early on, is another issue holding back any financial upside” (Szalai).
Finally, one I think might be the biggest loser of them all is Quibi, a service “specializing in short-form video of ten-minute episodes or less, for $4.99 per month with ads, and $7.99 without them.” (Roberts). Proposed programs include “a Steven Spielberg series that can only be watched at night, a Chrissy Teigen-hosted Judge Judy-style reality series and a remake of The Fugitive that features Kiefer Sutherland.” (Roberts). There are a couple reasons I don’t believe in Quibi. Its premise is unfamiliar to the public at large, which will be an initial deterrent. People like shows they can binge all at once, which doesn’t work really well with 10-minute shorts. And honestly, $4.99/month isn’t low enough to compensate for ads (and $7.99/month is too much for what the content is).
Works Cited Lawler, Kelly. “Disney+ to Apple TV+ to Netflix: All the Major Streaming Services, Ranked.” USA Today, Gannett Satellite Information Network, 12 Nov. 2019, www.usatoday.com/story/entertainment/tv/2019/10/29/apple-tv-netflix-disney-all-streaming-services-ranked/2484448001/. Roberts, Samuel. “In 2020, We'll Learn How Many Streaming Services Is Too Many.” TechRadar, TechRadar, 1 Jan. 2020, www.techradar.com/news/in-2020-well-learn-how-many-streaming-services-is-too-many. Szalai, Georg, and Paul Bond. “Should Streaming Services Expect Razor-Thin Profit Margins?” The Hollywood Reporter, 26 Nov. 2019, www.hollywoodreporter.com/news/should-streaming-services-expect-razor-thin-profit-margins-1257572?utm_source=Sailthru&%3Butm_medium=email&%3Butm_campaign=THR%27s%2BToday%2Bin%2BEntertainment_2019-11-27%2B07%3A19%3A00_aweprin&%3Butm_term=hollywoodreporter_tie.
Weekly Blog In the Forbes article which I read about Gen Z, there are many points which I personally can connect with as I am a member of this generation. One aspect that sticks out is the independence which we need. Last summer I got to experience the workplace firsthand at WGN America in New York City and I immediately noticed the millennial impacts on the workplace. The openness of the office and the lack of personal space was not ideal to me. I think I can speak for many other Gen Z’s when I say that I need my own space and I want to work on my own. Teamwork is obviously necessary but there are also many benefits to independent work. Like the article says, “They want to work on their own and be judged on their own merits rather than those of their team.” (https://www.forbes.com/sites/deeppatel/2017/09/21/8-ways-generation-z-will-differ-from-millennials-in-the-workplace/#2be86a9676e5) This sense of working alone is extremely evident in college. Professors have geared their classes towards the idea of group work as to prepare students for the workplace. This has been met with disdain by almost every student I know. Gen Z, similar to Millennials, have a need to at least somewhat enjoy their work life. Gen Z is very determined to make money and be financially stable but they also put their mental health and happiness as a top priority. So why is it that Gen Z differs so much from Millenials in certain aspects? According to the article there is a direct correlation to how each generation was
raised. What events unfolded which impacted this generation? From what I read I can gather that the childhoods of generations heavily define what the generation will be like. For example, in the Forbes article we see that Gen Z were kids/teenagers when the recession of 2008 occurred. This had an impact on millions of American families. This definitely put fear and also motivation into the head of Gen Z. The technological boom of the past twenty years or so has been a huge part of Gen Z. Gen Z have been brought up during a time of technological advances in nearly every aspect. One such being the cell phone/ computers. Nearly every year of my life growing up, there was a new phone coming out with advancements. This has shaped our generation and it is becoming evident in the workplace. Companies are always trying to stay updated with the latest technologies and systems so it will be interesting to see how Gen Z adapts. Baby Yoda. The most adorable meme of all time. This movement of baby Yoda memes has not only been a funny thing to pass the time but a cultural phenomenon. The character is originally from the Disney Plus exclusive, “The Mandalorian.” The show has had massive success and continues to grow even after finishing the first season. Star Wars as a whole has never shied away from producing cute characters. Between R2-D2, BB8, and the ewoks, people have always loved these little fantasy characters. So how is Baby Yoda any different? One major aspect that defines Baby Yoda as of right now is that we really don’t know who is. Despite the name “Baby Yoda,” this is not actually his real name. I could go into the details of Star Wars and such, but I will save you the time. It is interesting how society named him and completely focused on him. Every movement, smile, or noise he made was captivating. Another aspect which is interesting is how Disney has not made any toys whatsoever for Baby Yoda. This comes as a huge shock because this is something that could make them millions of dollars alone. I know I would buy a little Baby Yoda toy in a heartbeat. Star Wars has always been a large part of the toy industry. Producing lovable characters is what Star Wars does best, but in this case, it seems like they were caught off guard by the massive following for Baby Yoda. This entire situation has been extremely beneficial for Disney as they are the only company who owns The Mandalorian. Millions of people got Disney Plus just to see Baby Yoda on screen. This is also not the last time we will be seeing him. With more seasons on the way, The Mandalorian is defiantly going to keep bringing us back.
Works Cited: https://www.forbes.com/sites/deeppatel/2017/09/21/8-ways-generation-z-will-differ-from-millennials-in-the-workplace/#2be86a9676e5 https://www.hollywoodreporter.com/features/baby-yoda-represents-past-present-future-hollywood-1263588?utm_source=Sailthru&utm_medium=email&utm_campaign=THR%27s%20Today%20in%20Entertainment_now_2019-12-19%2007:18:10_ehayden&utm_term=hollywoodreporter_tie
With streaming being the biggest way people consume media in 2020, it is important not to downplay the significance of the role it will play in the upcoming years. While there are many different streaming services available it is clear to me that Netflix will continue to be the top dog of the streaming world. Netflix is constantly bringing its subscribers an influx of new original content that always seems to be at the forefront of conversation when it comes to what people are watching these days. In addition to the stream of new shows, its got plenty of successful original shows that are getting renewed for multiple seasons such as Ozark and Stranger Things in addition with other network shows people are familiar with like Breaking Bad, The Office, New Girl and countless others. While Kelly Lawler of USA Today feels that Hulu “has wisely chosen not to overload us with shoddy new programming, a mistake its biggest competitor, Netflix, has unfortunately made.” (Lawler), I feel that a lot of the streaming game these days is throwing stuff on against the wall and seeing what sticks. If you wind up getting a show as successful as Netflix’s Stranger Things out of a pack of 5 new releases for a summer slate, the money spent is well worth it, and believe me, Netflix has plenty of money to go around. Netflix may be in debt, however I firmly believe that they are trying to establish a foundation of originals that is unmatched by any other competing streaming service, and once they have a fleet of top tier original programming, they will cut their spending significantly. For 2020, Netflix has a “$15 billion budget for content this year — which is set to exceed the company's cash generation by $3.5 billion” (Szalai) which is only going to help Netflix continue to pump out more content for its subscribers. Netflix has been one of the only tried and true superpowers in these streaming wars. When you think streaming service, Netflix is most likely the first thing to pop into your head, and this is because they are simply the best at it. Netflix released a statement saying "We did well during the first decade of streaming. We’ve been preparing for this new wave of competition for a long time. It’s why we started investing in originals in 2012 and expanded aggressively ever since - across programming categories and countries with an ambition to share stories from the world to the world." (Casey) Netflix has been prepping for this streaming war, while other companies have merely been trying to make a name for themselves, and I feel that is where Netflix has a huge advantage. If there is one service that could rival Netflix in the future, it has to be Hulu. Hulu has a great library of shows people already know ranging from Its Always Sunny in Philadelphia to Seinfeld, but the service lacks originals that can compete with Netflix. And while Hulu may have a cheaper base package, the inclusion of advertisement is honestly a deal breaker for me. When using the Hulu package with ads, it feels like I am just watching TV. Sure I get to select which show I would like to watch at the time, but with an ad break every 5 minutes or so, it isn’t really worth it to me. Especially when I have to watch the same 3 ads play throughout every ad break. Netflix takes the upper hand in just about every area, and while people initially complained about Netflix bumping up their prices per month, subscribers still forked over the money because they know that Netflix is providing the best streaming service in the market.
Work Cited Casey, Henry T. “Why Netflix Isn't Scared of Disney Plus.” Tom's Guide, Tom's Guide, 17 Oct. 2019, www.tomsguide.com/news/why-netflix-isnt-scared-of-disney-plus. Lawler, Kelly. “Disney to Apple TV to Netflix: All the Major Streaming Services, Ranked.” USA Today, Gannett Satellite Information Network, 12 Nov. 2019, www.usatoday.com/story/entertainment/tv/2019/10/29/apple-tv-netflix-disney-all-streaming-services-ranked/2484448001/. Szalai, Georg. “When Will Netflix Finally End Its Cash Burn?” The Hollywood Reporter, 30 Oct. 2019, www.hollywoodreporter.com/news/will-netflix-finally-end-cash-burn-1250782?utm_source=Sailthru&utm_medium=email&utm_campaign=THR's Today in Entertainment_now_2019-10-30 07:15:10_aweprin&utm_term=hollywoodreporter_tie.
I feel the biggest winners in the streaming wars will be those companies that offer content are consistently evolving by creating new/good original content that attracts current and new consumers. Netflix currently offers the largest library of content and has a really good algorithm to keep viewers watching. Netflix is also very popular and has cultural memes which include “Netflix and Chill”! Netflix also spends billions of dollars on original content in a variety of genres although not all content is great but is watchable. According to Todd Spangler of Variety, “Netflix is keeping its foot pressed firmly on the gas pedal in the streaming-video road race. The streamer will invest around $17.3 billion this year in content on a cash basis.” I have found myself watching movies that are cringy, but I watch until the end and then question why I did that! Apple TV+ does not capture enough consumers because their content library is smaller than Hulu, Netflix, and Disney + which I feel does not compare. Apple TV doesn’t offer me anything that I am interested in. However, I would watch Mandalorian because of baby Yoda, but before class discussions I had zero interest. Even though Netflix lost Disney product they are still staying at the top of the leader board because most people around the world have “cut the cord” with cable and look to Netflix for entertainment. If the idea to lessen your cable bill than Netflix and Roku will offer enough content to keep you satisfied where Hulu, Disney +, Apple TV and CBS All access will not have enough content. Trying to pay for all of these subscriptions together defeats the purpose of cutting the cord. Disney+ has a huge library of fan favorites but they need to have content that newer generations will love and for those consumers who are looking for something that is not rated PG-13. Although, I feel Disney+ could put Netflix on the ropes if they create more original content for older adults. Amazon Prime will struggle to find new audiences in the next few years if they are not creating work for more diverse audiences. They survive because the subscription is included with Prime membership, however how many of those members use their streaming service? I know that as a student Prime member I don’t watch videos or listen to music.
Keegan, Rebecca. “In Baby Yoda, Hollywood Sees Its Past, Present and Meme-Able Future.” The Hollywood Reporter, 20 Dec. 2019, www.hollywoodreporter.com/features/baby-yoda-represents-past-present-future-hollywood-1263588?utm_source=Sailthru&%3Butm_medium=email&%3Butm_campaign=THR%27s%2BToday%2Bin%2BEntertainment_now_2019-12-19%2B07%3A18%3A10_ehayden&%3Butm_term=hollywoodreporter_tie.
Lawler, Kelly. “Disney+ to Apple TV+ to Netflix: All the Major Streaming Services, Ranked.” USA Today, Gannett Satellite Information Network, 12 Nov. 2019, www.usatoday.com/story/entertainment/tv/2019/10/29/apple-tv-netflix-disney-all-streaming-services-ranked/2484448001/.
Spangler, Todd. “Netflix Projected to Spend More Than $17 Billion on Content in 2020.” Variety, 21 Jan. 2020, variety.com/2020/digital/news/netflix-2020-content-spending-17-billion-1203469237/.
Disney+ will need to find ways to gain more subscribers. While Disney+ certainly has a lot of Disney’s intellectual property, it might not be enough to attract people to the service, especially those without families or young children. Disney’s offerings for original content may not be enough for adults to stay on the service. Original content has helped Netflix become successful over the past few years, and this “will be important to any of these services. Just doing reruns and old movies isn't enough." (Jarvey). Additionally, because of Disney’s family-friendly image, some shows will not fit with the service “because of its focus on its core brands, [Disney+] isn't always the right home for, say, a raunchy comedy or gritty drama” (Jarvey).
ReplyDeleteWhile Hulu is smaller than Netflix and doesn’t have as much of a selection as Netflix does for films and original content, Hulu benefits from Disney’s 67% stake and Comcast’s 33% stake in the company (Kafta). These two companies allow Hulu to offer content from DreamWorks and Universal Studios on demand as well as show ESPN and the Disney channel for its live streaming offerings. Many people like Hulu’s original series, the most recent standout being The Handmaid’s Tale.
Of all the streaming services that are out or about to come out, Apple TV+ will be the one to struggle the most with attaining subscribers. It has no intellectual property to incentivize people to use the service and it does not have compelling enough offerings for original content like Disney+, Netflix, and Hulu. HBO Max and Peacock also have intellectual property that they can use to their advantage to attract subscribers. Additionally, Apple TV+ does not have the benefit of being directly involved in creating content like the other streaming services. Apple started as a hardware and software company and has expanded to offer services through subscriptions as well, while the other streaming services are offered either by media distributors or media creators. Apple TV+ is going to have to offer some amazing original content or offer some incentive for people who already own Apple devices to use it, similar to what the company did when it first released Apple Music.
Besides Hulu, Netflix, Disney+, Apple TV+, and the forthcoming Peacock and HBO Max, there are services like Philo. Philo offers streaming of live TV and on-demand video for shows from all of the channels it offers, such as A&E, Discovery, TLC, the Food Network and Viacom for $20 a month. While Philo has competition with the soon to be released Peacock and HBO Max, Philo’s COO Mike Keyserling, said, “If anything, we're a little more complimentary to those services than being competitive” (Bloom). Of course, Philo’s service isn’t for everyone, as Keyserling, said of Philo’s competition with Disney+, “Do I think there's a macro issue around fighting for dollars and a (viewer’s) amount of time in a day? That might be a concern but on the day to day, we don't carry the Disney channels. There's no direct competition or threat.” (Bloom).
Keyserling seems to agree with many Wall Street analysts who forecast “that despite Apple TV+ and Disney+ launching and other streaming players getting set to compete, Netflix will not greatly bleed subscribers” (Vlessing). Of course, Keyserling is concerned with his service, Philo, but it seems that people are going to pick and choose which streaming services they are going to use at once. Because media companies are bringing their content in house, people can no longer use just Netflix for their content anymore. However, Netflix has built itself as the king of streaming on-demand video content and will continue to reign supreme while people add on other services such as Disney+ and Peacock to fill in the gaps of content that Netflix does not have.
Sophia Toppo
ReplyDeleteIt is clear that streaming services have been dominating the television and film industry because of how appealing direct-to-consumer access is. Throughout the years, many different streaming services have developed, evolved and expanded, like Hulu, Netflix, Amazon Prime, and now Disney+ and Apple TV+. Because of the increase of popularity between these streaming services, competition has increased based on content and pricing. With all of these different streaming platforms, it makes us wonder which ones will thrive throughout the years and which ones will fail due to the success of others. It is always important to examine the similarities and differences between streaming platforms in order to make an evidence-based prediction of which will be successful or not. An article in USA Today ranked the top streaming services from best to worst based on price, originals, library, and whether they are kid friendly. With Hulu at the top of the list, Netflix falling in second and Apple TV+ falling in last place, I’m not too surprised by this list. Disney+, Amazon Prime and CBS all access lie in the middle of the ranking (Lawler, 2019). There are many pros and cons to each streaming service, but overall, it is important to analyze whether or not the streaming platforms will continue to gain the audiences reliability. Hulu and Netflix are both very dominant platforms in the streaming world. Hulu has many award winning originals and also contains a large variety of movies and television series. The cheaper price contains advertisements, which personally does not appeal to some users. Netflix contains a large amount of originals along with many different genres of television shows and films, however they are known for continuously removing content from their site. Disney+ has entered the streaming field in November and the hype was worth it. All Disney shows and movies along with Marvel and Star Wars movies are on this streaming service. While many believed that this would create competition for Netflix and Hulu, it in fact didn’t. According to the article in the Hollywood Reporter, “…Disney+ and Apple TV+ will need to aggressively compete on content and talent to keep pace with Netflix…”(Vlessing, 2020). Disney+ has the appeal to Disney lovers and children, but other streaming services like Hulu and Netflix branch out to a larger audience. Disney+ will definitely not outrun Netflix in the long run, but I do believe they will continue to be a successful streaming service due to its reliable fan base.
Then there are the streaming services that fall behind. Apple TV+, CBS all access seem to be on the backburner of streaming platforms. Apple TV+ may be on the cheaper side but does not have that large variety of classics and only a few originals. CBS All Access has more of the classic films and television shows that appeal to the older generations who are less likely to stream. Therefore, it will probably lose relevance quickly since it doesn’t reach out to a wider audience. There is a new streaming service from NBCU that is arriving in April called “Peacock.” This new streaming service was described as “The equivalent of a 21st century broadcast business, delivered on the Internet”(Hsu&Lee, 2020). Peacock is advertising itself as having a diverse library with many originals, but how will it differentiate itself from the other streaming services like Netflix and Hulu? It is hard to say how Peacock will manage in the streaming war, but we will have to find out once it is finally up and running.
DeleteWorks Cited
Lawler, Kelly. (2019). Disney+ to Apple TV+ to Netflix: All the major streaming services, ranked. Retrieved from https://www.usatoday.com/story/entertainment/tv/2019/10/29/apple-tv-netflix-disney-all-streaming-services-ranked/2484448001/
Vlessing, Etan. (2020). Disney+, Apple TV+ Are No Netflix Killers, Says Analyst. Retrieved from https://www.hollywoodreporter.com/news/disney-apple-tv-are-no-netflix-killers-says-analyst-1270642
Hsu, Tiffany & Lee, Edmund. (2020). Peacock, NBC’s Streaming Service, Will Have a Free Option and “The Office.” Retrieved from https://www.nytimes.com/2020/01/16/business/peacock-streaming-nbcuniversal-comcast.html
Adelle Tedesco
ReplyDeleteOut of the streaming services available, the biggest winners in the streaming wars are Netflix and Hulu and Amazon Prime. Services like Disney+, CBS All Access and other services that are for specific studios or stations are likely to do worse in the streaming wars and be considered more as the losers. Netflix and Hulu have been around since the beginning of streaming and have gained a steady following with loyal customers, and offer such wide ranges of TV shows and movies, that people are willing to spend the money on these services. The more specific streaming services being developed by specific TV stations and Movie studios, are bound to be good in the beginning, such as Disney+. With the launch of Disney+, people were immediately purchasing subscriptions for these services since all Disney content was taken off of other platforms, like Hulu and Netflix, so it was obvious that this streaming service would be successful. Other studios and stations are beginning to follow in foot steps of Disney+, and launching their own streaming services like CBS All Access, HBO Max, and Peacock. These streaming services are bound to do well in the beginning since they plan on pulling all of their content off the services like Netflix and Hulu, so subscribers to these services are likely to also buy a subscription to these services to continue watching the shows and movies that they like.
These studio and station specific streaming services are likely to do well when they first launch but over time are not likely to do as successful at Netflix, Hulu, Amazon Prime and other streaming services that are broader ranges of content. Unless more of these studios and stations are likely to all launch their own streaming services over the next two years and continue to pull all of their content off of Netflix and Hulu, these streaming services are the ones that will struggle. People are more likely to stick to their Netflix and Hulu subscriptions, since these streaming services offer such a wide variety of shows and movies from other studios, as well as their own content. CBS All Access, HBO Max and Peacock will see the same boom that Disney+ did with such a success full launch period, but over the next two years these services are the ones that will struggle to keep up these numbers and success, while Hulu and Netflix might have some struggles during these launch periods, but subscribers will always continue to stay with Netflix and Hulu.
Lawler, Kelly. “Disney+ to Apple TV+ to Netflix: All the Major Streaming Services, Ranked.” USA Today, Gannett Satellite Information Network, 12 Nov. 2019, www.usatoday.com/story/entertainment/tv/2019/10/29/apple-tv-netflix-disney-all-streaming-services-ranked/2484448001/.
“Netflix and Apple Have Considered Buying MGM as the Streaming Wars Continue.” /Film, 27 Jan. 2020, www.slashfilm.com/netflix-and-apple-consider-mgm-purchase/.
Vlessing, Etan. “Disney+, Apple TV+ Are No Netflix Killers, Says Analyst.” The Hollywood Reporter, 17 Jan. 2020, www.hollywoodreporter.com/news/disney-apple-tv-are-no-netflix-killers-says-analyst-1270642.
I believe that the most prominent streaming service on the market currently is Netflix because of their critically acclaimed original shows and movies. Netflix has invested a lot of money into producing their own content, and it has paid off. Television originals such as ‘You,’ original films such as ‘The Irishman’ and documentary originals such as ‘Making a Murderer’ have given Netflix a tremendous reputation for stellar content. Although other services such as Hulu provide original content, they do not seem to receive the attention and critical praise that Netflix productions get. Netflix does not appear to be letting up in the new decade. According to Todd Spangler of Variety, “Netflix is keeping its foot pressed firmly on the gas pedal in the streaming-video road race. The streamer will invest around $17.3 billion this year in content on a cash basis.”
ReplyDeleteDisney+ is one of the top contenders in the streaming race because of its brand recognition. With film franchises such as ‘Star Wars’ or ‘Finding Nemo’ being implemented on the service for consumers, it allows Disney to become a top dog in the world of streaming content. Movies and TV shows have seen tremendous success following meme-able moments from the content or within the characters. For example, Disney +’s new show ‘The Mandalorian’ has went viral due to the social media firestorm that took place once the character Baby Yoda was revealed. People that might not have a subscription to Disney + are now subjected to the streaming service’s content through memes on social media. Rebecca Keegan of The Hollywood Reporter states, “By late November, Baby Yoda mentions were outpacing any of the Democratic presidential candidates on social media.” Not only does this kind of recognition improve Disney+’s brand, but it will increase the number of subscribers to their platform.
Some services that I believe will struggle over the course of the next two years are services such as CBS All Access and Amazon Prime Video. I do not believe that CBS has any content that will intrigue people enough to buy a subscription. Most shows on CBS are targeted toward an older audience. For example, shows such as ‘Blue Bloods’ or ‘Bull’ tend to receive their ratings from consumers aged 40 and up. This is not the ideal age for online streaming subscribers. Amazon Prime Video’s content does not seem to match up with the content provided on services such as Netflix or Hulu. Personally, I have never heard anyone say “I can’t wait to binge watch that new show on Amazon Prime Video.” I do not believe that the service has the content respect that other companies do. According to Luke Bouma of Cord Cutters News, “Amazon lost about $700 million on Amazon Prime Video in 2016. Amazon has made it clear that it sees Amazon Video as a way to get more people to use and buy stuff on Amazon.” Amazon Video cares more about increasing their revenue than making quality content for their streaming service, and I do not think that they can compete with the likes of Netflix in the coming years.
Works Cited
DeleteKeegan, Rebecca. “In Baby Yoda, Hollywood Sees Its Past, Present and Meme-Able Future.” The Hollywood Reporter, 20 Dec. 2019, www.hollywoodreporter.com/features/baby-yoda-represents-past-present-future-hollywood-1263588?utm_source=Sailthru&%3Butm_medium=email&%3Butm_campaign=THR%27s%2BToday%2Bin%2BEntertainment_now_2019-12-19%2B07%3A18%3A10_ehayden&%3Butm_term=hollywoodreporter_tie.
Spangler, Todd. “Netflix Projected to Spend More Than $17 Billion on Content in 2020.” Variety, 21 Jan. 2020, variety.com/2020/digital/news/netflix-2020-content-spending-17-billion-1203469237/.
Bouma, Luke. “Amazon Is Losing Millions on Prime Video, But It Doesn't Care.” Cord Cutters News, 27 Feb. 2017, www.cordcuttersnews.com/amazon-losing-millions-prime-video-doesnt-care/.
By: Brent Costantino
Ryan Fargo
ReplyDeleteOver the past few years we have seen an enormous increase of streaming services. Between the rise of Disney plus, Apple plus, and now Peacock it will be interesting how the older services keep up. Netflix has been the dominant streaming service for a long time, only hindered by the release of Hulu. The new streaming services I previously mentioned did not hurt the Netflix subscription count at all according to Hollywoodreporter.com. This is not to say that in the future we will see the dethroning of Netflix. Now the question is, “who will be the big winners- and losers- of the streaming wars?” I can’t see Netflix taking the fall but I can see Disney taking over. Disney seems to dominate any industry they are in and they have it figured out. The release of Disney plus was a hit and they surpassed every estimation they had. If Disney can find a better way to introduce more content to the high school/teenager demographic they should have no problem controlling the industry.
Isaac Bauer
ReplyDeleteThere are many experts in the streaming industry that may disagree with the idea of a “streaming war” as all kinds of services will benefit from the surge of new users. However, there will be some that will benefit more than others. This is where I believe Disney+ has the advantage, with their deep reservoir of beloved in-house IP and a lineup of brand new Star Wars and Marvel shows. Disney+ is currently the most popular and discussed streaming service on the internet, thanks to the massive success of the adorable “Baby Yoda” that fans have dubbed him. I myself was absolutely hooked on the Mandalorian, and that made me so much more excited for more quality content. If Disney is able to continue capitalizing on the popularity of the Mandalorian, alongside Marvel and other Star Wars content, I can picture Disney+ becoming the biggest winners of the “streaming wars.”
I can imagine that most streamers will keep their big-three subscriptions to Netflix, Hulu, and Amazon Prime. Maybe one of the three will get the cut, but the point is that their services have been in the streaming industry for a while and have amassed a large subscriber base so I don’t see them in any immediate danger. I think the biggest losers would have to be the new players in the streaming scene, like CBS All-Access and Peacock. These are the harder sells in my opinion, with so many streaming subscriptions to go around, most consumers will only pick a few out of the wide variety we have today. HBO Max seems to have the biggest shows and name recognition, but CBS and Peacock may have to make something special in order to gain the same following. Picard is CBS All-Access flagship series, but I have heard mixed reviews so far so we will have to keep watching to see how the streaming plays out.
Works cited:
Imke, Steven. “The Long-Tail Economy: What You Need to Know.” Business 2 Community, www.business2community.com/marketing/the-long-tail-economy-what-you-need-to-know-02218650.
Keegan, Rebecca. “In Baby Yoda, Hollywood Sees Its Past, Present and Meme-Able Future.” The Hollywood Reporter, 20 Dec. 2019
Schwab, Katharine. “Why the Streaming Wars Are a Myth.” Fast Company, Fast Company, 8 Nov. 2019, www.fastcompany.com/90428525/why-the-streaming-wars-are-a-myth.
Dylan Lewis
ReplyDeleteOver the next two years, I think that Netflix will continue to dominate the streaming market as they have been over the past decade. Netflix has established themselves as the #1 streaming service not only due to the many films and television shows they have acquired the rights to have on their platform, but also the many critically and commercially acclaimed films and shows Netflix has created themselves. Netflix has one major thing that has many investors worried about the longevity of their platform, that being the immense amount of money the company gives out to license their many available films and television shows exceeds their actual revenue by a fair amount. According to The Hollywood Reporter, the $15 billion budget set by Netflix for 2019 exceeded their cash generation by about $3.5 billion, leaving their overall revenue deep in the red. However, with their already massive lead ahead of their streaming service competitors along with their continued ventures into film and television production, I still believe Netflix can continue to dominate the streaming wars for years to come.
With streaming becoming the #1 option for people looking to watch TV and films, many companies have attempted to throw their hat into the ring and capitalize on the rise of streaming by making their own services. With so many companies all trying to get into the streaming service game at once, it’s only natural that there will be some failures along the way.
In order to remain relevant in a time where cable TV viewership is dwindling, CBS has made their own streaming service, CBS All Access, in an attempt to retain their viewers and compete with the bigger names in the streaming wars. CBS All Access offers content from many of CBS’s older programming, the latest episodes from their currently-airing programs, and original shows exclusive to the platform such as The Twilight Zone and Star Trek: Discovery. Kelly Lawler from USA Today writes that CBS All Access is “limited in scope,” and that “seeing some episodes of “Star Trek: Picard” a few times a year may not be worth the expense.” (Lawler) While it may be a smart idea for CBS to try to capitalize on the streaming hype with a service of their own, their service is inherently limited, only offering shows previously broadcast from CBS themselves, and the few original shows they offer are simply not enough to convince most people to pay $6 a month to access their service. The recent merger with Viacom will add to their content but they are targeting an older demographic audience that will likely be much slower to adapt to the new world of streaming. (Observer)
Ultimately I think the consumer may not be a big winner in the way the streaming wars are developing. People went to cable because it provided a vast amount of content that was easily obtainable from a single source. As the big streaming companies carve their own content onto exclusive platforms it will be necessary to have many subscriptions in order to access all the movies and programs you want to be able to watch. The monthly fees will add up and consumers will be back where they started before the cut the cord.
Katz, Brandon. “Market Experts Predict Which Streamers Will Fail and Why.” Observer,
Observer, 19 Sept. 2019, observer.com/2019/09/amazon-apple-netflix-disney-hbo-max-peacock-streaming-wars-who-will-fail/.
Lawler, Kelly. “Disney+ to Apple TV+ to Netflix: All the Major Streaming Services, Ranked.”
USA Today, Gannett Satellite Information Network, 12 Nov. 2019,
www.usatoday.com/story/entertainment/tv/2019/10/29/apple-tv-netflix-disney-all-streami
ng-services-ranked/2484448001/.
Szalai, Georg. “When Will Netflix Finally End Its Cash Burn?” The Hollywood Reporter, 30
Oct. 2019,
www.hollywoodreporter.com/news/will-netflix-finally-end-cash-burn-1250782?utm_source=Sailthru&%3Butm_medium=email&%3Butm_campaign=THR%27s%2BToday%2Bin%2BEntertainment_now_2019-10-30%2B07%3A15%3A10_aweprin&%3Butm_term=hollywoodreporter_tie.
Larryssa Jean-Jules
ReplyDeleteWhen it comes to the streaming wars, Disney + is showing to now come out on top. In a media landscape diagram created by Vox, as a content company, “Disney/21st Century Fox have a market cap of $267 billion with a 67% stake in Hulu. Comcast also has a 33% stake in Hulu. (Molla & Kafka, 2019). However according to Variety.com, “Comcast is holding talks with Disney to see if they can hammer out a deal to sell Comcast’s one-third stake in Hulu.” (Spangler, 2020) This would give Disney complete ownership of Hulu, giving them even more content to offer under Disney + and could definitely hurt Netflix even more.
It seems that there will never not be an audience for Disney and that has been shown through the lack of a generational gap when it comes to consuming Disney content whether that today’s kids watching Finding Dory or watching Frozen. After they were able to buy 20th Century Fox, Lucas Film and many other companies, it seems as though they own most of the television and movie content that we consume.
Just by owning so many other companies, Disney has been able to create an irresistible streaming package that now includes Hulu, ESPN and Disney + for about the same price as a Netflix subscription ($12.99).
Streaming platforms like HBO and Amazon Prime and Netflix are just a couple of the losers in the streaming war, but HBO seems to be the main platform set to struggle. Netflix is somewhat a loser in the streaming wars simply because they are losing a lot of their content with media companies wanting to create their own streaming platform with their content, however, just last year a majority off the content they released has really showed why Netflix is still somewhat superior to everyone else. With shows like You that have created so much attention on social media and the release of the 3rd season of Stranger Things, people are still holding on to their Netflix subscriptions to keep up with the Netflix original series they first fell in love with.
However, when it comes to HBO, it looks to be somewhat in limbo looking for their next hit show after Game of Thrones ended last year. They are currently looking to expand their platform with HBO Max which would include hit shows like “Friends, The Big Bang Theory and South Park [and] Warner Bros. films including Joker” (Stankey). HBO’s lineup is definitely filled with very successful shows that have a faithful audience, especially Friends, however, with the streaming service being $15 and set to feature ads, it really tests just how many subscriptions people are willing to pay for. My prediction is that HBO will definitely be on the list of companies that will struggle to find an audience in the next 2 years. Especially with Disney+ having the bundling option, Netflix still having a cheaper option and Apple TV coming in at $4.99 a month.
Works Cited
Jarvey, Natalie. “WarnerMedia Unveils HBO Max Price, Launch Date.” The Hollywood Reporter, 29 Oct. 2019, www.hollywoodreporter.com/live-feed/warnermedia-unveils-hbo-max-price-launch-date-1251013?utm_source=Sailthru&utm_medium=email&utm_campaign=THR's Today in Entertainment_now_2019-10-30 07:15:10_aweprin&utm_term=hollywoodreporter_tie.
Molla, Rani, and Peter Kafka. “Here's Who Owns Everything in the Media Today.” Vox, Vox, 5 Dec. 2019, www.vox.com/2018/1/23/16905844/media-landscape-verizon-amazon-comcast-disney-fox-relationships-chart.
Spangler, Todd. “Comcast Mulling Sale of Hulu Stake to Disney (Report).” Variety, 27 Apr. 2019, variety.com/2019/digital/news/comcast-hulu-stake-sale-disney-1203197815/.
Spangler, Todd. “Netflix Projected to Spend More Than $17 Billion on Content in 2020.” Variety, 16 Jan. 2020, variety.com/2020/digital/news/netflix-2020-content-spending-17-billion-1203469237/.
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DeleteSophie Rodgers
ReplyDeleteIt’s been clear for the past couple of years that streaming is both the present and future of television and movie content. The questions that remain now have to do with what that system is going to look like, and just how much it will disrupt the hold cable has had over society for the past half a century.
I think that the “winners” of the streaming industry are going to end up being Hulu and Disney+. There are a lot of factors that play into that, starting with Hulu. USA Today’s recent ranking of streaming services puts Hulu at number one, citing its “broadly appealing service that offers plenty of genres and styles without scraping the bottom of the barrel for new content.” (Lawler). I completely agree—personally, I think Hulu is the service whose content is most worth it for the price, which at $5.99/month is already lower than most of its competitors’. The company’s deal with Spotify for college students, which offers both premium services for only $5.99/month, is also a huge draw for people aged 18 to 22 that I don’t think is going to fall out of favor anytime soon. Disney+ is a different ball game, but one with the same predictors for success. Similar to Hulu, Disney+ has a solid catalog. You know things aren’t going to be taken off at random, because everything they offer is their own intellectual content. People are already familiar with the Disney catalog, and so will be interested because of past content they’ve enjoyed as well as because of the appeal of new content from those same creators. The kid-friendly aspect of the service also means it will become a staple for numerous families, those with or without young children, in the search for family-friendly content.
As for the losers, I think those will end up being HBOMax, Apple TV, and Quibi. HBO Max is, I believe, a bad idea for Warner Media. As of now, the service “debuts in the spring and is expected to bleed red ink until about 2025.” (Szalai). While several analysts, including Cowen media analyst Doug Creutz, are confident that the service will “likely... be among the survivors based on their positioning”, I personally don’t see them being able to make up the profits through new subscriptions (Szalai). Most people I know have HBO through their cable provider, and the majority of those people only have it to be able to watch Game of Thrones (which is over). While HBO does have several high quality original shows, none are as big culturally as GOT, and the fan bases for them are usually niche audiences. I have a hard time believing that enough people will go out of their way to register for this subscription service with the content they currently have now, especially because HBO isn’t known for a catalog of older original content. I feel the same way about Apple TV+. The service has “no back library of classic shows or films. You could burn through their entire new catalog in a few weeks.” (Lawler). Even worse, its original content is already seeming to flop, with only one, “For All Mankind”, getting a measly “maybe-good” rating from USA Today (Lawler). The price point is one of the lowest out there, at $4.99/month, which might incentivize subscribers, but I just don’t think the content is enough of a draw. And, ironically, that low price might devalue the subscribers they do get, as that income probably isn’t enough to get Apple in the black. In fact, Cohen and Co. released a report in November of 2019 that declared that “Low prices for new streaming services, designed to boost subscriber reach early on, is another issue holding back any financial upside” (Szalai).
Finally, one I think might be the biggest loser of them all is Quibi, a service “specializing in short-form video of ten-minute episodes or less, for $4.99 per month with ads, and $7.99 without them.” (Roberts). Proposed programs include “a Steven Spielberg series that can only be watched at night, a Chrissy Teigen-hosted Judge Judy-style reality series and a remake of The Fugitive that features Kiefer Sutherland.” (Roberts). There are a couple reasons I don’t believe in Quibi. Its premise is unfamiliar to the public at large, which will be an initial deterrent. People like shows they can binge all at once, which doesn’t work really well with 10-minute shorts. And honestly, $4.99/month isn’t low enough to compensate for ads (and $7.99/month is too much for what the content is).
DeleteWorks Cited
Lawler, Kelly. “Disney+ to Apple TV+ to Netflix: All the Major Streaming Services, Ranked.” USA Today, Gannett Satellite Information Network, 12 Nov. 2019, www.usatoday.com/story/entertainment/tv/2019/10/29/apple-tv-netflix-disney-all-streaming-services-ranked/2484448001/.
Roberts, Samuel. “In 2020, We'll Learn How Many Streaming Services Is Too Many.” TechRadar, TechRadar, 1 Jan. 2020, www.techradar.com/news/in-2020-well-learn-how-many-streaming-services-is-too-many.
Szalai, Georg, and Paul Bond. “Should Streaming Services Expect Razor-Thin Profit Margins?” The Hollywood Reporter, 26 Nov. 2019, www.hollywoodreporter.com/news/should-streaming-services-expect-razor-thin-profit-margins-1257572?utm_source=Sailthru&%3Butm_medium=email&%3Butm_campaign=THR%27s%2BToday%2Bin%2BEntertainment_2019-11-27%2B07%3A19%3A00_aweprin&%3Butm_term=hollywoodreporter_tie.
Nick Carrozza
ReplyDeleteProfessor Burns
MSS 495
1/28/20
Weekly Blog
In the Forbes article which I read about Gen Z, there are many points which I personally can connect with as I am a member of this generation. One aspect that sticks out is the independence which we need. Last summer I got to experience the workplace firsthand at WGN America in New York City and I immediately noticed the millennial impacts on the workplace. The openness of the office and the lack of personal space was not ideal to me. I think I can speak for many other Gen Z’s when I say that I need my own space and I want to work on my own. Teamwork is obviously necessary but there are also many benefits to independent work. Like the article says, “They want to work on their own and be judged on their own merits rather than those of their team.” (https://www.forbes.com/sites/deeppatel/2017/09/21/8-ways-generation-z-will-differ-from-millennials-in-the-workplace/#2be86a9676e5) This sense of working alone is extremely evident in college. Professors have geared their classes towards the idea of group work as to prepare students for the workplace. This has been met with disdain by almost every student I know.
Gen Z, similar to Millennials, have a need to at least somewhat enjoy their work life. Gen Z is very determined to make money and be financially stable but they also put their mental health and happiness as a top priority. So why is it that Gen Z differs so much from Millenials in certain aspects? According to the article there is a direct correlation to how each generation was
raised. What events unfolded which impacted this generation? From what I read I can gather that the childhoods of generations heavily define what the generation will be like. For example, in the Forbes article we see that Gen Z were kids/teenagers when the recession of 2008 occurred. This had an impact on millions of American families. This definitely put fear and also motivation into the head of Gen Z.
DeleteThe technological boom of the past twenty years or so has been a huge part of Gen Z. Gen Z have been brought up during a time of technological advances in nearly every aspect. One such being the cell phone/ computers. Nearly every year of my life growing up, there was a new phone coming out with advancements. This has shaped our generation and it is becoming evident in the workplace. Companies are always trying to stay updated with the latest technologies and systems so it will be interesting to see how Gen Z adapts.
Baby Yoda. The most adorable meme of all time. This movement of baby Yoda memes has not only been a funny thing to pass the time but a cultural phenomenon. The character is originally from the Disney Plus exclusive, “The Mandalorian.” The show has had massive success and continues to grow even after finishing the first season. Star Wars as a whole has never shied away from producing cute characters. Between R2-D2, BB8, and the ewoks, people have always loved these little fantasy characters. So how is Baby Yoda any different? One major aspect that defines Baby Yoda as of right now is that we really don’t know who is. Despite the name “Baby Yoda,” this is not actually his real name. I could go into the details of Star Wars and such, but I will save you the time. It is interesting how society named him and completely focused on him. Every movement, smile, or noise he made was captivating.
Another aspect which is interesting is how Disney has not made any toys whatsoever for Baby Yoda. This comes as a huge shock because this is something that could make them millions of dollars alone. I know I would buy a little Baby Yoda toy in a heartbeat. Star Wars has always been a large part of the toy industry. Producing lovable characters is what Star Wars does best, but in this case, it seems like they were caught off guard by the massive following for Baby Yoda. This entire situation has been extremely beneficial for Disney as they are the only company who owns The Mandalorian. Millions of people got Disney Plus just to see Baby Yoda on screen. This is also not the last time we will be seeing him. With more seasons on the way, The Mandalorian is defiantly going to keep bringing us back.
Works Cited:
https://www.forbes.com/sites/deeppatel/2017/09/21/8-ways-generation-z-will-differ-from-millennials-in-the-workplace/#2be86a9676e5
https://www.hollywoodreporter.com/features/baby-yoda-represents-past-present-future-hollywood-1263588?utm_source=Sailthru&utm_medium=email&utm_campaign=THR%27s%20Today%20in%20Entertainment_now_2019-12-19%2007:18:10_ehayden&utm_term=hollywoodreporter_tie
With streaming being the biggest way people consume media in 2020, it is important not to downplay the significance of the role it will play in the upcoming years. While there are many different streaming services available it is clear to me that Netflix will continue to be the top dog of the streaming world. Netflix is constantly bringing its subscribers an influx of new original content that always seems to be at the forefront of conversation when it comes to what people are watching these days. In addition to the stream of new shows, its got plenty of successful original shows that are getting renewed for multiple seasons such as Ozark and Stranger Things in addition with other network shows people are familiar with like Breaking Bad, The Office, New Girl and countless others. While Kelly Lawler of USA Today feels that Hulu “has wisely chosen not to overload us with shoddy new programming, a mistake its biggest competitor, Netflix, has unfortunately made.” (Lawler), I feel that a lot of the streaming game these days is throwing stuff on against the wall and seeing what sticks. If you wind up getting a show as successful as Netflix’s Stranger Things out of a pack of 5 new releases for a summer slate, the money spent is well worth it, and believe me, Netflix has plenty of money to go around. Netflix may be in debt, however I firmly believe that they are trying to establish a foundation of originals that is unmatched by any other competing streaming service, and once they have a fleet of top tier original programming, they will cut their spending significantly.
ReplyDeleteFor 2020, Netflix has a “$15 billion budget for content this year — which is set to exceed the company's cash generation by $3.5 billion” (Szalai) which is only going to help Netflix continue to pump out more content for its subscribers. Netflix has been one of the only tried and true superpowers in these streaming wars. When you think streaming service, Netflix is most likely the first thing to pop into your head, and this is because they are simply the best at it. Netflix released a statement saying "We did well during the first decade of streaming. We’ve been preparing for this new wave of competition for a long time. It’s why we started investing in originals in 2012 and expanded aggressively ever since - across programming categories and countries with an ambition to share stories from the world to the world." (Casey) Netflix has been prepping for this streaming war, while other companies have merely been trying to make a name for themselves, and I feel that is where Netflix has a huge advantage.
If there is one service that could rival Netflix in the future, it has to be Hulu. Hulu has a great library of shows people already know ranging from Its Always Sunny in Philadelphia to Seinfeld, but the service lacks originals that can compete with Netflix. And while Hulu may have a cheaper base package, the inclusion of advertisement is honestly a deal breaker for me. When using the Hulu package with ads, it feels like I am just watching TV. Sure I get to select which show I would like to watch at the time, but with an ad break every 5 minutes or so, it isn’t really worth it to me. Especially when I have to watch the same 3 ads play throughout every ad break. Netflix takes the upper hand in just about every area, and while people initially complained about Netflix bumping up their prices per month, subscribers still forked over the money because they know that Netflix is providing the best streaming service in the market.
Work Cited
DeleteCasey, Henry T. “Why Netflix Isn't Scared of Disney Plus.” Tom's Guide, Tom's Guide, 17 Oct. 2019, www.tomsguide.com/news/why-netflix-isnt-scared-of-disney-plus.
Lawler, Kelly. “Disney to Apple TV to Netflix: All the Major Streaming Services, Ranked.” USA Today, Gannett Satellite Information Network, 12 Nov. 2019, www.usatoday.com/story/entertainment/tv/2019/10/29/apple-tv-netflix-disney-all-streaming-services-ranked/2484448001/.
Szalai, Georg. “When Will Netflix Finally End Its Cash Burn?” The Hollywood Reporter, 30 Oct. 2019, www.hollywoodreporter.com/news/will-netflix-finally-end-cash-burn-1250782?utm_source=Sailthru&utm_medium=email&utm_campaign=THR's Today in Entertainment_now_2019-10-30 07:15:10_aweprin&utm_term=hollywoodreporter_tie.
Marie Badio
ReplyDeleteI feel the biggest winners in the streaming wars will be those companies that offer content are consistently evolving by creating new/good original content that attracts current and new consumers. Netflix currently offers the largest library of content and has a really good algorithm to keep viewers watching. Netflix is also very popular and has cultural memes which include “Netflix and Chill”! Netflix also spends billions of dollars on original content in a variety of genres although not all content is great but is watchable. According to Todd Spangler of Variety, “Netflix is keeping its foot pressed firmly on the gas pedal in the streaming-video road race. The streamer will invest around $17.3 billion this year in content on a cash basis.”
I have found myself watching movies that are cringy, but I watch until the end and then question why I did that! Apple TV+ does not capture enough consumers because their content library is smaller than Hulu, Netflix, and Disney + which I feel does not compare. Apple TV doesn’t offer me anything that I am interested in. However, I would watch Mandalorian because of baby Yoda, but before class discussions I had zero interest. Even though Netflix lost Disney product they are still staying at the top of the leader board because most people around the world have “cut the cord” with cable and look to Netflix for entertainment. If the idea to lessen your cable bill than Netflix and Roku will offer enough content to keep you satisfied where Hulu, Disney +, Apple TV and CBS All access will not have enough content. Trying to pay for all of these subscriptions together defeats the purpose of cutting the cord.
Disney+ has a huge library of fan favorites but they need to have content that newer generations will love and for those consumers who are looking for something that is not rated PG-13. Although, I feel Disney+ could put Netflix on the ropes if they create more original content for older adults. Amazon Prime will struggle to find new audiences in the next few years if they are not creating work for more diverse audiences. They survive because the subscription is included with Prime membership, however how many of those members use their streaming service? I know that as a student Prime member I don’t watch videos or listen to music.
Keegan, Rebecca. “In Baby Yoda, Hollywood Sees Its Past, Present and Meme-Able Future.” The Hollywood Reporter, 20 Dec. 2019, www.hollywoodreporter.com/features/baby-yoda-represents-past-present-future-hollywood-1263588?utm_source=Sailthru&%3Butm_medium=email&%3Butm_campaign=THR%27s%2BToday%2Bin%2BEntertainment_now_2019-12-19%2B07%3A18%3A10_ehayden&%3Butm_term=hollywoodreporter_tie.
Lawler, Kelly. “Disney+ to Apple TV+ to Netflix: All the Major Streaming Services, Ranked.” USA Today, Gannett Satellite Information Network, 12 Nov. 2019, www.usatoday.com/story/entertainment/tv/2019/10/29/apple-tv-netflix-disney-all-streaming-services-ranked/2484448001/.
Spangler, Todd. “Netflix Projected to Spend More Than $17 Billion on Content in 2020.” Variety, 21 Jan. 2020, variety.com/2020/digital/news/netflix-2020-content-spending-17-billion-1203469237/.