More Americans are cutting the cord.
In fact, according to Insider Intelligence, as noted by AFP, “For the first time ever, US adults will spend more time this year watching digital video on platforms such as Netflix, TikTok and YouTube than viewing traditional television. Given teens’ preferences for social and streaming video over TV, we can expect these trends to continue to shift in favor of digital.”
That’s great news for companies, like Netflix (NFLX) and Alphabet (GOOG).
Better, the market is only expected to grow. In 2021, the streaming market was worth about $59.14 billion. Between now and 2030, it’s expected to grow at a CAGR of 21.3%, according to Grand View Research. Three, millions of U.S. households are actively “cutting the cord.”
In fact, just over the last nine years, 20 million households have ditched cable television.
And it’s only expected to get worse. The Pew Research Center found that cable viewership dropped from 76% in 2015 to 56% by 2021. About 71% of them are canceling cable because of content issues. About 69% of them are fed up with the cost. Another 45% aren’t watching television often enough.
Those numbers are about to drop even more, when we look at a recent survey of teens.
All of these numbers. simply tells us cable television is no longer as popular. With streaming, consumers can get more content at less cost. So why not cut the cord? Even better, the global streaming market is now worth about $473 billion.
By 2029, it could be worth nearly $1.69 trillion, with a CAGR of 19.9%.