Technology

Linear TV viewing declines to under 50% as streaming gains new heights.

AifrontierMarch 27, 202505 mins

Here is the expanded and rewritten article based on the provided guidelines:

** Nielsen has released its July 2023 report on U.S. TV viewing habits, revealing a significant shift in audience preferences. Cable and broadcast usage have declined below 50%, marking the first time linear TV viewing has fallen below this threshold at 49.6%. Streaming services, however, have surged to dominance, accounting for 38.7% of total usage—a new record high. This article delves into the trends, challenges, and implications of these shifts in media consumption.

Table of Contents

Cable Usage: A Historic Decline

Cable viewing has fallen to a historic low, now representing just 29.6%, down 12.5% year-over-year. This decline is the first time cable usage has dipped below single-digit growth since 2017. Despite efforts by traditional broadcasters to retain viewers through enhanced programming and marketing, the rise of streaming services has proven difficult to match.

** Broadcast Usage: A Steady Decline**

Broadcast viewing is steadily declining at a rate of about 4% annually. This trend reflects the growing preference for on-demand content, which offers greater flexibility and convenience. The competitive landscape among cable, broadcast, and streaming providers continues to intensify, driving downward pressure on advertising rates and viewer retention.

Streaming Services: Rethinking Traditional Models

The rise of streaming services has reshaped TV consumption patterns. From June 2023 data, Disney+ now trails only Netflix in total subscribers globally, with 57 million subscribers. This growth underscores the changing media landscape as traditional cable providers struggle to maintain relevance.

The Impact of Subscription Price Hikes

** Disney+ and Other Streaming Services: Price hikes have sparked controversy among consumers. Disney+ has raised its monthly price from $14.99 to $16.99, signaling a shift toward premium offerings. This strategy reflects the broader trend in the streaming industry, with companies investing heavily in original content and exclusive programming.

The Rise of FAST Streaming

** Free Ad-Supported Streaming (FAST): A new frontier in media consumption has emerged with the rise of free ad-supported streaming services like Pluto TV and Crackle. These platforms offer a viable alternative to traditional cable and pay-per-view services, attracting younger audiences who are skeptical of subscription-based models.

The Future of Linear TV

** Linear TV’s declining dominance signals a shift toward on-demand content. However, linear TV remains a critical component of media consumption for many viewers, offering the convenience of recorded programming access.