We’ve learned quite a bit more about Apple TV+ over the last week, including details on Apple’s ballooning content budget and a potential monthly price. Now, new data detailed by TechCrunch offers insight into the current state of streaming video services including Netflix, Hulu, and Amazon Prime Video.
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New data from eMarketer predicts that this year, 182.5 million United States customers will subscribe to an over-the-top streaming service. Of that market, Netflix holds around an 87 percent share. That means, of the 182.5 million people paying for over-the-top streaming services, 87 percent subscribe to Netflix.
That 87 percent share is down from 90 percent back in 2014, when Netflix wasn’t competing in such a crowded market. As TechCrunch explains:
This decline in market share is attributed to the rise of rival services, like Hulu and Prime Video. Hulu, for example, is estimated to reach 75.8 million U.S. viewers this year, or 41.5% of subscription service users. The number of viewers will also increase by 17.5% in 2019, but this is a drop from 2018’s big growth spurt of 49.6%
As for Prime Video, eMarketer anticipates 96.5 million viewers for 2019:
Prime Video, meanwhile will remain the second-largest subscription over-the-top video provider in the U.S. in 2019, the report says, with 96.5 million viewers. That’s up 8.8% over last year.
The firm estimates Prime Video will reach a third of the U.S. population by 2021.
For Netflix, however, the competition is only beginning. Disney will launch Disney+ in November for $7 per month, and offer a compelling bundle that includes Hulu, Disney+, and ESPN+. eMarketer analyst Eric Haggstrom says that bundle will likely be the closest thing we’ve seen yet to a true “Netflix killer.”
“The market for streaming video has been driven by an explosion in high-end original content and low subscription costs relative to traditional pay TV,” Haggstrom noted. “A strong consumer appetite for new shows and movies has driven viewer growth for services like Netflix, Hulu and Amazon Prime Video, as well as the broader market.”
As for Apple TV+, it’s clear that Apple will face intense competition. On the other hand, however, the total number of people spending money on over-the-top subscription services continues to increase – which could be good news for the company.