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Double-Digit Streaming Market Growth Anticipated Over Next Five Years

Steve Anderson

For most of us, streaming is just about a good time, a way to relax after a long day with the stories we hold dear. Streaming is also, of course, a business. According to a new report from the Business Research Company focusing on the next ten years, the marketplace is not going anywhere, and is likely going to become larger.

The report, “OTT Streaming Global Market Report 2021 - COVID-19 Growth And Change,” made it clear that streaming was already a growing proposition. In 2020, the streaming video market represented $121.11 billion. So far, the market is on track to realize $141.17 billion by the end of this year. That’s a compound annual growth rate (CAGR) of 16.6%. In comparison, the anticipated growth of the S&P 500 is only 7% by the end of 2021.

The growth won’t stop there, either. The report projects that, in 2025, the market will eventually reach $257.37 billion. That reflects an expected CAGR of 16% — suggesting the Business Research Company is anticipating growth to remain stable over the next five years.

What’s driving that incredible growth rate? The biggest answer, according to the report, is that consumers’ interests have been changing. With the emergence and growth of 4K televisions, and at least a moderate increase in the amount of content already available to stream in this format, more consumers have been eager to take advantage. With major content producers already in the marketplace, including Netflix, Disney+, HBO Max, Paramount+, along with many others, plenty of options are already in place, and many more are expected to come in the intervening years.


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The report certainly offers a sound basis for its projections, but there are plenty of potential hazards that could impact these optimistic projections. One of the biggest issues streaming video faces is infrastructure. High-speed internet is a vital component to streaming — you literally can’t stream without it — and there are a great many places that don’t have access to the kind of internet speeds required. That’s changing, of course, thanks to several internet services and what looks like an increasing national imperative to close the digital divide. However, such moves could take years and impact the projected growth rate.

With alternatives steadily running out, though — the last chain video store closed for good when Family Video shut down — streaming may ultimately prove the weapon of choice for virtually everyone in the market. Expecting growth in the streaming video market is no great stretch. The numbers may not ultimately hold up to future scrutiny, but it’s a safe bet that Business Research Company’s numbers will at least be in the right ballpark.


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