Where Will Streaming Subscription Budgets Come From?
The next phase of the Streaming Wars saga is nearly upon us. We're about one month away from the launch of Apple's (NASDAQ: AAPL) and Disney's (NYSE: DIS) streaming video services. And while they are priced to move at $4.99 to $6.99 per month, respectively, that extra entertainment money is going to come from somewhere.
The problem will compound when consumers are given even more choices with the introductions of HBO Max from AT&T's (NYSE: T) WarnerMedia and Peacock from Comcast's (NASDAQ: CMCSA) NBCUniversal early next year. Not only will there be two more premium options for consumers to choose, but those services are also expected to be more expensive than Apple TV+ or Disney+.
That said, management from nearly every company with a stake in the game is confident that its service will thrive. And with good reason. Consumers are showing an increasing willingness to subscribe to multiple video services, and early demand has surpassed expectations. But people don't have an unlimited budget, in terms of time or money, so where will that consumer spending come from?
Source Fool.com
