YouTube: Will It Dominate Streaming?
YouTube is potentially switching its focus.
The narrative around the video platform is that it is pushing people away. We see the likes of Rumble popping with many theorizing that it will start to really eat into YouTube's market share.
Then we have people such as myself talking about how Web 3.0 is going to make an impact. Over time, this could also nibble away at the leading social media platform.
Finally, we have other Web 2.0 platforms including Facebook, X, and TikTok ALL having video incorporation.
Against this onslaught, how is YouTube going to stand up?
The reality is that it might not. At least not in the content most of us are thinking.
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YouTube Dominating Streaming
When we think of the streaming wars, names such as Netflix and Disney pop up. These are the ones who are dripping billions into their operations.
Then we have the next level, which are consider the live television platforms. These have a variety of content, including live events such as news and sports.
Do you know who was the largest gainer in this area?
Not only did YouTube TV add 1.9 million subscribers but that was more than ten times the number of subscribers the next three largest live TV streaming services added in 2023. Combined, Hulu + Live TV, Sling TV, and Fubo lost 6,000 subscribers in 2023.
YouTube added as a pace that far exceeded the others.
Here is where things stand:
As of the end of 2023, YouTube TV, Hulu + Live TV, Sling TV, and Fubo had a total of 16,173,000 subscribers. Of that number, 7,900,000 of them were YouTube TV subscribers.
This is on top of the company already having the largest percentage of streaming, with Netflix coming in second.
In other words, Google might be setting its sights on something else. Instead of being exclusively social video, it is entering the realm of traditional broadcasters or ISPs.
Sports
It will be interesting to watch what happens with sporting events.
This is one of the three pillars that is keeping traditional cable alive. In spite of this, cord cutting still is at 55%. The numbers are plummeting with huge amounts of money exiting. For example, the Tonight Show when Leno hosted it use to pull in around $350 million per year in advertising. Now, all the late shows pull in around that amount.
While that is not cord cutting it does show how the business model over the last 30 years is changing quickly. Big money is pulling out.
Perhaps the golden goose in this discussion is live sporting events. They still are able to garner large numbers of viewers. When the contracts with the leagues come up, who is going to bid. We have focused upon how Amazon and Apple are already in the game. What happens if Google enters the mix?
We are talking about deep pockets. What would that do for Google's subscriptions? Could they get millions of Sign ups if they have a contract with the NBA, as an example? It is something to ponder.
The barriers are disappearing.
Google might well be taking a different approach to video and media than many other companies. While X and Meta have their focuses, Google might be targeting traditional media as their pathway forward.
Through this approach, they might end up the leading streaming company. They have the resources to dominate.
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I think a time will come when YouTube after this success come with TV shows production like their original show KObra Kai which then shifted later to Netflix. Amazing thing is all TV sets have inbuilt android these days and YouTube is installed in the apps so Its not surprising for me YouTube being successful as a streaming service.
That is true. It does help to have ones name on televisions. This is starting to get very interesting.
If YouTube jumps into streaming sports I'll probably cancel all my other subscriptions.
We will see what they are doing. Like Amazon, they have plenty of money to go after different contracts.
I hope they do it is absolute crap atm. So many different streaming companies now and you need each one and on top of it, you still have to purchase to own or rent the film. What's the point of subscription?
I can see this happening. Youtube has already taken a lot of streamers from Twitch. Going into streaming shows can be the next step. All these big companies are trying to intrude on each other's products. Youtube isn't just for uploaded video anymore. It has music, streamers, streaming and movies soon.
Agreed. They might be willing to sacrifice the social video market in favor of something much bigger.
I am not huge into the Twitch follower but it is something that YouTube could likely take from.
It's almost impossible to disrupt Youtube even on the off-chance. A particular social media, over a period of time, also becomes a part of culture. When it comes to subscribers in Youtube, quantitatively it does the job. If it says 1 million subscribers, it also reflects that in true sense. That follower/following base even though present in Web 3.0 it's not being able to translate into a network effect. That is the dfifference between the two.
YouTube could become a major streaming player, especially in live content, but competition and content costs are big hurdles and they really need to work on making themselves because because of lots of competitions out there.. They could just be an alternative to cable network and then they will gain their ground.
When it comes to costs, few have access to as much money as Google.
You are actually correct. Google is a much and they can't just be compared with anyone