6 predictions for 2020

Strategy Analytics has issued six predictions for the media and entertainment business for 2020. The research house believes digital disruption will continue to be the norm rather ...

Crystal Ball

Strategy Analytics has issued six predictions for the media and entertainment business for 2020. The research house believes digital disruption will continue to be the norm rather than the exception.

"As a result of the proliferation of broadband and connected devices, consumers have more choices than ever in how, when, and where they connect with movies, TV, music, and games," said Michael Goodman, director, Digital Media Strategies, at Strategy Analytics. "As consumer adoption of online alternatives grows, the degree of disruption felt by traditional distribution models is accelerating."

Predictions for 2020 include:

  • Legacy pay TV providers in the United States will lose nearly 9% of their subscriber base in 2020.
  • Subscription video on demand (SVOD) subscriptions will consolidate around the big four - Netflix, Amazon Prime Video, Disney+, and Apple TV+.
  • Both traditional media companies and undercapitalized and underperforming privately held digital pure plays will become logical M&A candidates.
  • UltraHD TV sales will flourish.
  • Streaming will continue to form the foundation of music industry revenues, but pure-play music services such as Spotify will struggle to curtail losses.
  • 5G wireless will shake up the media and entertainment industry, but not so much in 2020.        
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