The Wall Street Journal’s recent report has stirred some interesting points about the state of the streaming industry, highlighting several key issues that are worth considering.
Firstly, the renegotiated writer’s contract is expected to lead to fewer new shows and more cancellations of underperforming ones. This is a logical move for streaming services given the oversaturation of content in the market. With hundreds of new TV shows being produced annually, many of which go largely unnoticed by viewers, it’s a sound business decision to streamline their offerings and focus on quality over quantity.
Secondly, the studios’ reluctance to publicly release viewing data raises questions about the actual viewership numbers on streaming platforms. While this opacity may benefit writers in terms of residuals, it suggests that some streaming services may have disappointing viewership figures that could negatively impact their stock prices.
Lastly, the idea of consolidation in the streaming industry is intriguing. The report suggests that bundling multiple streaming services into a single package could be a solution to the problem of too many services confusing consumers. This concept, akin to the cable TV model, would have subscribers pay a single fee for access to various streaming platforms.
However, the concern raised in the article is that this could lead to a return to the days of cable TV, where consumers paid for channels they never watched. It suggests that bundling might result in viewers being forced to pay for content they have no interest in, potentially limiting the diversity and choice that streaming has offered.
In conclusion, the report highlights the challenges faced by the streaming industry, including oversaturation, content quality, and the potential return of bundled services reminiscent of cable TV. It suggests that the industry may need to find a balance between consolidation and maintaining a merit-based system to ensure its continued viability.