New data from Digital TV Research projects that global subscriptions to pay-TV and SVOD platforms will reach 1.9 billion by 2023, up from 1.4 billion at the end of last year, with the fastest growth coming from on-demand services.
SVOD subscriptions will more than double between 2017 and 2023 to 777 million, while traditional pay TV will only add 94 million subscribers to 1.1 billion. Of note, by 2023, the total U.S. base of subscribers will be 289 million, up from 222 million at the end of 2017, with pay-TV subs falling by 10 million to 80 million and SVOD will soar from 132 million to 208 million.
On international growth, Simon Murray, principal analyst at Digital TV Research, commented, “China is the brightest star by adding 171 million subscriptions during this period to take its total to 610 million. Its pay-TV total will ‘only’ grow by 32 million to 375 million, but SVOD will rocket by 138 million to 235 million subscriptions. India will add a further 49 million pay TV and SVOD subscriptions to take its total to 210 million in 2023.”
While the number of subscriptions is set for a 37-percent increase, revenues will rise just 11 percent to $251 billion in 2023. Traditional TV will still take the bulk of revenues, at $183 billion, down by $18.5 billion. SVOD revenues are set to increase from $43.7 billion to $69 billion, with its share increasing to 27 percent.