Pay-TV Revenues to “Plunge” Over Next Five Years

Despite a projected increase in pay-TV subs worldwide over the next five years, revenues will drop to $150 billion in 2025, according to Digital TV Research.

Pay-TV revenues globally peaked at $202 billion in 2016, Digital TV Research said. The U.S. will remain the largest market, despite a $31 billion loss in pay-TV revenues from 2019 to reach $57.4 billion. Revenues will decline in 61 countries between 2019 and 2025. There are some markets where pay-TV revenues will increase, including India, which will add $812 million, and Indonesia, adding $719 million.

“Much of the losses are down to subscribers converting from standalone TV to a bundle where they pay more overall to the operator but less on TV services,” said Simon Murray, principal analyst at Digital TV Research. “Cord-cutting is also a major problem, especially in the U.S.”

The projections are based on professional sports—a key driver of pay-TV subs—restarting in August. “If this does not happen, then pay TV will experience considerable churn,” Murray said.