Streaming Surpasses Broadcast and Cable Viewership for First Time

Streaming entertainment has hit a major milestone by surpassing the combined viewership of broadcast and cable TV for the first time, as reported by Nielsen. In May, streaming accounted for a whopping 44.8% of total TV viewership, marking its largest share to date. On the other hand, the combination of broadcast and cable only represented 44.2% of TV viewing, showcasing the shift towards streaming platforms.

This growth in streaming can be attributed to a few key factors. Firstly, the rise of free ad-supported streaming TV channels, also known as FAST channels, has contributed to the increase in streaming viewership. Platforms like Pluto TV, Roku Channel, and Tubi have become increasingly popular and have played a significant role in driving growth. In fact, these free channels alone accounted for 5.7% of total TV viewing in May, surpassing the viewership of individual broadcast networks.

Additionally, the popularity of YouTube as a streaming platform has been on the rise. YouTube represented 12.5% of all television viewing in May, making it the streamer with the highest share to date. Over the past four years, YouTube has seen a significant increase in viewership, climbing 120% since 2021. Its success has prompted traditional media companies to take notice and in some cases, embrace the platform to reach a wider audience.

Moreover, the shift of legacy media companies towards a more streaming-centric approach has also influenced the rise of streaming. Platforms like Hulu, Paramount+, and Peacock have adapted to complement, rather than compete with, linear TV. This shift is evident in examples such as Super Bowl LIX airing on both Fox and Tubi, and the availability of the 2024 Olympics on NBC and Peacock.

Despite this milestone, the landscape of streaming entertainment is continuously evolving. Major media companies like Warner Bros. Discovery and Comcast are undergoing restructuring to adapt to the streaming-first trend. Netflix remains a dominant player among paid subscription services, with a 27% increase in viewing over the past four years.

While the surge in streaming may fluctuate, especially during events like football season, Nielsen predicts that streaming will eventually secure its position as the top choice for entertainment. The future of TV seems to be streaming, and with the continuous growth and adaptation of platforms, it’s clear that the way we consume content is changing.