Broadcasting

The broadcasting industry involves the transmission of audio and video content to a dispersed audience via electronic mass media. Its core business model has historically relied on attracting large audiences to sell advertising time. The landscape has significantly evolved from linear TV to digital streaming and on-demand content, leading to new revenue models, including subscription-based services (SVOD), ad-supported video-on-demand (AVOD), and hybrid approaches.

Performance in the broadcasting industry is heavily influenced by technological advancements, with 5G networks enabling faster internet connections. Cloud-based services are revolutionizing content storage, production, and distribution. Artificial intelligence (AI) is playing a central role in content personalization and automating production workflows. Consumer behavior has shifted dramatically, with a growing demand for personalized, on-demand content, leading to cord-cutting. Live streaming continues to be a significant growth area. Regulatory changes also impact the industry, with ongoing discussions about ownership rules and the need for broadcasters to adapt to new digital media laws.

The broadcasting industry is increasingly consolidated, with major companies holding significant market power. Key players include Walt Disney (DIS), Warner Bros. Discovery (WBD), and Paramount Global (PARA). Other notable companies include Netflix (NFLX), Fox (FOXA), Roku (ROKU), Tegna (TGNA), Nexstar Media Group (NXST), Sinclair (SBGI), Gray Media (GTN), and CuriosityStream (CURI). These companies compete through diverse business models, including direct consumer subscriptions (SVOD), advertising-driven models (AVOD), and hybrid approaches. Competition is fierce, focusing on original content creation, scale of distribution, and leveraging technology for personalized user experiences.

The broadcasting industry has continued its digital transformation. The global video streaming market was valued at approximately USD 160.52 billion in 2024 and is projected to grow significantly, reaching USD 411.7 billion by 2033 with an 18.66% compound annual growth rate (CAGR). The television broadcasting market size is also expected to grow from $314.16 billion in 2024 to $335.29 billion in 2025, at a CAGR of 6.7%. Traditional linear TV continues to face an irreversible decline. Netflix projects revenue growth of 11-13% for 2025 and expects its advertising business to roughly double year-over-year in 2025. The outlook for the industry emphasizes continued innovation, with trends like AI-driven content, hybrid cloud solutions, mobile-first broadcasting, and immersive experiences shaping the future. Broadcasters are focusing on diversifying revenue streams and adapting to a dynamic, audience-centric media landscape.

Investors in the broadcasting industry face the decline in traditional advertising revenues. The rise of Over-The-Top (OTT) streaming services intensifies competition. High production costs for quality content strain financial viability. Legal and regulatory risks include copyright infringement and privacy breaches. The industry is susceptible to technical failures and cybersecurity threats. Economic sensitivity also plays a role, as advertising spending can fluctuate with economic downturns.