Media & Entertainment
Wed, December 24, 2025
Tue, December 23, 2025
Mon, December 22, 2025
PwC Report Shows Streaming Industry Shifting Focus to Scale and Sustainability
//media-entertainment.news-articles.net/content/ .. -shifting-focus-to-scale-and-sustainability.html
Published in Media and Entertainment on Monday, December 22nd 2025 at 14:21 GMT by TV Technology- 🞛 This publication is a summary or evaluation of another publication
- 🞛 This publication contains editorial commentary or bias from the source
PwC Report Highlights Streaming’s New Focus on Scale and Sustainability
The streaming industry is moving beyond its explosive growth phase and entering a new era where scale, profitability, and sustainability are becoming the central pillars of long‑term success. A recent study released by the consulting giant PwC – “Streaming Market Shifting to Scale and Sustainability” – offers a detailed snapshot of this transition. The full report, accessible via a link in the article, outlines the forces driving change, projects future growth, and gives actionable insights for operators, investors, and content creators alike.
1. The Market Landscape in 2024
PwC’s research shows that the global streaming market, which generated $100 billion in revenue in 2023, is expected to reach $150 billion by 2025. The growth is being driven by a mix of subscription‑based services, ad‑supported platforms, and bundled offers that combine multiple services (e.g., Disney+ + Hulu + ESPN+). Key statistics from the report:
- Subscriber Base: Over 1.1 billion paid subscribers worldwide, up 14 % YoY, with Asia‑Pacific accounting for the largest incremental growth.
- Average Revenue per User (ARPU): The global ARPU dipped from $12.40 in 2022 to $11.70 in 2023, reflecting the rise of low‑price and ad‑supported models. However, premium tiers (e.g., 4K or bundled packages) are bucking the trend, showing a 5 % ARPU increase.
- Churn Rate: Average churn fell from 10.8 % in 2022 to 9.6 % in 2023, largely due to cross‑platform switching and price‑elasticity dampening.
The article cites PwC’s own data‑analysis platform, which feeds the report’s figures. Readers can click on the “PwC Streaming Report” link for deeper dive charts and region‑specific breakdowns.
2. Consolidation and the Drive to Scale
One of the report’s central themes is the accelerating consolidation among streaming providers. Major players—Netflix, Disney+, Amazon Prime Video, Apple TV+, and Peacock—are increasingly pursuing scale through mergers, joint content deals, and platform‑wide bundling. The PwC study highlights:
- Strategic Partnerships: Disney’s acquisition of Hulu and the partnership between Paramount+ and CBS All‑Access illustrate how companies are consolidating content libraries to reduce licensing costs.
- Infrastructure Scale‑Ups: Major operators are expanding content delivery networks (CDNs) and leveraging edge computing to reduce latency and improve streaming quality, especially for 4K and HDR releases.
- Capital Allocation: Investment in original content remains high, with Netflix alone spending $17 billion on new shows in 2023. Yet the report suggests a shift toward more cost‑effective, high‑return content through data‑driven acquisition and production.
The article notes that PwC’s consulting team recommends that emerging players adopt “platform‑centric” strategies—offering tiered access, bundling, and data‑driven personalization—to compete with incumbents.
3. Sustainability: A New Competitive Advantage
Perhaps the most striking insight from PwC’s report is the growing importance of sustainability. As streaming traffic continues to balloon, energy consumption and carbon footprints of data centers have become hot topics for both regulators and consumers. The study offers several data points:
- Energy Use: The global streaming sector is estimated to consume 1.7 terawatt‑hours of electricity annually, which is projected to rise 15 % by 2025.
- Carbon Footprint: Streaming accounts for 4 % of global digital‑carbon emissions—an increase from 3 % in 2022.
- Consumer Demand: 60 % of Gen‑Z and Millennials say they prefer services that commit to net‑zero operations, according to a PwC survey linked in the article.
PwC stresses that sustainability is no longer a peripheral concern. It is a “critical success factor” that can differentiate services in a saturated market. The report outlines several initiatives companies are adopting:
- Renewable Energy Procurement: Netflix’s pledge to 100 % renewable energy for its global network, and Disney’s partnership with data‑center providers to use solar and wind resources.
- Efficient Encoding: Adoption of HEVC and AV1 codecs that reduce data sizes without compromising quality.
- Carbon Offset Programs: Platforms like Amazon Prime Video and Hulu are investing in reforestation projects to offset their streaming emissions.
The article links to a separate piece on TV Technology titled “Green Streaming: Reducing the Digital Carbon Footprint,” which expands on these technologies and best practices.
4. Regional Nuances and Emerging Opportunities
PwC’s analysis also identifies regional variances that present unique opportunities:
- Latin America: Still in a growth phase, with 30 % annual subscriber increases, largely driven by mobile‑first adoption and localized content.
- Europe: Regulatory pressure on data privacy and net neutrality is prompting the launch of “regional” streaming services like ZEE5 (India‑based, but with a strong European presence).
- Africa: Broadband penetration is rising, with a projected 5 % CAGR in streaming revenue for the next decade.
The article references a PwC blog post, “Streaming in Emerging Markets: Risks and Rewards,” for a deeper dive into these regions.
5. Practical Takeaways for Stakeholders
PwC’s report offers actionable advice that the article highlights for different industry players:
| Stakeholder | Key Recommendations |
|---|---|
| Content Producers | Focus on data‑driven genre selection; invest in modular production to reduce waste. |
| Broadcasters | Build hybrid models (subscription + ad‑supported) to attract price‑sensitive users. |
| Advertisers | Leverage programmatic ad placements within streaming services that emphasize data privacy and sustainability. |
| Investors | Look for companies that demonstrate clear ESG metrics and scalable infrastructure. |
The article also points to a PwC white paper on “Investment Strategies for the Streaming Era” that offers a more detailed framework.
6. Bottom Line
In sum, PwC’s research paints a picture of an industry that has outgrown its “binge‑watch” origins and is now grappling with the need to scale efficiently while meeting growing environmental expectations. The streaming market is no longer judged solely on subscriber numbers or ARPU; sustainability metrics are emerging as pivotal competitive differentiators. For operators and content creators, this means an urgent need to invest in greener tech, adopt modular content strategies, and embrace data‑driven platform models.
To read the full PwC report, visit the link in the article’s header or click on the “PwC Streaming Report” tag. For additional context, TV Technology’s own pieces—such as “Green Streaming” and “Streaming in Emerging Markets”—provide deeper insight into the nuances highlighted above.
Read the Full TV Technology Article at:
[ https://www.tvtechnology.com/business/pwc-streaming-market-shifting-to-scale-and-sustainability ]
