Interesting Links for 29-12-2023

[andrewducker]

1. Streaming services are losing billions. Now they're turning to mergers to survive.

(tags:TV streaming business Doom )

Comments

[hairyears]

The streaming services - and a lot of Internet Age businesses - started up in an environment with low interest rates.

It's all about cheap capital, and burning-tbrough it in a dash establish a working business and grow: and a stable revenue stream is a long way down the priority list.

Or rather, it used to be.

[andrewducker]

It's certainly handy to have one when the rates go back up.

[purplerabbits]

I'm not sure how merging will work for the streaming services I use - I am kinda OK with paying under a tenner a month for three different services, but I think it would hit differently if it cost £30 for a combined one. Which may be daft but I bet a lot of consumers are the same.

[andrewducker]

I reckon they're losing money because of running the infrastructure. And they can probably scale one infrastructure for 3x the users for an awful lot less than having three sets of infrastructure.

Edit: and therefore it would not cost 3x as much to subscribe.