Sports content is becoming very important for OTT platforms that charge subscriptions, but free sports streaming in India could change that.
The latest report warns that if free options keep going, people might not want to pay for subscriptions anymore.
Two major companies, Viacom18 and Disney Star, are merging, and their platforms, Hotstar and JioCinema, offer free sports. This trend might hurt other streaming services' earnings.
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Recent data shows that the number of platforms each paying user subscribes to has dropped, and the total paid subscriptions remain the same.
Many local platforms, like ZEE5 and Aha, are losing money, even though the streaming market is growing. The increase in internet users is not helping everyone.
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Major platforms like Disney+Hotstar and Amazon Prime Video are still doing well because of their unique content.
JioCinema's free streaming of sports, especially cricket, has disrupted the market.
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While this strategy attracted many viewers, experts are concerned about its long-term viability. They believe that in the future, most sports revenue will come from ads rather than subscriptions, shifting the focus for these platforms.