After the most challenging period in its history since 2012, Facebook has been able to stabilise its fundamental metrics and announce a major product overhaul
Despite talk of a business model pivot, Facebook’s focus remains on advertising, whose growth will remain concentrated in developed markets
News publishers wishing to stay relevant on the upgraded product set need to target exclusive layers of social interaction, with groups particularly important
The economic model of TV production relies upon a vibrant market for back catalogue content; programming that has traditionally driven the desirability of many linear channels and slots
New release strategies, along with the hyper-concentrated viewing encouraged by video-on-demand and the round-the-clock availability of shows calls the longevity of the value of content into question
Our analysis suggests that programmes that previously would be leisurely distributed through broadcast could now feasibly be “worn out” more quickly. This could have ramifications for the whole sector, with more content investment required “upfront” and new financial and distribution models required
Apple is strengthening its household model by doubling down on family-friendly content subscriptions and payments
The model is reliant on hard bargains with mainly US partners, which risks sacrificing potential scale for a short-term boost in margin dollars
The new services offer glimpses of novel concepts, but stop short of taking risks to truly differentiate—a problem in TV, where Apple’s distribution advantage is slimmer than Oprah would have it
The split of UKTV has been announced with the lifestyle channels going to Discovery, while the balance, along with the UKTV brand and VOD service, retained by the BBC, costing BBC Studios £173 million
In the same release, a new, global Discovery SVOD “powered” by BBC natural history and factual programming was announced, backed by a ten-year content partnership
The deal is a positive step for the BBC, which safeguards against flaky brand attribution internationally and the potential loss of revenues from Netflix, which is becoming more choosy when acquiring content
Linear TV is still a mass market medium, watched by 90% of the UK population each week. However, our latest viewing forecasts predict broadcasters will account for two-thirds of all video viewing in 2028, down from c. 80% today, due to the relentless rise of online video services.
Total viewing will continue to increase as more short-form content is squeezed into people’s days, particularly on portable devices, but the key battleground for eyeballs will remain the TV screen.
The online shift has already had a huge impact among younger age groups, with only 55% of under-35s’ current viewing to broadcasters. Older audiences are slowly starting to follow suit, but have a long way to go.
Launched to the world in September 2017, TikTok is the first Chinese app to pose a serious threat to Western social media companies as it attracts hundreds of millions of Generation Z users around the globe
Privately-owned parent company Bytedance earned $7 billion in online advertising revenues in 2018 and is valued at $75 billion, placing it ahead of Uber as the world’s most valuable internet start-up, with an IPO likely this year
Bytedance’s goal of earning half its revenue outside China by 2022 is far from certain. In order to hit the target, TikTok will need to attain super scale with best-in-class revenue per user, an unlikely combination
The BBC’s consultation on rescinding free TV licences for all those aged 75 and over, in whole or in part, has sparked a heartfelt petition from key stakeholder Age UK to restore Government funding for the elderly, which we support.
The Government has put the BBC in the intolerable position of choosing between funding the remit, whose delivery is regulated by Ofcom, and free TV licences for the over-75s, a lose-lose for the BBC, its viewers and listeners.
In our submission to the BBC we highlight the human impact of reduced services and/or higher monthly expenses on the 2 million single-income households, 75% headed by women, for whom the BBC is a lifeline.
Consolidated TV viewing continued its seemingly relentless decline in 2018, falling 5% year-on-year (YOY)—its worst drop since the phenomenon began in 2011.
Meanwhile, unmatched TV set use—which includes Netflix, Amazon and YouTube consumption, as well as gaming—continued its upwards trajectory across all age groups, now accounting for 20% of total TV set time.
Consolidated TV viewing is increasingly reliant on its core viewers, with half of all viewing accounted for by the 20% of people who watch the most, up from two-fifths in 2010.
Amazon’s recent deals with Apple in TV, music and device sales mark a turning point after a decade of frosty relations
The context for this involves shifting priorities at both firms, growing pressure on Apple’s iPhone business, and rivals in common — first and foremost Google, but also the likes of Netflix and Spotify
The uneasy alliance helps both companies consolidate their strengths in the platform competition over media and the connected home — but trouble already brews