Global skinny bundle and direct-to-consumer revenues are set to grow eightfold to reach US$24 billion by 2023, according to Digital TV Research.
According to the research outfit’s vMVPD and D2C TV Forecasts report, direct-to-consumer revenues are set for growth from US$1.3 billion last year to US$5.2 billion by 2023, while virtual MVPD or ‘skinny bundle’ revenues – will grow more three times more rapidly, up from US$2.8 billion last year to US$18.5 billion in 2023.
Digital TV Research points out that vMVPD and D2C services are not mutually exclusive, with many vMVPD services providing access to direct-to-consumer platforms for an additional fee.
According to the research, based on a study of 17 countries, the US will take the lion’s share of vMVPD revenues in 2023, accounting for US$12.34 billion or two thirds of the total. The only other country where skinny bundle revenues will pass the US$1 billion mark will be the UK, according to the research outfit.
Simon Murray, Principal Analyst at Digital TV Research, said: “We forecast 77 million vMVPD subscribers by 2023, up from 21 million at end-2017. The US will contribute 28 million to the 2023 total, with India supplying 16 million.”
Regarding direct-to-consumer OTT TV services, Digital TV Research predicts that such services will have 44 million subscribers by 2023, up from 14 million at the end of 2017. The US will account for 25 million D2C subscribers by 2023.