This research note examines how an array of media and tech firms will seek to build on progress with ad-supported subscription services by exploring even more diverse hybrid business models in 2025.

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Summary

Many once saw Netflix as a simpler future for TV – 100% direct-to-consumer, ad-free, and on demand – before the streamer embraced pay-TV bundling, advertising, and live events. In 2025, various TV and video providers will take this hybrid approach further by blending even more forms of content and ways to monetize.  

Basic hybrid models are increasingly proving their worth

Figure 1 shows how well established the blending of video subscriptions and advertising is, and will become, in the US, as the model helps offset challenges and opens opportunities for service providers.

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