Streaming Wars

Dylan Janson | Feb. 10th, 2020 | Arts & Entertainment

On Nov. 12, 2019, Disney released its long-awaited streaming software, Disney Plus, in the United States, joining Netflix, Amazon, and other competitors in the rapidly growing streaming industry. Packed with classics, new films and television series, and entire movie franchises, Disney Plus instantly became a contender amongst other popular streaming services upon its release. The new service arrives amid a rising trend in the entertainment industry toward the monopolization of digitally-distributed content. Dubbed the “streaming wars,” companies that produce original content are rushing to establish their own instant-access streaming platforms which could significantly change how audiences access content.

“The ‘streaming wars’ is a pithy name that people are using to refer to the new marketplace for streaming film and TV content services,” said Stanton film teacher, Mr. Brandon Cox. “This is obviously not a new thing, but it has ramped up in recent years, especially as major content producers have launched their own services.”

With the recent surge in the number of streaming platforms, it is clear the entertainment industry is experiencing profound changes in how entertainment is made available to mass audiences. Long-time streaming industry leaders such as Netflix and Amazon are currently facing increased competition from AT&T, Disney, and Apple in an attempt to secure a monopoly over popular content. Companies investing in the streaming market can choose to release their content exclusively to a single streaming platform, forcing audiences to pay for subscriptions to multiple services in order to view all the movies and shows they want. 

“For people who only have one or two streaming services, in the long run, they’re going to suffer,” said senior Cristian Merino. “They’ll want to watch this show that they have now on Netflix, but maybe in the future, AppleTV will own one show and Disney Plus another show, and they’ll have to end up buying two more services. It’s going to be a hassle.”

This new trend toward privatized entertainment comes with substantial consequences for the streaming industry. The current streaming model includes new and re-released content and a wealth of entertainment options, often without the advertisements that plague traditional television programming. While the price of one subscription may seem relatively low for a particular streaming service, prices start to add up as more services are purchased. Additionally, many services increase subscription costs for those who want to watch content without ads and with the highest quality. What may start as a $6.99 per month subscription to Disney Plus can quickly add up to prices outside of people’s budgets. For Disney Plus, Amazon Prime Video, and Netflix’s basic subscription plan, costs equate to around $25 per month, which translates to nearly $300 per year.

Those who are either unable or unwilling to pay lofty fees for multiple streaming services will be forced to choose which platforms they want to subscribe to. Subscriptions to cable and satellite television services are also important to consider, especially since they still contain exclusive content of their own.

Streaming holds an immeasurable amount of potential for both consumers and teenagers. According to a 2017 Pew survey, around 60 percent of U.S. adults between ages 18 and 29 prefer watching streaming services to television, the highest percentage among adults of all age groups. This demonstrates a growing trend of younger people spending more time with streaming platforms than television.

“I enjoy platforms like Netflix and Disney Plus where there is a greater variety of content,” said junior Madison Rose. “I like having that freedom to pick and choose between watching a documentary or an animated movie.”

While streaming services like Netflix offer a wide range of content for everyone, other services embrace more niche audiences. The Criterion Channel, for example, streams entire collections of classic films from around the world, while ESPN’s streaming platform, ESPN Plus, streams live content intended for sports fans. Other services draw in audiences with popular original shows, a prominent example being Netflix’s “Stranger Things.”

Coinciding with the monopolization of streaming shows is an increase in funding for original film productions by streaming services. Two major award season contenders, Martin Scorsese’s “The Irishman” and Noah Baumbach’s “Marriage Story,” were released directly to Netflix after having a limited-release in theaters. While the full impact of streaming on the film industry is currently unclear, there is a noticeable shift in how movies are being made and how audiences gain access to them.

“Where we run into trouble is our access to streaming content being inherently controlled by a third party,” said Mr. Cox. “If Netflix decides one day that it is going to remove ‘The Irishman’ from its streaming service, we lose it. There’s no physical media that we can watch on our own. That’s concerning.”

The streaming wars have dominated the entertainment industry in recent years, changing how consumers access digital content. Streaming services have become a preferred medium for audiences seeking instant-access to an unlimited supply of entertainment. Behind the scenes, however, lies the monopolization and competition between streaming companies that continues to influence how consumers seek entertainment.