Hulu, Amazon & Netflix vs. Peer-to-Peer File Sharing

There is no denying that subscription streaming services have established a strong presence in the marketplace. From Netflix and Amazon Instant Video to Spotify, subscription streaming solutions are experiencing rapid user growth and engagement. At the same time, the entertainment industry is seeing revenue erosion in traditional models; there are lower year-over-year album and DVD sales, softer year-over-year pay-per-view buys and a dip in the summer 2014 box office receipts.

DVRs, on-demand video services, cord-cutting and peer-to-peer digital file sharing activity have all contributed to the emergence of binge watching of television content. Users can access full seasons or entire series and consume them in a relatively short amount of time in comparison to the traditional weekly viewing style favored by broadcasters. All signs point to a continued shift away from traditional adherence to a broadcast schedule.

Netflix now has about 50 million subscribers. Amazon’s subscriber numbers are not officially known (estimated at 20 million). Hulu reported in April this year they have about 6 million subscribers. Many of these streaming service subscribers (like myself) also still subscribe to HBO and other premium cable channels. Digital streaming options will only grow more important as go-to sources for video content for audiences globally. Over the top access to traditional broadcast channels will also prove to be an important medium for meeting audience demand.

For all these reasons, it is a rational hypothesis to believe the growth of video streaming services has led to a reduction in digital piracy.

The only problem with this – it’s just simply not true. Netflix, Amazon Instant Video, and Hulu combined have been unable to slow peer-to-peer file sharing and digital media piracy even in the United States, never mind other international markets. Our research team put together an infographic that depicts the biggest reason why even these amazing streaming companies haven’t been able to slow digital piracy or fully meet digital viewer demand…. Comprehensive, timely, availability of the content people want to watch.

Although, anti-piracy tech, litigation, legislation and even the rise in streaming video services has not slowed digital piracy; media, entertainment, and advertising enterprises are starting to unlock actionable audience intelligence from this activity and enhancing their ability to monetize audience demand.

About Tru Optik

Tru Optik provides real-time and predictive Audience Intelligence for the media, entertainment and advertising industries. Through our multi-channel assessment of global digital media demand and consumption, we enable our clients to more effectively identify, reach and cater to their target audiences and consumers.



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