Media sector consolidation driven by fragmentation and fight for consumer's favour

Tuesday 18 May 2021 | 17:26 CET | Author: Tim Poulus | Market Commentary
A big wave of consolidation has started in the media sector. One can point to the threat from Netflix, Amazon and Disney+ as the cause, but mergers do little to address that. The main benefit is cost savings, which can be passed on to consumers via lower prices, helping improve the competitive position. The reasoning also is more to do with fragmentation in the market and the fight for market share. Consumers may take more than one SVOD service, but there is a limit. Consolidation raises the chance of taking a larger share of the consumer and advertiser budgets.

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Categories: General
Companies: Amazon / AT&T / Bonnier / Comcast / DirecTV / Disney / Epix / HBO / Hulu / M6 / NBC / Netflix / RTL / Telenet / Telia / TF1 / Time Warner / VodafoneZiggo / WarnerMedia / Ziggo
Countries: World
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