Observed Signal · Oct 2, 2025 · Industry Analysis · Source: State of Streaming · Impact: 3/5 · Sentiment: Positive
Five-Year Cord-Cutting Drives Streaming Dominance
This industry retrospective reviews the U.S. transition from traditional pay TV to streaming over the five years leading to 2025. It quantifies subscriber and revenue declines for pay TV, compares household costs between cable and streaming, and describes technological and behavioral drivers—broadband penetration, smart devices, AI-driven recommendations, and pandemic-accelerated adoption. By 2025 streaming accounts for a majority of TV viewership, telcos are bundling internet with streaming services, and consumer preferences favor flexible, ad-supported or ad-free choices. The piece frames the next phase as competition over making content effortless and personalized rather than simply owning more titles.
Quantifies structural, multi-year audience and revenue shifts from linear pay TV to streaming — information that affects inventory, targeting, monetization and bundling strategies across publishers, advertisers and telcos.
Track Sling TV Signals & Market Shifts in Real-Time
Polaris7 autonomous intelligence agents track regulatory filings, primary sources, executive changes, and deal flow 24/7. Create your free Explorer workspace to monitor these entities.
Key Takeaways & Evidence Grounding
- Pay-TV revenue fell by $13.88 billion between 2017 and 2022.
- Pay-TV households declined from ~77.5 million in 2020 to 56.8 million by 2025, with an industry revenue impact of $33.6 billion.
- By 2025 streaming accounts for more than 50% of all TV viewership; cable holds 23.4% and broadcast 18.5%.
- Cord-cutters pay on average $70 less per month than cable customers; cable customers pay an average of $147 per month.
- 118 million U.S. households streamed live sports in 2025; average Americans spend 12+ hours daily on digital media with at least four hours on streaming.
Connected Companies & Entities
3 Entities mappedRelated Market Signals & Shifts
Recent verified developments and strategic activity across this market segment.
Parks Associates: Streaming Drives U.S. Video Market
A Parks Associates forecast projects the U.S. video market will reach $190.7 billion by 2030, with that modest expansion driven primarily by streaming while traditional pay-TV continues to shrink. Total subscriptions are expected to rise to about 765 million, but average household monthly spending on video services will increase to nearly $123 by 2028 (from just over $101 in 2020). Parks Associates Research Director Michael Goodman says market maturity means growth depends on extracting more value from existing customers, with consumer behavior shifting toward service stacking and ad-supported tiers. Fewer than 35% of U.S. households are forecast to retain a traditional pay-TV package by 2027, prompting media companies to pursue churn-reduction tactics such as app rebundling and product restructuring.
Broadcast Networks Lose Viewers as Streaming Surges
On May 26, 2026 Cord Cutters News published a roundup noting that major U.S. broadcast networks and cable saw viewership declines in March while streaming platforms experienced a significant increase. The piece also highlighted related industry stories: Paramount preparing for a legal fight over its planned acquisition of Warner Bros. Discovery, and the FTC fining three companies for allegedly listening to consumers via phones or smart speakers and using that data for advertising. The article is a daily cord‑cutting update and links to deeper coverage of each item.
TV Ad Trends: Streaming Surges as Linear Declines
An analysis of Q3 earnings in TV and connected TV (CTV) advertising notes continued pressure on linear TV margins, even as streaming revenue helps offset declines. The piece highlights double-digit declines in linear TV and specific year-over-year drops for major players—Paramount Skydance (-12%), Warner Bros. Discovery (-22%), and Disney (-16% in linear network revenue; -12% for 2025 overall). It discusses a shift toward streaming-first strategies, with growing ad-supported tiers and Disney building an in-house ad server powering Disney+, Hulu, and ESPN-related services. It also references sports distribution decisions across Peacock, Paramount+, Fox One, and TNT, and notes Fox One’s launch and Tubi profitability. The article frames consolidation of ad tech stacks and cross-platform sports strategies as critical factors shaping advertiser spend, serving as a preview for AdExchanger’s end-of-year coverage.
Track Real-Time Market Signals & Shifts
Set up custom watchlists to receive automated, evidence-grounded executive digests whenever material signals or shifts occur across your tracked landscape.