Observed Signal · Jun 7, 2026 · Market Research / Industry Report · Source: Cord Cutters News · Impact: 3/5 · Sentiment: Positive
Free Streaming Wins: 70% Use AVOD/FAST, TiVo Study
TiVo’s Q4 2025 Video Trends Report finds free, ad-supported streaming is growing rapidly as consumers juggle an expanding mix of paid and free services. The average U.S. household now uses more than 10 video sources (6.7 paid, 3.6 free), spends $161.17 per month on video entertainment, and watches 5.2 hours of video daily. The study reports 70% of consumers use AVOD or FAST services; FAST viewers watch an average of 7.5 channels and 66% say FAST is their primary live-TV source. SVOD accounts for ~27% of viewing while AVOD/FAST account for ~13%; local content is nearly 30%. Sports viewing is increasingly fragmented (fans need 2.7 services on average), and discovery remains a major challenge, with 40% of viewers checking multiple apps before choosing what to watch.
Broad consumer shift toward ad-supported and free streaming affects audience allocation, ad reach and monetization strategies across streaming/CTV platforms and advertiser planning.
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Key Takeaways & Evidence Grounding
- TiVo Q4 2025 Video Trends Report: average household uses more than 10 video services (6.7 paid, 3.6 free).
- Average monthly household spending on video entertainment rose to $161.17.
- Average daily video consumption reached 5.2 hours per person (Q4 2025).
- 70% of consumers now use AVOD or FAST services; FAST users watch an average of 7.5 channels.
- Sports fans need an average of 2.7 services to follow their favorite sport; 69% say watching sports has become harder.
Connected Companies & Entities
6 Entities mappedRelated Market Signals & Shifts
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Comscore: Ad-Supported Streaming Surges 43%
Comscore's 2025 State of Streaming report shows a major shift toward free and ad-supported video: ad-supported services saw a 43% year‑over‑year increase in hours watched. The report notes Netflix’s ad-supported tier now accounts for nearly half of its U.S. household viewing hours (up from about one-third a year prior). Comscore estimates more than 96 million households use a connected TV and consume content across roughly seven services, underpinning FAST and AVOD growth driven by consumer demand for value and simplicity. Jen Carton, SVP of Product Management at Comscore, frames FAST and ad-supported options as culturally resonant and commercially viable. Comscore is hosting a webinar to unpack the data and has a recent partnership with TiVo to strengthen cross‑platform measurement.
Cord Cutters Shift to Free FAST Streaming
A survey of more than 1,200 U.S. cord cutters shows a growing shift away from multiple paid streaming subscriptions toward free, ad-supported FAST services. Respondents reported smaller paid lineups — 53.1% pay for three or fewer services, 67.4% for four or fewer, and 78.8% for five or fewer — while 9% pay for no TV streaming services at all and 21% pay for one or fewer. The move toward free platforms such as Tubi, Pluto TV, and The Roku Channel is driving FAST growth and prompting major media companies (reportedly including Disney) to consider ad-supported free tiers. The trend reflects subscription fatigue, cost sensitivity, and an increasing role for ad-supported monetization in streaming distribution and viewer discovery.
TiVo: Consumer Video Engagement Peaked in 2025
TiVo, a wholly owned subsidiary of Xperi Inc., published its Q4 2025 Video Trends Report showing that consumer video engagement reached its highest levels since 2021. The report found households averaged more than 10 video services, daily viewing exceeded five hours, and monthly entertainment spending rose to $161 in Q4 2025. Adoption of ad-supported tiers and AVOD/FAST services increased, with AVOD/FAST reaching 70% adoption and accounting for 13% of total viewing time. The report highlights growing platform fragmentation and discovery friction—40% of consumers check multiple apps before choosing what to watch—and emphasizes the continuing importance of live sports and local programming as anchors for viewer behavior. TiVo and industry analysts note opportunities for improved curation and discovery to help advertisers and platforms reach audiences in a more fragmented market.
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