Netflix and Warner Bros. Discovery Are Charting Different Paths in the Streaming Wars -- Who Will Win Out?
Video streaming services have experienced bumper growth over the last decade, with a particular spike in sign-ups happening as the COVID-19 pandemic took hold. In the U.S. alone, the streaming industry was worth $24 billion in 2020, rising to $27 billion the following year. Some analysts expect the figure will hit $30 billion by the end of 2022. However, many streamers are experiencing headwinds triggered by rising inflation, supply chain issues, and consumer anxiety over a possible recession.
Netflix (NASDAQ: NFLX) has shed some 200,000 subscribers and has projected it will lose another 2 million in the first half of fiscal 2022. Elsewhere, David Zaslav, CEO of media giant Warner Bros. Discovery (NASDAQ: WBD), has suggested the streaming market is going through "a lot of turmoil" and that the firm's HBO Max unit has to adapt accordingly. But, despite both companies facing similar stresses, they are taking different approaches as the streaming wars move into a new phase.
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Source Fool.com
