There are about six or seven major providers of video streaming on the German market. Classically in entertainment and also in sports. Is there a demand for such a large selection?
Sebastian: From the user's point of view, I find the increasing number of providers rather unattractive - six to seven is a rather conservative estimate, and the number keeps growing. Unlike music, you would need many subscriptions to be able to stream all content. I'm interested in the content, not so much the provider. I think that leads to the switching Ralf mentioned - which is difficult to calculate for the providers and economically highly risky. It's different, of course, if you can build a real brand as a streaming service that creates trust in the content selection, or you can score points with certain target audiences. DAZN for sports, Disney+ for family content, or even small providers like MUBI for indie films immediately come to mind.
Do you have a guess as to what the next big thing in the streaming market will be?
Ralf: I do expect movement among the providers - but the different national laws complicate things a lot, even for an international provider like HBO, who is currently pushing into the German market. On the other hand, the market is becoming saturated - the providers are in a dilemma: They need (original) exclusive content that is expensive to produce or buy, but then they can no longer license as much, and at the same time the market is simply finite.
We will see attempts to bind customers more closely, e.g., by bundling with ISP contracts or when content providers supply the television set, as we are already seeing in the UK with Sky Glass.
Ultimately, however, this will make matters more and more complex, requiring many bilateral contracts and cooperations. Smaller providers will often find it difficult to cover all the different platforms - not all of them will survive this progressive fragmentation of the market.