Omdia: Global Online Video Subscriptions Hit 2.24 Billion, Growth Slows by 2026
Omdia reports that global online video subscriptions reached 2.24 billion in 2025, an increase of 17.6% year-over-year, and online video revenue surpassed pay TV for the first time. The report forecasts a slowdown in growth to 5.6% in 2026 as the market matures, with a shift towards maximizing revenue from existing customers through price increases and ad-supported tiers.
Key Takeaways
- Online video subscriptions grew 17.6% to 2.24 billion in 2025, from 1.9 billion in 2024.
- Online video revenue ($176 billion) surpassed pay-TV revenue ($170 billion) for the first time in 2025.
- Omdia projects a subscription growth slowdown to 5.6% for 2026 due to market maturity.
- Ad-supported tiers, particularly those subsidized by telecom and pay-TV operators, fueled 2025's largest annual subscription increase since 2021.
- Online video platforms are increasingly prioritizing revenue maximization from existing customers through price increases for premium tiers.
Why It Matters
The streaming industry is exiting a hyper-growth phase, with subscriber acquisition becoming more challenging. The 17.6% growth in 2025, driven by ad-supported tiers, indicates significant demand for lower-cost options, even as platforms pivot to higher ARPU strategies. This shift suggests a critical juncture where subscriber volume is less of a focus than profitability per user, pushing providers to diversify revenue streams beyond pure subscription. Executives should monitor the retention rates of ad-supported tier subscribers as price increases for premium tiers become more prevalent.
Read full article at senalnews.com
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