Streaming captures 44% of U.S. TV time as ad-spend shifts accelerate

The structural shift from linear to CTV has reached a tipping point where ad-supported viewing is the primary consumer experience. For the technical and strategic stack, this necessitates a move away from siloed reporting toward high-frequency cross-channel measurement that Nielsen is attempting to centralize. As ad-supported tiers become the default growth engine for major platforms, the ecosystem is transitioning from a reach-based model to one defined by granular audience data and performance ROI. Watch for whether U.S. retail sectors—which currently show lower growth in planned CTV spend due to existing high saturation—begin reallocating budgets back toward premium streaming as performance metrics improve.

The acceleration in Connected TV (CTV) investment described by Nielsen aligns with broader 2025 market forecasts. Per search analysis of Dentsu and Kara5 reports from mid-2025, global CTV ad spend is projected to grow by approximately 11% to 18% year-over-year, significantly outperforming traditional broadcast television, which is expected to decline by roughly 2%. This growth is heavily supported by the normalization of ad-supported tiers on major platforms; per PwC in June 2026, global streaming advertising revenue surpassed $177 billion in 2025. This influx of inventory has also adjusted market dynamics, with analysts noting that CPMs for many ad-supported tiers have stabilized under $30, making the medium increasingly accessible beyond high-budget brand advertisers.

Despite the clear shift in viewership, the measurement gap highlighted by Nielsen remains a major industry bottleneck. Per The Drum in late 2025, agencies and planners frequently report that unified measurement across disparate platforms like YouTube, FAST services, and premium SVOD remains incomplete, often requiring brands to stitch together multiple data sources. This fragmentation has led to a 'platform-first' rather than 'content-first' planning approach, though emerging first-party data from smart TV manufacturers is beginning to provide house-level insights. For instance, per Advanced Television in June 2026, first-party data suggests households now use an average of five different streaming apps, further complicating the reach and frequency calculations that traditional tools were built to solve.