Gartner Research

Coming Unbundled — Why the TV Industry Will End Up Like the Music Industry

Published: 21 January 2014

ID: G00259252

Analyst(s): Mike McGuire

Summary

Consumers' control of their content experiences — from music to movies — is merging with other market forces to create a perfect opportunity for large-scale change of the broadcast and pay-TV markets.

Table Of Contents
  • Impacts

Analysis

  • Unbundling: From Paying for Hundreds of Channels to Watch to Paying for What the Consumer Watches
    • What Happened to Music and What Could Happen to TV
    • Unbundling: A Quick Snapshot

Impacts and Recommendations

  • Consumers increasingly expect an on-demand experience when it comes to TV — with the exception of live sports — which is driving revisions in how broadcasters make programming available
  • The specter of "Aereo-like" services for free-to-air broadcasts threaten to shake the foundation of broadcast TV economics — to the advantage of cable/satellite MVPDs and over-the-top alternatives
  • Programmatic advertising technologies and techniques, including advanced targeting strategies developed for the Web, are poised to remake the TV ad markets, which will impact the overall TV industry

Gartner Recommended Reading

©2020 Gartner, Inc. and/or its affiliates. All rights reserved. Gartner is a registered trademark of Gartner, Inc. and its affiliates. This publication may not be reproduced or distributed in any form without Gartner’s prior written permission. It consists of the opinions of Gartner’s research organization, which should not be construed as statements of fact. While the information contained in this publication has been obtained from sources believed to be reliable, Gartner disclaims all warranties as to the accuracy, completeness or adequacy of such information. Although Gartner research may address legal and financial issues, Gartner does not provide legal or investment advice and its research should not be construed or used as such. Your access and use of this publication are governed by Gartner’s Usage Policy. Gartner prides itself on its reputation for independence and objectivity. Its research is produced independently by its research organization without input or influence from any third party. For further information, see Guiding Principles on Independence and Objectivity.

Already have a Gartner Account?

Become a client

Learn how to access this content as a Gartner client.