After the success of the download, it is the turn of the formulas of streaming and subscription to meet a growing success. Music, films, series, video games and even digital books are affected by this phenomenon.
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Consumer habits are changing, the entertainment and culture industries are adapting. Since the advent of digital, physical media (CDs, DVDs) have been in slow decline. Initially, the substitution was made in favor of legal downloading, like iTunes (Apple), or illegal, like Napster or Megaupload at the time. Now the trend is moving towards streaming. Rather than downloading and owning a musical file or a film in digital version, the consumer is increasingly opting for access to a catalog, from which he will draw according to his desires. Depending on the formulas, this access can be free (with advertising) or paid.
In the music sector, many streaming services have emerged: Spotify, Deezer, Pandora, etc. In this niche, the margins are low due to the high rights, equivalent to 70% of the revenues, that these new digital intermediaries pay back to the record companies. This does not prevent Spotify from preparing its IPO: the Swedish company could be valued at 5.8 billion euros.
Video games: Sony launches into streaming
The success of streaming in the music, film and series industries gives ideas to other entertainment and culture players. Increasingly popular, online video games represent 21% of sector revenue. But subscription streaming offers have so far failed. His offer was nevertheless attractive: play online at will for 14.95 dollars per month. But the monumental investments in ultra-powerful servers, a limited catalog, additional costs for certain games and a virtual absence of novelties precipitated the fall of OnLive. Sony, which bought a competitor of OnLive for 380 million dollars, has just announced the launch of a similar service, Playstation Now, for next summer. With the ambition to “revolutionize the world of video games”.
Latest industry to date affected by the attraction of streaming: publishing, which is trying to take advantage of the emerging success of digital books. In the United States, the movement is much more advanced: 20% of book sales are digital. As a result, new economic models are emerging. A promising start-up has just raised $14 million to launch a digital book streaming formula.