Why Streaming TV Services hiked their Prices?

Youtube TV hiked their prices and Fubo TV followed

Streaming Services are on the rise. More and more big companies are investing in streaming services. Everyone wants their apps to be used in each and every house. But Why exactly are the prices increases for these services? If the Competition is so heavy, the price should decrease instead the opposite is happening. The reason for this problem is the Carrier fee. Let’s dive deeper

Take the example of Youtube TV. Youtube launches its services @35$ per month when it gave access to ABC, CBS, and a few others. When Youtube brought in a few more channels from WarnerMedia the subscription prices were hiked to 40$ per month. Today it is @65$ per month when Youtube added Discovery channels. The Price hike is caused by the Carrier fee, the fee that these channel owners take from youtube.

Like Discovery and others to let Youtube stream their content. The next question is Will the prices ever go down? The answer is it depends. The price hikes are due to carrier fees and which only the channel like Discovery and others can decrease which they won’t. Because there is heavy competition between streaming platforms but near no competition between carriers. Discovery and HBO and others don’t have any competition so why will they decrease their prices?

The Streaming might be cheap in the future if the carriers decrease their prices until then more channels are added more will be the subscription cost. Thanks for reading. Stay Safe! Stay Humble!.

manorinfinity Written by:

Complex Problem Solver, Outloud Thinker, An Outstanding Writer, and a very curious human being

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