People in the US now watch more streaming TV than cable channels

Streaming services hit new milestone in the US 1:13 (CNN Business) — People in the US have cut the cord. For the first time in history, Americans are watching more TV on streaming services than on cable operators, according to a Nielsen report. The milestone has been long overdue as viewers change their viewing habits and ditch their expensive cable packages for cheaper alternatives. In July, streaming amounted to 34.8% of the share of total television consumption, a growth of almost 23% in the last year. Both cable and streaming viewership fell year over year, with cable reaching 34.4% and streaming accounting for just 21.6%. Both are down about 10% from July 2021. Nielsen notes that streaming has surpassed traditional TV before, but it’s the “first time it’s also surpassed cable viewing.” Netflix, Hulu and YouTube also captured record shares, with Netflix being the biggest streaming platform thanks to the new season of “Stranger Things.” The report’s findings aren’t surprising, but it’s a turning point for the typical American viewer, as well as for the industry. Entertainment companies are spending billions of dollars to beef up their streaming services to prepare for the future. But the glory days of streaming may be over: the war to win subscribers at all costs is over. Disney is raising prices after losing a ton of money on its various streaming services. Netflix recently raised prices and is cracking down on password sharing. Warner Bros. Discovery, the parent company of CNN, is scrapping movies and series left and right and reversing its controversial “everything under one roof” strategy. All three services mentioned are expanding their offerings with advertising. Streaming itself isn’t going anywhere, it’s the present and future of Hollywood, but the spending now and the questions afterward seem to be coming to an end as these services mature and media companies latch onto what generate money. “The streaming wars ended because subscriber growth stopped,” Michael Nathanson, a media analyst at MoffettNathanson, told CNN Business. “You are fighting a war in a land that has no more resources.” — With reporting by Frank Pallotta of CNN Business.