According to Digital TV Research, western European TV revenues will reach $50 billion by 2023, up from $39 billion in 2017. OTT revenues for TV episodes and movies (including ad-supported VOD) are expected to more than double from $10 billion to $23 billion, pushing OTT's share of the total up from 26% to 46%. Traditional pay TV revenues are expected to fall by $2 billion over the same period.
Subscription VOD (SVOD) revenues are expected to total $12.47 billion by 2023, up by $8 billion from $4.44 billion in 2017. Netflix is expected to account for 57% of western Europe's SVOD revenues by 2023, up from 52% in 2017.
Simon Murray, principal analyst at Digital TV Research, said: "Western Europe will have 205 million TV subscriptions by 2023, up from 153 million in 2017. We forecast 99 million SVOD subscriptions by 2023, up from 50 million by end-2017. Therefore, SVOD's share of the total will grow from 33% to 48%. Nearly 15 million SVOD subs will be added in 2018 alone, with 11 million more expected in 2019."