The home video market is constantly shifting as evolving streaming models and digital entertainment options continue to shape human behavior. Looking deeper at the emerging trends heading into 2025, Parks Associates, through the insight of its regularly published consumer studies sees four separate trends emerging in the home video streaming landscape for 2025.

1. Cord Nevers Become a Rising Segment

According to research from its Video Services Consumer Insights Dashboard, Parks Associates found that 56 million (46%) US internet households are Cord Cutters (i.e. people who have ditched their cable in favor of home video streaming services), which highlights how streaming has continued to surge in dominance over the years.

Emerging from that crowd, however, have been the Cord Nevers, which refers to a select group of people who have never subscribed to traditional pay TV. As of the most recent information gathered by Parks, this segment now constitutes 12% of U.S internet households (15M).

Additionally, 89% of U.S. internet households have at least one streaming service, half have at least five streaming services, and a quarter subscribe to over nine.

Why This is Important

“Cord Nevers represent a unique opportunity,” notes Jennifer Kent, VP Research, Parks Associates. As a segment of the market that has never experienced traditional pay TV, this means that these consumers will have a drastically different perception in terms of value when it comes to video entertainment over clients integrators may meet with today.

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2. Ad-Based Services Become More Prevalent

As budgets tighten and consumers look for budget-friendly alternatives, more households have been shifting to Free Ad-based Streaming TV (FAST) channels. According to Parks, 47% of broadband households have used FAST and AVOD services in the past 30 days, more than double the rate four years ago.

Currently, many of the most popular streaming services operate under this hybrid model, offering both ad-free and ad-supported plans. For these leading streaming services, many consumers prefer the basic tier with ads over the more expensive premium tier with no ads.

Parks Associates’ research shows, as of Q3 2024, more than half of subscriptions across the eight leading SVOD services are basic tier with ads subscriptions. This includes MAX (formerly HBO), Netflix, Disney+, Discovery+, Paramount+, Prime Video, Hulu and Peacock.

3. Multiple Device Streaming is Now the Norm

While integrators focus on TVs during installations, the video consumption of clients and their families may extend well beyond that singular fixture. Tablets, computers and mobile phones have fast become the most popular portal for consuming streaming video content among U.S. homes.

Parks Associates’ research shows the average respondent watches 24 hours of video per week on a TV set and 14 hours per week on a mobile phone. The rise in mobile viewing accelerated through and after the pandemic. Now, 68% of US internet households report using their mobile phones to watch videos.

4. Live Sports Continues to Dominate

According to Parks Associates’ latest research, annual sports OTT subscription revenue in the United States will be approximately $22.6 billion in 2027. While live sports streaming has always been popular, the past-time has only continued to evolve with the introduction of more interactive elements like sports betting, in-game stats, and multiview capabilities.

33% of households subscribe to a sports-specific direct-to-consumer sports streaming app like ESPN+, MLB.TV or NBA League Pass.

Some Interesting Facts Here

According to Parks, cricket fans are far more likely to watch multiple games at once, whereas MMA/wrestling/boxing fans are highly likely to place online sports bets.

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