Streaming in 2025: Why YouTube, Bundles, and AI Define the Future of Video

The video streaming industry has hit new heights in 2025, now representing nearly half of U.S. television viewing and growing at a global market value of $670 billion. YouTube has overtaken Netflix, bundles are reshaping the economics, and AI is redefining how content is delivered and monetized.

September 19, 2025

Introduction: Streaming Isn’t a Trend—It’s the New Default

Think back ten years ago. Streaming was exciting but optional. Netflix was the disruptor, YouTube was considered “user-generated chaos,” and cable TV still felt unshakeable. Fast forward to today, and we’re in an entirely different universe.

In May 2025, streaming officially surpassed cable and broadcast combined in the U.S., accounting for 44.8% of total TV viewing (Nielsen). That’s not a “trend”—that’s the default reality.

Globally, the industry is now worth $670 billion, projected to hit $2.49 trillion by 2032, growing at a compound annual rate of 17.8% (Exploding Topics). Live streaming, meanwhile, is growing even faster—expected to nearly quadruple from $99.8B in 2024 to $345B by 2030 (Gyre.pro).

And yet, the story isn’t just about money. It’s about time, attention, and culture:

  • 1.4 billion people worldwide stream video daily.
  • The average person spends over 6.5 hours on screens daily (Exploding Topics).
  • 82% of all Internet traffic is video.

Streaming isn’t just TV—it’s the internet itself.

So in this deep-dive guide, I’ll cover:

  • The industry’s unprecedented growth trajectory.
  • Viewer behaviors and daily usage shifts.
  • Who’s winning the platform wars (hint: YouTube).
  • The rise of bundling as the next economic frontier.
  • Tech forces like AI, codecs, and edge computing shaping the future.
  • Global expansion, retention challenges, and what’s next.

Section 1: The Streaming Industry’s Massive Growth

If you’ve ever wondered whether “cord cutting” was hype, the numbers answer that pretty clearly: cable is shrinking, streaming is exploding, and live streaming is the rocket fuel on top.

  • The global streaming market hit $670 billion in 2025, on track to $2.49 trillion by 2032. CAGR: 17.8%.
  • Live streaming is on fire: from $99.8B (2024)$345B (2030), CAGR 23%.
  • In 2023, 38% of global TV consumption was OTT-based (over-the-top) (Wikipedia).
  • By 2025, streaming officially overtook broadcast and cable combined in U.S. market share.

This is seismic. Just as smartphones became the “default computer” a decade ago, streaming is now the default screen.

🎨 Visual Prompt: *3D infographic showing Streaming Market Growth 2025–2032, with a rocket-shaped curve labeled “$670B → $2.49T.”

Section 2: Viewership & Daily Usage Trends

Let’s talk about the human side: how much people actually watch.

  • 1.4 billion people stream video daily, with 85% watching every day, averaging 1h22m per user (Evoca.tv).
  • Global daily screen time sits at 6h38m—in the U.S., it’s 7h03m (Exploding Topics).
  • 100 minutes daily per user is dedicated specifically to online video (DemandSage).

In other words: video has eaten social, gaming, and even work. It’s not just something we consume—it’s the default format of digital life.

🎨 Visual Prompt: A 3D pie chart showing “82% of Internet traffic = video” with icons for social, gaming, browsing filling the rest.

Section 3: Platform Leadership & Viewer Shifts

Who’s winning? Spoiler: it’s not Netflix anymore.

  • In 2024, YouTube overtook Netflix in U.S. market share: 12.8% vs. 8.3% (Barron’s).
  • In the UK, YouTube is now the second most-watched service after BBC (FT).
  • Roku’s streaming usage surpassed broadcast TV for three straight months in the U.S. (TVTech).

The big takeaway: UGC (user-generated content) has officially outscaled professional streaming. People are watching creators, not just studios.

Section 4: Pricing, Bundles & Consumer Behavior

The elephant in the room: subscriptions cost money. And in 2025, they’re costing more than ever.

  • U.S. consumers spend an average of $42.38/month on streaming.
  • To get “all the major services,” costs run $67 (cheapest) → $108 (full premium) (Tom’s Guide).
  • Prices rise every 12–24 months (music streaming projected to double by 2035) (MusicRadar).
  • Australia: AVOD (ad-supported) jumped from 10% → 34% in mid-2025 (The Australian).

Bundling is the counter-trend:

  • Disney+ / Hulu / ESPN.
  • Amazon Prime + add-ons.
  • Gen Z and millennials: 60% interested in bundles (GWI).

Section 5: Technological Trends Shaping Streaming

Here’s where it gets futuristic:

  • Social video dominance: U.S. video-on-social doubled since 2019. TikTok leads.
  • Gen Z shift: 56% say social is more relevant than TV; they spend 50 minutes more daily on social video (Deloitte).
  • AI: personalization, recommendation engines, ad targeting.
  • AV1 codecs: compress better, save bandwidth (Wikipedia).
  • Edge computing: stream optimization.
  • Sustainability: streaming = huge carbon footprint; energy-efficient codecs needed.

Section 6: Geopolitics & Global Expansion

Streaming isn’t U.S.-only. India is massive:

  • JioHotstar hit 61.2 million concurrent viewers (Wikipedia).
  • Global forecast: broadcast revenue drops $42B, streaming grows $93B by 2029 (TVTech).
  • By 2025: 1.8B users, $100B+ annual revenue streaming (El País).

Section 7: Challenges Ahead

It’s not all rosy.

  • North America: time spent streaming fell 18% YoY to 69m daily (TVTech).
  • Retention wars: focus shifting from adding subscribers → keeping loyalists.
  • Ad fatigue: too many AVOD ads = churn risk.

Section 8: What’s Next (Strategy & Implications)

For platforms:

  • Lean into FAST channels and hybrid models.
  • Use AI for personalization, but avoid “creepy.”
  • Build retention, not just growth.

For brands:

  • Optimize multi-platform content.
  • Don’t ignore YouTube creators and TikTok—UGC is king.
  • Balance subscriptions with ad-supported access.

For users:

  • Expect higher costs, more bundles.
  • Look for AI-personalized but ethically filtered streams.

Conclusion: Streaming’s New Normal

2025 isn’t about asking if streaming will replace TV—it already has.

The bigger question is:

  • Who owns our attention?
  • How sustainable are these models?
  • And will streaming remain a creative frontier—or become another cable bundle with AI sprinkled on top?

One thing’s for sure: the way we watch has changed forever.

Digital Kulture

Digital Kulture Team is a passionate group of digital marketing and web strategy experts dedicated to helping businesses thrive online. With a focus on website development, SEO, social media, and content marketing, the team creates actionable insights and solutions that drive growth and engagement.