蘑菇AV

The news: The battle for streaming dominance is heating up between Netflix and YouTube, as both look to assert themselves in an increasingly crowded field. The platforms accounted for 20% of all TV viewing time in May, per Nielsen data. Our take: YouTube鈥檚 appeal as a (mostly) free platform means it鈥檒l likely continue its dominance鈥攂ut all hope isn鈥檛 lost for Netflix, which continues to lead in paid streaming offerings. YouTube鈥檚 ad-supported free model reinforces its lead against Netflix鈥攂ut Netflix can compete better if it can justify its premium price with exclusive content and an improved user experience.

Mobile app install ad spending in the US is projected to rise from $21.31 billion in 2023 to $32.22 billion by 2027, per our forecasts. But as growth rates slow, platforms will face tougher competition for advertiser budgets鈥攎aking effective, performance-driven ad solutions like Samsung鈥檚 increasingly important.

The news: Consumers increasingly see connected TV (CTV) ads as helpful during the holiday shopping season, according to LG Ad Solutions鈥� latest study. A growing number鈥�59%鈥攕ay CTV ads help guide holiday purchases, a 43% YoY spike. Home screen CTV ads are clicking鈥�26% of shoppers find them helpful for purchases, up 105% YoY. For advertisers, they鈥檙e fast becoming high-impact conversion tools amid rising ad loads. Our take: As holiday shopping habits extend into events like Prime Day and Cyber Monday, advertisers that align messaging, timing, and format across CTV platforms will win both attention and conversions.

The news: Out-of-home (OOH) and TV advertising are outperforming popular channels like connected TV (CTV) and digital across metrics, per a five-year study from Clear Channel Outdoor and Kantar. Our take: OOH and TV advertising will continue playing a critical role in an effective omnichannel strategy, and the most savvy advertisers will recognize the enduring effectiveness of these channels for reaching key audiences when they鈥檙e likely to purchase.

Over three-quarters (76.9%) of US marketers agree that last click is the easiest way to track campaigns but not the best way to measure, according to July 2024 research from 蘑菇AV and Snap.

What do brands need to know about the next wave of digital growth?

Trump鈥檚 鈥淟iberation Day鈥� tariffs landed harder than expected. Uncertainty remains, given the pause on reciprocal tariffs for countries willing to negotiate with the US鈥攁long with an escalating trade war with China. Which markets will take the greatest hits? And how might our US forecasts change?

The news: Sports-centric streaming service Fubo has agreed to pay $3.4 million to settle a lawsuit claiming it illegally distributed customers鈥� personal data to advertisers without consent. The lawsuit alleged that Fubo went against the Video Privacy Protection Act (VPPA) in 2023 by collecting personally identifiable information (PII), including data on consumers鈥� viewing history and location, and sharing this information with third party advertisers. Our take: Fubo鈥檚 lawsuit echoes growing concerns over how platforms approach data privacy and questions over the legality of using sensitive information to serve personalized ads鈥攔equiring that advertisers shift their strategies.

The news: Streaming has officially surpassed pay TV in the US, with 50.4% of households no longer subscribing to cable or satellite, per our forecast. But streaming鈥檚 ad experience still has work to do. Hub Research finds two-thirds of viewers prefer live TV ad breaks over those in on-demand streaming, and Gen Z remains the least likely to adopt ad-supported tiers. Our take: Streaming isn鈥檛 a free pass to interrupt. Gen Z demands relevance, brevity, and control鈥攎eaning streaming platforms must reengineer how, when, and where they serve ads. The format must evolve if AVOD is to survive the next wave of viewer expectations.

YouTube also leads all other digital platforms for US time spent. US adults will spend an average 37 minutes per day on the platform in 2025, ahead of Netflix (36 minutes), Facebook (20 minutes), Instagram, and TikTok (17 minutes each). Ad spending on YouTube will be up over 750% in 2025 versus 2015.

Data centers accounted for about 4% of US electricity consumption in 2024, according to the US Department of Energy. But by 2028, this figure could rise to 12%. Smarter grids could solve some of these problems, but we鈥檒l also need more energy production. What are the implications for advertisers and publishers? The three scenarios we鈥檝e outlined above differ mostly on the pace of change.

The unscripted advantage: Netflix is well ahead of other streaming platforms, used by 59% of US adults, dominating in total viewership for subscription OTT platforms, and leading in ad revenue growth.

US consumers now spend more time watching YouTube on their TVs than scrolling on mobile devices. "Over the last 10 years, we've seen digital time spent with digital media double, exactly double," said our analyst Oscar Orozco on a recent episode of the "Behind the Numbers" podcast. "From four hours and 18 minutes a day on average, to eight hours and 36 minutes a day.".

The news: Amazon is shutting down its standalone free ad-supported streaming television (FAST) platform Freevee in August. All Freevee content鈥攊ncluding original series and live TV鈥攚ill migrate to Prime Video. Advertisers take heed: As streaming giants consolidate, ad buyers might see fewer platforms but more fragmented audiences. This centralization of inventory boosts scale but narrows options for niche targeting. Our take: Amazon and its rivals are bundling content into fewer apps to boost ad revenue and reduce churn. But for advertisers, viewer behavior is splintering as audiences jump between services each month, chasing new shows, deals, and lower costs.

The news: Paramount has settled a lawsuit with Donald Trump after the president sued the company following a 鈥�60 Minutes鈥� interview with Kamala Harris that he argued contained 鈥渄eceptive doctoring,鈥� the company announced Tuesday. Sources cited by The Hollywood Reporter claim the lawsuit posed a threat to Paramount鈥檚 pending merger with Skydance, which will require the Trump administration鈥檚 approval. Our take: While the settlement could pave the way for Paramount and Skydance鈥檚 merger, it raises questions about the future of media companies who are perceived as holding a liberal bias鈥攁nd concerns about increasing censorship in the current political environment.

Throughout this report, we refer to our December 2024 survey of 1,312 US consumers ages 15 to 79 as respondents who have used the internet to look up medical information at some point.

The trend: Most healthcare and pharma marketers plan to increase their CTV/over-the-top (OTT) spending in the next year, according to Nielsen鈥檚 Global Annual Marketing Survey. Our take: CTV鈥檚 gain of healthcare and pharma ad dollars isn鈥檛 necessarily linear TV鈥檚 loss. Campaign strategies for linear should focus on brand awareness, while CTV allows drug ads to be highly targeted.

The DOJ also found that Google monopolized the US ad market and is pushing Google to sell AdX and DoubleClick for Publishers, claiming it illegally monopolized ad tech and harmed publishers by bundling services. Why it matters: By tying Amazon鈥檚 practices to Google鈥檚 DOJ case, The Trade Desk is actively trying to reframe the regulatory conversation around digital advertising.

Even with higher spending on original content, Apple TV+ is still expected to grow by only 5.6 million US viewers between 2025 and 2029. Converting theatrical victories into enduring streaming loyalty is the next challenge.