Liberty Media’s John Malone has predicted that the future of the TV industry will be dominated by the Big Tech companies.
In an interview with Yahoo Finance, the media veteran said he expected the crowded streaming market will see further consolidation as economic pressures continue to build, leading to a significant reduction in the number of players. “If I had, my guess, we haven’t even seen the last big round yet, because I think social networking eventually also becomes streaming entertainment,” said Malone.
According to Yahoo Finance, Big Tech companies such as Amazon and Apple are increasing their share of the media and entertainment marketplace, with a number of large rights deals being recently announced.
Platforms such as YouTube are also able to leverage the power of social media, with Malone suggesting tech giants will continue to reap the benefits from increasing consolidation. With large user bases, digital infrastructure and AI-driven algorithms, such companies are positioned to dominate the media space. “I wouldn’t be a bit surprised to see them move on and become essentially entertainment distributors as well,” Malone said, although he also identified Disney as a key player, given the strength of its theme parks and core intellectual property.
The view was backed by media and telecoms analyst Craig Moffett, who concurred with Malone’s comments, noting that organisations that can partner in ways that add consumer value while driving profitability will be the likely winners. “Consumers are struggling with the reality that subscribing to five or six different services isn’t just cumbersome and inconvenient, it’s also really expensive,” he said.
Throughout the 1970s to the 1990s, Malone expanded cable TV company TCI before selling it to AT&T in a deal worth more than $50 billion. He has released a new book, Born to be Wired, which covers both his life in the cable industry and his transition to becoming a major personality in the Formula One business.
