Are Apple and Amazon cannibalizing the sports streaming industry?

Laura Martin, senior analyst media specialist working for Needham and Company, says in a post for Yahoo! Finances that Amazon and Apple are cannibalizing the sports streaming industry: ” They (Apple and amazon, editor’s note) can currently destroy the streaming market because they have other lines of business that are making profits or even big profits. An iPhone costs $1300 today. They can make profits on other parts of their business which can be reused in the purchase of sporting rights. ยป

In fact, Apple and Amazon already spend billions of dollars buying rights for the exclusive broadcast of matches or competitions (Baseball, Football, Tennis, American Football, etc.) and the other GAFAMs do not seem to be able to line up. Apple has reportedly spent $2.5 billion on MLS rights already, and is set to put another $2.5 billion on the table for NFL rights.

The possession of broadcasting rights in the sports sector is an additional argument in the battle of streaming platforms. Apple thus relies on the quality of its productions (no catalog background) and these exclusive broadcasts to attract the public to its Apple TV+ platform. For now, the results are quite mixed (6% market share in the US), but Rome was not built in a day.

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