‘Expect more streaming consolidation’ – Versace

IGTV's Angeline Ong catches up with Tematica CIO, Chris Versace, to find out why he thinks this is just the beginning of a larger post-lockdown consolidation cycle for streaming and entertainment giants.

(AI Video Summary)

Multi-billion Reliance-Disney merger

In this IGTV video interview, Angeline Ong and Chris Versace, who is the CIO of Tematica, talk about the streaming industry and its recent consolidation. They talk about the huge deal between Reliance India's Media Assets and Disney, which created a massive $8.5 billion company. Versace believes that this deal is just the beginning and more consolidation is on the way, as streaming companies struggle to compete for subscribers and growth.

Competitiveness in the streaming industry

Ong mentions that the streaming market is very crowded, with big players like Sony, Disney Entertainment, and Netflix all fighting for a piece of the pie. She wonders if we will see more consolidation in Europe and the United States. Versace agrees and argues that there are simply too many choices for consumers, which has led to rising costs and price increases. Because of this, many streaming platforms are now turning to advertising to bring in additional revenue.

Discussing US PCE data and state of the economy

The conversation then turns to the upcoming data releases, particularly the PCE data in the US and the potential timing of the first Fed rate cut. Versace predicts that the market will delay the rate cut and talks about the importance of the manufacturing and services PMI data and any comments made about inflation. These indicators can give us a glimpse into the future and may influence the Federal Reserve's decision in their upcoming meeting.

Ong asks Versace about the state of the economy and whether a "soft landing" is likely. He believes that recent data points to a higher chance of a soft landing rather than a more negative outcome. He advises keeping a close eye on upcoming data releases, especially the new order insights in the manufacturing and services PMIs.

In conclusion, this video offers valuable insights about the streaming industry and its future, as well as discussing important economic factors that may impact the market.