The news: Streaming platforms and connected TV (CTV) channels have risen as leading contenders for reaching, connecting with, and converting viewers.

Nearly half (45.7%) of all TV viewing time in October 2025 went to streaming platforms, per Nielsen, up from 40.5% in October 2024. Reflecting this shift, we forecast US CTV ad spending will surpass TV ad spending by 2028—reaching $45.96 billion, up from $32.45 billion in 2025.

Zooming out: Despite those gains, many companies lack a fully fleshed-out CTV ad strategy and are missing crucial data—something that could stunt potential gains.

• While 68.3% of advertisers perceive CTV advertising as extremely or very effective, per Gracenote, only 11% are prioritizing content targeting at a program level.
• An inability to collect proper metadata on streaming channels and apply findings to campaign strategies could waste spend and resources.

Shifting market: These gaps become more consequential as the streaming landscape evolves. Netflix, YouTube, Disney, and Amazon account for most streaming time today, but mergers and platform consolidation could change who holds power in the TV ecosystem.

• Disney could gain $3 billion in US ad revenues following a Disney+ and Hulu merger in 2026, per MoffettNathanson data cited by Business Insider.
• The acquisition of Warner Bros. Discovery (WBD) could lead to a single company owning many of the largest US cable networks and one of its top subscription streaming services.

The challenge: Despite consumers’ cost sensitivity and potential subscription fatigue, streamers aren’t shying away from price hikes. The average cost for the top 10 paid streaming services in the US grew 12% in 2025 and has increased by double-digit percentages annually since 2022, per Convergence Research Group data cited by The Los Angeles Times.

Rising prices could be fueling the growth of ad-supported and free ad-supported streaming TV (FAST) like Tubi and Pluto. US viewing time on FAST platforms reached 1.8 billion hours in August, per Comscore, up 43% YoY.

What to expect: Heading into 2026, neither consolidation nor price creep is likely to slow. The pressure builds as streaming overtakes linear, and media companies will need to replace declining traditional TV ad revenues with gains from streaming subscription and ad-supported viewing. CMOs should:

• Prioritize metadata and program-level targeting to improve ROI as competition intensifies.
• Prepare for a more consolidated marketplace where fewer, larger players control inventory by diversifying placements to avoid dependency.
• Capitalize on FAST growth by balancing budgets between CTV and ad-supported streaming to maximize reach at lower CPMs.