Streaming stocks and the surrounding industry is learning what those of us on the printed web learned over 20 years ago. In a world of unlimited content, the limiting factor is time.
The hope was that the cable packages of the past might be resurrected online, consumers paying just as much as they formerly did, but paying it directly to programmers. As that hope faded, streaming supporters took to promoting the idea of “free” streaming. However, the amount of ad inventory available quickly overwhelmed the market’s ability to absorb it.
This spells trouble for all companies involved in streaming. The gold rush is ending. The industry is about to go through consolidation. Investors might profit by buying these streaming stocks at their lows, waiting for the inevitable buyout.
This post originally appeared at InvestorPlace.