With the second quarter of the year and the summer vacations having come to an end, this week we zero in on the Swedish TV market as Mediavision’s quarterly analysis TV & Video Insight is to be published shortly. Furthermore, we take a look at some of the FAANGs’ (Facebook, Amazon, Apple, Netflix, Google) Q2 performances.

Mediavision’s quarterly in-depth analysis of the Swedish TV landscape, TV & Video Insight, is to be published next week. It shows that streaming services continue to gain ground. SVOD (subscription video-on-demand) services are taking the Nordics by storm and the second quarter of 2018 show no signs of saturation. Household SVOD penetration continues to shatter records on the Swedish market in Q2 and Netflix is still in a clear lead. However, following its Q2 report Netflix’ share price took a turn for the worse, dropping about 20%, due to its global subscription numbers falling short of forecasts. Netflix had predicted an additional 6.2 million subscribers during Q2 but ended up adding 5.2.

Mark Zuckerberg and Facebook had a turbulent second quarter with the Cambridge Analytica scandal and its handling of fake news making headlines. Facebook’s share price also took a tumble, recording a reduction of its market cap by approx. $120 billion. Apple, on the other hand, became the first company to reach a trillion-dollar valuation. This despite Apple seeing its Iphone sales falling short of expectations. Amazon reported an explosive increase in net income YOY which is uncharacteristic, as Amazon usually reinvests most of its earnings. Also, Amazon more than doubled its ad sales with a turnover of $2.2 billion during Q2. For comparison, Amazon’s ad sales are three times the size of Twitter’s and ten times the size of Snapchat’s.

Netflix share price has not managed to recover. Prior to its earnings report in July Netflix share price reached around $400 and by mid-August it has dropped to $316. At closing yesterday, the price per share was up at $338. Facebook faces a similar fate and its share price hasn’t recovered since its Q2 earnings report either. Follow its earnings report the share price tumbled from roughly $217 to $176.

Netflix & Facebook share price since their earnings reports (USD)

Further reading:

Apart from our quarterly analysis, Mediavision’s annual analysis of the Swedish TV Market is already available for order. The analysis provides industry overview as well as in depth market insights, click the link below for more info.

Mediavision blogs:

Summer TV viewing and the FIFA WC
As many of us are now returning to work after a splendid summer, we’re taking a quick glance at the development of the 2018 traditional TV viewing so far. It’s of course with a special focus on summer ratings, particularly since Sweden this year outperformed all expectations and made it to the quarter finals in 2018 FIFA World cup in July.

Mediavision press releases: