Netflix (and Other Video Services) to Make More Money Than Movie Theaters by 2018

Netflix

Do you prefer a night in with Netflix over paying $8 for popcorn at the theater? You’re not alone: Box office revenue has been flat over the past few years while online video revenue has grown dramatically, and this is starting to change how Hollywood makes its money. The new PricewaterhouseCoopers (PwC) Entertainment and Media Outlook 2014-2018 report shows that revenue from online video services is set to overtake box office revenue in 2018. The report actually predicts that box office sales are going to slightly grow this year to $11.4 billion, up from $10.8 billion in 2013, and after being more or less flat since 2009. PwC predicts that box office revenue will keep an annual growth rate of 3.1 percent in the coming years, which means that people will spend $12.5 billion on movie tickets in 2018.

Read the full story at Giga OM.

(UPDATE: Verizon has responded, calling Netflix’s actions a ‘PR stunt.’)

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