How this Google-owned company is hurting Netflix BIG on TVs in the US
YouTube
captured a significant lead over Netflix in US television viewing time for May, lending credibility to CEO Neal Mohan's claim that 'YouTube is the new TV.'
The report claimed that YouTube and Netflix together captured 20% of all US television viewing time in May, with YouTube holding a significant lead at 12.5% compared to Netflix's 7.5%. Their closest streaming rival, Disney, with its combined services (Disney+, Hulu, ESPN+), accounted for 5% of TV time during the same period.
Nielsen also suggests contrasting viewership patterns between the two. On average, YouTube attracts 7 million viewers watching via a TV set at any given moment during the day, surpassing Netflix's daily average of 4.7 million. However, the gap narrows during prime-time hours, when TV viewership peaks. During these times, an average of 11.1 million Americans tune into YouTube on their TV screens – slightly ahead of the 10.7 million watching Netflix.
YouTube has been expanding lead and financial muscle
YouTube's dominance in TV viewing continues to grow. It can be attested by the data in the report that two years ago, the Google-owned company's share of TV time was half a percentage point ahead of Netflix's; now, that lead has widened to five percentage points. Both companies are competing from positions of considerable strength.
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Moreover, in 2024, Netflix's revenue reached $39 billion, and it boasts over 300 million global subscribers, making it the largest streaming service by subscriber count. The company also demonstrates strong profitability, with over $10 billion in operating income last year.
Meanwhile, Google-owned YouTube generated an even larger revenue of $54 billion last year, trailing only Disney among all media companies.
YouTube CEO Neal Mohan says company betting big on TV
Earlier this year, YouTube CEO Neal Mohan said that
's video streaming giant is increasing its focus on television, announcing that in the US, TVs have surpassed mobile devices as the leading platform for YouTube viewing based on watch time.
'Viewers are watching, on average, over 1 billion hours of YouTube content on TVs daily, and TV is now the primary device for YouTube viewing in the US," stated Mohan in a blog post. He emphasised that this "new" television experience is vastly different from the "old," incorporating interactive elements like Shorts, podcasts, and live streams alongside traditional content such as sports, sitcoms, and talk shows.
'We're bringing the best of YouTube to TVs, including a second screen experience that lets you use your phone to interact with the video you're watching on TV — for example, to leave a comment or make a purchase,' he noted.
For the past two years, YouTube has consistently held the number one spot in streaming watch time in the US, according to Nielsen.
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