While media companies continue to try and gouge the cable subscriber to pay more money, the number of people still subscribing to cable is dropping like a rock.

The transition to streaming has had a major impact on the traditional business models of media companies. Cord cutting, or the act of canceling traditional cable subscriptions in favor of streaming services, has accelerated faster than expected. This trend, combined with a general decline in linear TV viewing, has led to a wave of consolidation among media firms.

Major players like Paramount, Warner Bros., Discovery, and NBCUniversal are all expected to sell or merge with other companies in the near future in an attempt to compete with streaming giants like Amazon, Netflix, and Google. Even smaller TV companies are feeling the pressure. Lionsgate is considering spinning off its Starz channel, Paramount is bundling Showtime with its primary streaming service, and AMC Networks is laying off 20% of its staff.

One of the main challenges facing traditional TV companies is the assumption that streaming would quickly make up for losses in linear TV. However, companies like Paramount, Warner Bros., Discovery, Disney, and Comcast do not expect their standalone streaming offerings to break even until 2024 or 2025 at the earliest. This slow transition to streaming has forced these companies to seek out new ways to stay afloat.

H/T Axios