YouTube remains the dominant platform for ad-supported streaming budgets in 2026, while upcoming industry mergers between major services aim to simplify audience targeting and stabilize fluctuating advertising costs.

Key Points

• YouTube captured 50% of total ad budgets in 2025, followed by Amazon Prime Video at 18% and Hulu at 8%.
• The Walt Disney Company plans to merge Hulu with Disney+ by late 2026, while Paramount intends to combine Paramount+ with Max.
• Marketers cite lack of measurement, high media costs, and budget constraints as their primary challenges in the fragmented streaming landscape.
• Industry experts expect platform consolidation to stabilize CPMs and improve deterministic measurement capabilities for advertisers.
• Brand safety remains a specific concern for 17% of YouTube advertisers, while content transparency issues persist across Disney+, Hulu, and Roku.

Why it Matters

Consolidation among major streaming services is expected to reduce market fragmentation, potentially simplifying how brands reach audiences and measure campaign performance. This shift could stabilize advertising costs and move the industry toward a more efficient model focused on measurable business outcomes rather than just impression volume.