Warren Buffett’s recent $2.6 billion purchase of Paramount Global/Paramount+ stock rounds out his streaming portfolio — which already includes Apple TV+ and Amazon Prime Video — and shows that despite recent disappointing quarterly earnings reports and stock declines for most entertainment companies, streaming is still the business to be in.
This past cycle of quarterly earnings placed a new emphasis on the health of the streaming business after Netflix reported its first loss in subscribers in more than a decade. Other companies’ lackluster Q1 earnings were delivered with vows to curtail their extravagant levels of content spending and plans to introduce ad-supported tiers for price-conscious consumers.