Streaming is a ‘luxury’ for rural areas

Most of the entertainment catalog has been migrated to the streaming platformswhose industry has proliferated in such a way that there is a vast variety of players. But this has implied a challenge for consumers in economic terms.

Hiring a video streaming subscription is complicated if you take into account that in Mexico three out of ten people still have an analog television, according to ENDUTIH. And even more so in an environment where acquiring a phone to watch streaming programming is almost a challenge.

For example, lower-income residents of entities such as Chiapas must invest up to 72% of their monthly income to purchase a smartphone, which corresponds to the most economical range; Similarly, Oaxaca users disburse 58% of their expenses, according to the State Digital Development Index carried out by the Mexico Digital Center.

In contrast, an inhabitant of Mexico City spends 28% of their monthly income to buy a smartphone. In addition, payment for internet service must be considered, where in some communities it is not yet enabled or remains a product with little access.

This situation has led ENDUTIH itself to report that in rural areas there is a huge gap in accessing entertainment content. According to the Survey corresponding to 2023, only 800,000 people have a service from this type of platform, while in the urban area there were 10.9 million.

“Users may be limited in accessing content. This type of situation began with the arrival of pay television, which little by little took away the ability of many people to access entertainment and even sports. Streaming is becoming almost a luxury. Not everyone can pay for it,” Claudia Benassini, a specialist in restricted television and digital platforms and a researcher at La Salle University, previously told Expansión.

The new streaming policies could be a new barrier for Mexicans in rural areas to watch their content. The platforms have put a stop to the sharing of passwords outside of a home. This practice was one of the most used by consumers to access more platforms and thereby save on expenses, but now if a password is shared, they must pay extra.

The arrival of streaming has completely changed everyday life, which is already part of the basic basket because it already affects inflation, according to Inegi. Due to this, the Institute has decided to incorporate this product to see how it has affected the way they distribute their monthly expenses.