In the world of anime distribution, digital piracy has been a significant disruptor for the past 15 years. While piracy websites continue to pop up even after being shut down, licensing companies are still working hard to combat them. The industry is now providing its own VOD solutions that offer fans immediate access and simulcasts, potentially disrupting the disrupters. Legitimate streamers are targeting piracy sites for removal, leading to spikes in new subscriber gains when a piracy site is taken down.
According to a report by FastCompany, the number of visits to online piracy websites reached 141 billion in 2023, with an estimated 386 million visits per day. This increase in piracy could be attributed to crackdowns on password sharing, more advertisements, limited simultaneous device viewing, and price hikes on legal streaming services. However, when a piracy site is taken down, there is a positive spike in new subscribers to legitimate streaming services.
While piracy accounts for over a quarter of all online film and television content piracy, spikes in anime piracy use are often seen in regions where access to legal alternatives is limited. This has prompted legit streamers to target piracy sites in those regions, leading to increased subscriber gains. The cost-to-benefit ratio of targeting piracy sites may ultimately lead to meaningful Average Return Per User (ARPU) for legitimate streaming services.
In conclusion, despite the challenges posed by digital piracy, licensing companies and legitimate streamers continue to fight against piracy websites to attract new subscribers and disrupt the disrupters in the anime distribution industry. As long as there are attractive prospects using piracy services, the battle against piracy will likely continue to benefit legitimate streaming services.