Despite revenue generated by licensing content to streaming services, some analysts and execs are concerned that the growth of subscribers to Netflix and related services may negatively impact traditional TV audiences and related advertising revenue. During the UBS Global Media and Communications Conference on Monday, research was presented that suggests a significant disruption in media consumption, as Netflix subscribers watch less broadcast TV than consumers without the service.

“Against the backdrop of a 3 percent decline in television viewing so far this season, David Poltrack, chief research officer at CBS, unveiled research showing that streaming on Netflix and other services has started to cannibalize the amount of time viewers spend watching traditional television,” reports The New York Times.

Streaming services are affecting viewership and the business of television. Despite an increase in original network programming, ad growth has slowed (WPP’s GroupM predicts that TV’s share of the total ad market would fall for the first time next year).

“The ratings have just disappeared,” said Todd Juenger, Bernstein Research analyst. “You have audiences leaving ad-supported television for non-ad-supported television, and I don’t think that they are coming back.”

Juenger believes the trend would grow worse for groups that make more content available across services such as Amazon, Hulu and Netflix.

However, Poltrack also addressed the value of streaming as a new revenue source for licensing content, and attracting viewers for new programming by syndicating older content.

“Wouldn’t you prefer that your competition relied on old episodes of your programs as opposed to new content from someone else?” he said. “You have to look at the big picture. Yes, Netflix is a formidable competitor. But they’re a valued partner as well.”

Ted Sarandos, chief content officer at Netflix, explained that today’s viewers like to watch programs on demand with the option to watch multiple episodes in a single sitting. Sarandos recommended that companies adjust their business models, rather than debate the inevitable change.

“As an example, he said that cable operators should invest in new technologies that would allow people to watch TV episodes weeks after they have been broadcast, but allow advertisers to insert up-to-date commercials,” explains NYT.

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