Excellent write-up, Madhavan. Liked the way you mixed data with inferences. I happened to be one of those customers who subscribed to Netflix, Apple Music, Amazon Prime and Gaana services. Will leave out Gaana from this discussion (but that is the only service I continue to use).
The problem with Netflix, Apple Music and Amazon Prime in India is their selection of movies / music. It is just awfully small and outdated. With such little content, it is difficult to get any value from these services. I believe this has to do with the way movie/music licensing is done in India. Probably it is different and difficult from other countries.
Not all is lost though. If Netflix / Amazon invest more on content generation, that too with focus on India language and cultural diversity, they will open up a new mode of entertainment for Indian viewers. Cable TV was a revolution in 1990’s India. Internet TV will be the next revolution, but these companies should invest more on creating localized content.