OTT video services are seeing high adoption rates in the US. According to Parks Associates, 55% of US broadband households subscribe to an OTT video service. Proliferation in IP-based content and the widespread use of OTT applications on smart devices is expected to be the key drivers pushing for the widespread use of OTT video services. Park Associates, a market research and consutling company said that given the current take-up rates on OTT video services, providers of cloud solutions and service providers can expect to see increased market opportunities for their services.
Parks Associates and PacketVideo, a digital media solution provider will cover the OTT video service segment in detail in an upcoming webcast entitled "Navigating Cloud Solutions: CE and the Future of Video" during which new service strategies and revenue opportunities for players in this space will be discussed. According to Parks Associates, 45% of US broadband households find the cloud DVR technology every appealing, and most households still prefer watching their videos on TV screens. On average, consumers spend over 20 hours each week watching video on TV screens, compared to 1.3 hours on tablets and 1.6 hours on smartphones each week, added Parks Associates.
At present, third party media players enable viewers to leverage on their fixed broadband and Wi-Fi connections to stream OTT video content to their TV screens. Other content providers, including broadcast companies are already providing online channels which enable viewers to catch up their favourite content on mobile screens, such as smartphones and tablets. As multi-screen technologies mature, both the content providers, specifically players offering OTT video services and service providers need to enhance their collaboration to drive the consumption of OTT video services, explore new monetization strategies and tap into the growing digital media market.
"Over 50% of U.S. broadband households have at least one TV series that they 'never miss'. Offering multiple content options is increasingly important as more consumers turn to connected CE and mobile devices for their video, audio, and other media needs. We see considerable demand for the functions created by cloud solutions and will discuss deployment strategies in this webcast."
- Glenn Hower, Research Analyst, Parks Associates
"As mobile devices account for nearly a third of website traffic, close to a quarter of online video is viewed on mobile, and consumers increasingly move their content into the cloud, CSP and CE companies need better ways to create unified service offerings that reach consumers in the cloud and across devices," said. "Companies can capitalize on these trends by enabling, adding and monetizing cloud and media services to their product offerings, thereby strengthening their customer relationships and extending their reach into the connected home to include both over-the-top (OTT) and personal cloud services."
- John Driver, CMO, PacketVideo
