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US OTT worth $25BN in 2016

2016-09-27    1337 Reads
BCG said that while this represents only some 5% of the global industry, OTT is growing by more than 20% annually and winning share over traditional TV, whose revenues are growing at a far more subdued rate of 2%.

“Simple market statistics under-emphasise the impact of OTT, which has been a driving force for change in the wider video industry,” the firm said. “OTT’s impact encompasses how consumers interact with content; what they expect in terms of choice, flexibility and navigation; and the competitive context in which incumbents and upstarts now operate across the value chain.”

Furthermore, said BCG, although OTT mirrors the traditional video stack, digital technologies enable many distinctive characteristics and features that are not possible with over-the-air, cable or satellite distribution. These include the sheer breadth of content available, flexibility of time and place for viewing content, and the flexibility of consumer offerings and price points that companies can offer and from which consumers can choose.


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