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Oct 16, 2012
Oct 12, 2012
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  • Over-the-Top Video: First to Scale Wins

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    Video services focusing on professional long-form content, such as Hulu, Lovefilm and Netflix, saw tremendous growth in subscribers and revenues over the last few years.


    These services are called Over-the-Top (OTT) as they focus on the service component and piggyback on a broadband provider’s network for delivery.


    OTT video can be Linear (e.g. live streaming of current broadcasters’ channels or new “online only” linear channels) or On-Demand (e.g. ad-funded, transaction- or subscription-based access to a library of movies and TV shows).


    Over-the-top video offers of both hardware and services are evolving very quickly, made possible by ever-faster broadband.


    From the perspective of incumbent pay-TV providers, OTT video is a potential threat – but for telecom operators and rights owners OTT video is an opportunity.


    Furthermore, they allow for a disintermediation of traditional TV broadcasters and could accelerate the decline in physical media sales volume.


    However, launching a market leading service has many challenges and the race to scale has started, shaping the future TV and film entertainment industry.


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    Arthur D. Little has deep industry knowledge of the telecoms and media sector, based on extensive client work, addressing market analysis, strategy and performance improvement for Pay-TV and telecom operators, as well as broadcasters and content providers 

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