The growing fondness towards streaming services like Netflix, Hulu, Amazon Prime, and others can have a tremendous impact on the market growth in the forthcoming years, states Fortune Business Insights, in a report titled “Video Streaming Market Share, 2021-2028.” The market size stood at USD 376.06 billion in 2020. The global video streaming industry size is expected to reach USD 932.29 billion by 2028, exhibiting a CAGR of 12.1% during the forecast period.
Rising Demand for OTT Streaming Platforms to Incite Business Development
Netflix, Hulu, Amazon Prime Video, HBO, and Disney+ are just a few popular streaming services that provide unrestricted real-time access to the high-quality original content. This cutting-edge streaming service has improved the home entertainment experience and increased the company’s client base. Because of its flexible subscription price and device flexibility, many consumers are migrating to the OTT platform. According to Apptopis, when Disney Plus launched its iOS and Android mobile apps in November 2019, it received 3.2 million downloads.
Live streaming of news, discussion programmes, games, and concerts are becoming increasingly popular as the demand for OTT media entertainment content grows. Various players are partnering with various sports authorities to offer sports material to viewers’ devices, in response to the rising demand for live game streaming. For example, in March 2021, Amazon Web Services, Inc. partnered with the National Football League to stream all football events exclusively. OTT streaming demand is also likely to be fueled by the impact of pandemic lockdown and quick advances in 5G installation. This is expected to fuel future development of the video streaming market Size.
There is a considerable rise in the demand for video streaming solutions in universities, schools, and colleges around the world. This can be accredited to their benefits, which include enhanced learning processes via visual recordings of webinars and courses.
Additionally, live streaming is widely being used among businesses as it assists in promoting their product and services and enhancing their brand and customer engagement activities. It also finds extensive applications in court hearings, mandated sessions, town hall meetings, professional conferences and staff training.
Furthermore, leading market players are integrating block chain technology, machine learning (ML) and artificial intelligence (AI) for improving video quality. These technological advancements aid in editing, cinematography, voice-overs, scriptwriting, and other aspects of video production and uploading. They also help in organizing, encoding and distributing data, thereby streamlining the digital space. This, along with the rising adoption of cloud-based solutions, is creating a favourable market outlook.
The market is divided into three categories based on its components: hardware, software, and services. Gaming consoles, media streamers, and encoders are among the hardware categories.
Live and on-demand streaming are the two types of streaming available.
The market is divided into two categories based on deployment: on-premises and cloud. On-premises deployment has the largest market share, while cloud deployment is expected to expand at the highest rate during the forecast period.
The video streaming market is divided into three categories based on the streaming model: advertisement-based, subscription-based, and transactional-based models. The advertisement-based model has the highest market share.
The market is divided into two categories based on end-use: residential and commercial. Residential has the largest market share, while commercial is expected to increase at the quickest rate.
North America, Europe, Asia Pacific, the Middle East and Africa, and Latin America are the five primary areas divided by the market. They’re broken down even further into countries.
Rising acceptance of 5G technology to bolster business in North America
North America has the industry’s largest video streaming market share because of the huge number of streaming providers in the United States. The region held a revenue of USD 165.79 billion in 2020. In addition, this region has a strong demand for video streaming due to sophisticated network infrastructure and the deployment of 5G technology. According to market analysts, many Americans are anticipated to cancel traditional pay-tv subscriptions in 2020 due to the rise of OTT platforms. According to a Deloitte survey conducted in April 2020, US consumers have chosen four video streaming providers on average. Asia Pacific is predicted to be the fastest-growing region during the forecast period. The growing number of tech-savvy people and the rise in smartphone users are two factors driving the Asia Pacific industry forward. According to the App Annie 2020 report, China’s average weekly app downloads increased by 40% in the first two weeks of February 2020, compared to the same period in 2019.
Increasing Innovation in OTT services to Spur Opportunties
To retain their video streaming market position, the industry’s major companies are constantly working to improve their goods. Strategic alliances, content monetization, and content distribution on multiple mobile platforms have all changed in the streaming sector. Consumers’ growing preference for OTT services and sophisticated feature goods forces businesses to acknowledge the value of live streaming in their operations. For example, in February 2020, Netflix, Inc. announced a partnership with Samsung Group of South Korea to become Samsung’s mobile entertainment partner. Netflix, Inc. will produce unique content for Galaxy smartphone users as part of this relationship. Globe Newswire