According to a new market research report titled, “Live Streaming Market by Component (Platform, Services), Offering Model (B2B, B2C), Streaming Type (Audio, Video, Game), Vertical (Media & Entertainment, Education, Sports & Gaming, Government, Fitness), and Geography – Global Forecast to 2028,” published by Meticulous Research®, the live streaming market is expected to grow at a CAGR of 22.4% from 2021 to 2028 to reach $4.26 billion by 2028.
The rising popularity of live streaming technology for better brand engagement and reach to consumers, the surging popularity of e-sports and video games, growing preference for live streaming over social posts, and increasing adoption of smartphones coupled with faster internet are expected to drive the growth of the live streaming market.
Additionally, the growing need to optimize network bandwidth and increase the consumer base for live streaming content further contributes to market growth. Furthermore, the incorporation of advanced technologies in the digital media industry is the new trend in the live streaming market. However, fake traffic on live streaming sites is creating new challenges for the overall market growth. Also, connectivity and production issues may restraint the growth of this market in the approaching years to some extent.
Impact of COVID-19 on the live streaming market
The COVID-19 disrupted people’s work lives, fueling significant growth in people seeking live streaming, particularly in emerging markets. The pandemic transformed live video technology into nothing short of a necessity. Healthcare, business continuity, public safety, and mental health all now depend on it. During the pandemic, live streaming was used as a workaround to isolation measures in various ways. Religious services, virtual events, and statewide town halls were all broadcasted over the Internet due to widespread stay-at-home orders. Many of these are just extensions of traditional broadcasts that benefited from the ease of use of live streaming.
Live streaming platforms, such as Zoom, Skype, Amazon Chime, BlueJeans, and Cisco WebEx, were popular in business settings. Google Hangouts, Facetime, and Houseparty were also common for personal communications during this pandemic.
But, safety concerns have hit the news cycle. Incidents of ‘Zoombombing,’ during which unintended attendees join private meetings, have revealed why many enterprises choose to deploy streaming infrastructure in-house. Moreover, AI added value to video apps with voice-to-text transcription, natural language processing, and balanced sound and computer vision.
Several organizations that leveraged streaming technology for telemedicine proved instrumental in efforts to flatten the COVID-19 curve. Virtual doctor visits finally went mainstream, while live video sharing tools helped contain the spread. Another company that utilized telemedicine technology to ease the burden of social distancing was AngelEye Health. The clinical communication platform allowed families to watch their newborn baby while being cared for in the neonatal intensive care unit (NICU).
Several organizations focused on digital technologies to build a brand and showcase new services and products for producing low-cost hardware aimed at the broadcaster with live streaming at the forefront. For instance, in 2021, Innovative Systems, Inc. (U.S.) partnered with Midwest Video Solutions (U.S.) to deliver a fully hosted end‐to‐end streaming video and headend service. Also, in 2021, FilmMyMatch (U.S.) signed an agreement with JOYMO (Norway) to deliver live streaming, video management, and production services to clients across the U.K.
Live streaming market overview
The overall live streaming market is segmented on the basis of component [(platform, services (subscription services, advertisement, and video production & content creation services)], offering model (business-to-business and business-to-consumer), streaming type (audio streaming, video streaming, and game streaming), vertical (enterprises, media & entertainment, education & e-learning industry, sports & gaming industry, government, fitness industry, religious organizations, and others), and geography. The study also evaluates industry competitors and analyses the market at the country and region levels.
Based on component, the services segment is estimated to account for the largest share of the overall live streaming market in 2021. The large share of this segment is primarily driven by the growing demand for new installation and integration of live-streaming platforms; the need for professional post-production support, up-gradation, and maintenance to help deliver content based on client specifications and provide a personalized experience to viewers; and surging demand for customer support, content creation services, and subscription services.
Based on offering model, the business-to-consumer segment is estimated to account for the largest share of the overall live streaming market in 2021. The large share of this segment is primarily driven by the rising adoption of smart devices coupled with faster internet penetration, increasing need for transmission of live content on the Internet for better brand engagement, and a surging number of social media platforms & s-commerce sites.
Based on streaming type, the video streaming segment is estimated to account for the largest share of the overall live streaming market in 2021. The large share of this segment is primarily driven by the growing use of influencers to drive new applications and attract new customers for branding and marketing, growing adoption of cloud-based solutions to increase the reach of live video content, and rising customer online data consumption and surfing behavior. However, the game streaming segment is slated to grow at the highest CAGR during the forecast period.