The global over-the-top industry was pegged at $121.61 billion in 2019, and is projected to hit $1,039.03 billion by 2027, growing at a CAGR of 29.4% from 2020 to 2027. Growing demand for OTT from developing regions, availability of variety of content, and rise of SVoD services in emerging countries have boosted the growth of the global over-the-top market. However, lack of data network infrastructure and latency issues hamper the market growth. On the contrary, emergence of the new OTT platforms and new developments in OTT technology are expected to create lucrative opportunities for the market players in the future.
Impact of COVID-19 on OTT Market-
• As most of the countries are still in lockdown, the demand for OTT technology has increased more than ever, especially in developing countries such as China and India.
• According to the survey by InMobi, a mobile marketing platform, more than two-fifths of the viewers watch more online content.
• Since the lockdown across various countries, there is significant increase in subscription for OTT platforms.
• Various government agencies have been conducting programs to help companies to deal with these unprecedented times.
The solution segment held the largest share in 2019, accounting for nearly three-fifths of the global over-the-top market, owing to rise in demand for innovative over-the-top solutions for media sharing by consumers and the development of numerous technologies such as 5G technology, artificial intelligence, and cloud. However, the service segment is expected to portray the highest CAGR of 32.0% during the forecast period, due to increased adoption of services among end-users.
IT & telecom segment is projected to register the highest CAGR of 38.9% from 2020 to 2027, owing to growth of over-the-top services in telecommunication industries for video calling, voice, and messaging services. However, the media & entertainment segment dominated the global over-the-top market in 2019, contributing to more than one-fourth of the market, due to rise in numbers of digital-video consumers.
North America held the largest share in 2019, accounting for nearly half of the revenue, as the region is equipped with high broadband access. However, the global over-the-top market across Asia-Pacific is expected to register the highest CAGR of 37.9% during the forecast period, due to adoption of smartphones and other connected devices, increase in broadband speeds, and availability of 4G connectivity in the region. EIN Presswire