From catch-up viewing to smartphone watching and connected TVs, new video consumption trends are continuing to gain ground on the traditional TV industry.
This year, mobile, online and digital video services will account for some $11 billion in global TV and online video revenues; that number is expected to grow to $28.72 billion in 2017.
International industry researcher Global Information Inc. (GII) has put its spotlight on the global markets for online TV and video, next generation TV and pay TV in new market research reports.
It says the first major effects of the television industry revolution will be felt in 2013 in the US and 2014 for many other markets.
Going forward from there, it says, 480 million homes in 40 countries will watch online television and video by 2017, up from 182 million in 2010. By 2017, 64.6% of the world's 745 million fixed broadband homes will view television and video online, up from 33.5% of the 473 million fixed broadband total in 2010.
Next generation TV is taking the world by large and the parallel success of tablet technology may spur new consumption of linear television on the larger screen.
Another key trend is "Over-the-top" OTT content and widgets, which are creating lots of industry buzz and excitement. The rise of OTT, however, is driving vulnerable pay-TV operators to reduce their prices in order to defend their market share.
A major driver of OTT is online TV and video advertising, which brought in revenues of $6 billion in 2012. However, advertising's share of total OTT revenues will decline from 65% in 2010 to 51% in 2017.
According to the new report from Digital TV Research, global online TV and video revenues will reach $28.72 billion in 2017, a massive increase from the $3.79 billion recorded in 2010 and the $11.14 billion expected in 2012. The report explains that the OTT TV sector is on the brink of a tremendous take-off; key players are expanding internationally, companies are consolidating and new partnerships are being announced on a daily basis.
Global Information is an information service company partnering with over 300 research companies around the world. Headquartered in Japan, Global Information now has offices in Korea, Taiwan, Singapore, Europe and the United States.