Streaming video service growth is going to lend a big boost to the OTT monitoring and compliance (M&C) technology market over the next five years.
Research firm Frost & Sullivan predicts the market will expand at a compound annual growth rate of 15.8%, up from $62 million to $149.7 million by 2024, which will be driven by increased demand for broadcast-quality streaming video. The firm said that OTT M&C vendors can address the market by providing their underlying software platforms, which help improve video quality of service (QoS) over unmanaged networks, to media streaming devices, handsets, tablets and televisions.
"OTT/TV Everywhere (TVE) vendors tend to develop M&C solutions in-house during the R&D phase and then seek third-party vendors to scale up for operations," said Robert Cavin, industry analyst at Frost & Sullivan, in a statement. "Companies will also highlight the value of providing high-quality OTT M&C solutions to reduce churn by increasing quality of service. These solutions can be offered both individually and as part of a total OTT solution."
Frost & Sullivan’s new revenue projections cover vendors supplying to both direct-to-consumer platforms and virtual MVPDs. This includes Telestream iQ (IneoQuest), Tektronix, Touchstream, Interra Systems, Witbe, and Evertz.
"After establishing themselves in the North American and Western European markets, service providers are expanding globally, particularly in regions with excellent broadband access," said Cavin. "As other regions create more of their own content outside the traditional broadcast and pay TV industries, streaming service providers can employ OTT M&C vendors to ensure quality services as they expand."
The firm said incorporating M&C solutions into workflows can help reduce quality-based OTT churn levels, help target customers that do not have legacy content in the broadcast and pay TV spaces, and help establish partnerships with vendors of ancillary products such as live events or online video platforms.