The streaming video industry is racing through its adolescence and through an age-appropriate growth spurt as new OTT services launch and traditional content owners and distributors plan their entry into a market nowhere near full grown.
Consider: In 2017, there were some 401 million OTT subscribers worldwide, with researcher IHS Markit forecasting 650 million in three years. Revenues will follow and will top $120 billion by 2022, with more than 25% of the world’s households subscribing to an SVOD service, posits Juniper Research.
That market surge of consumer adoption is creating a ripple effect in the content world in the form of growing original content development, an expensive and long-term response to consumer demand. Netflix, Amazon Prime and Hulu alone are expected to triple their combined content investments by 2022.
Yet the ‘Big Three’ make up just a small portion of the content spend expected in the next five years by the hundreds of other content creators globally. In Ooyala’s Q1 2018 Video Index, our top customers nearly tripled their content assets over 12 months, with long-form content increasing 189%, medium-form content increasing…
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