Eastern European OTT revenues set to triple by 2023 | Media Analysis | Business | News | Rapid TV News
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With local operators taking full advantage of the relatively diminished presence of the global SVOD giants in the region, OTT TV episode and movie revenues for 22 Eastern European countries are set to balloon over the next five years Digital TV Research.

DigTVRes EastEuroOTT 21Aug2018In its Eastern Europe OTT TV & Video Forecasts report, the analyst calculates that such revenues will reach $3.51 billion in 2023, more than triple the $1.01 billion recorded in 2017.

Russia is projected to account for two-fifths of the region’s over-the-top revenues by 2023, with Poland generating a further 23%. From the $2.495 billion additional revenues between 2017 and 2023, Russia is set to provide $994 million, with Poland bringing in a further $537 million. Driving these revenues will be an estimated 22.1 million SVOD subscribers by 2023, also more or less triple the 7.1 million recorded at the end of 2017. From the 15 million additional subscribers during the period, Russia is set to generate five million and Poland nearly four million.

SVOD is also key to revenue generation for the market. Digital TV Research says that the subscription on-demand sector became the region’s largest OTT revenue source in 2017. SVOD revenues are forecast to reach $2.25 billion by 2023, 64% of total OTT revenues, up from $515 million in 2017 which represented just more than half 51%.

Going forward, Russia will likely overtake Poland to become the SVOD revenue leader in 2018 with revenues likely reaching $766 million by 2023, just over a third of the regional total. Poland will provide another $598 million (27%). The two countries’ joint share is projected to fall from 68% in 2017; revealing strong take-up in other countries.

Commenting on the Eastern Europe OTT TV & Video Forecasts report,  and in particular why Russia will be successful, Simon Murray, principal analyst at Digital TV Research, said: “Foreign ownership restrictions on OTT platforms limit companies such as Netflix and Amazon Prime Video. Luckily for Russia there are plenty of home-grown platforms.”