OTT ‘takeover’ to be slower than expected | OTT | News | Rapid TV News
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Cable and broadcast are going to around for some time while cord-cutting may be a lot slower than first thought and the bundling of OTT with other services will continue to dominate in terms of market share says research from software simulation company Concentric.
oncentric futurevido 24Feb2019
The Future of Streaming Video: How Entertainment Companies in the TV Industry Must Evolve report forecasts that widespread cord-cutting will only take place if OTT providers successfully integrate live content, a move that would result in a quarter of people cutting the cord by 2024. It calculates that subscriptions to OTT and broadcast will grow by 56% by 2024, beating out the subscriber growth of OTT alone, which is forecasted to grow by 17% to more than 15 million cordless users by 2024. Meanwhile, OTT bundled with other content options (such as cable or broadcast) is forecasted to grow 10 by 2024.

Concentric’s report also reveals that the bundling of OTT with linear alternatives including cable, broadcast, satellite and premium will possess the highest market share by 2024. It adds that bundling will continue to dominate because no single provider has successfully delivered the optimal customer experience. According to the report, price is the number one subscription driver, followed by variety of content including access to live programming and user experience.

By adding live content, streaming-only subscriptions could grow by an additional 87% in the event of improvement in news, sports and other live programming. In fact, if OTT-only options integrate live content, a quarter of people will likely have cut the cord by 2024.

“The way we consume content is changing,” said Dejan Duzevik, chief product officer and solution architect for media and entertainment at Concentric commenting on the Future of Streaming Video: How Entertainment Companies in the TV Industry Must Evolve report.Future of Streaming Video: How Entertainment Companies in the TV Industry Must Evolve report. “OTT providers like Netflix, Amazon and Hulu are disrupting the space, generating buzz about the death of traditional models like cable and broadcast. But consumers won’t be cutting the cord as soon as we might think. Concentric’s TV industry simulation forecasts that OTT subscriptions will continue to grow, but cable is here to stay—for now. Instead, we will see major changes across providers as cable, broadcast, OTT and satellite evolve to meet consumer demands.”