Connected TVs to drive OTT past 300MN subs by 2019
DetailsEditor | 18 May 2015
Demand for choice within the over-the-top (OTT) sector is about to initiate an almost fourfold increase in subscriptions over a five-year period according to Juniper Research.
In its latest research, Mobile and Online TV & Video: OTT, IPTV and Connected Markets 2015-2019, Juniper calculates that OTT subscriber numbers for services such as Netflix and Amazon Prime will increase from 92.1 million in 2014, to 332.2 million globally by 2019.
Despite the huge popularity of second screens, in particular mobile devices, Juniper found that consumers will favour connected TVs as their primary screen, driven by a trend for watching long-form video on OTT subscription services. It also found that with the long lifecycle of TVs, previously so-called 'dumb' TVs will see an upsurge in becoming 'connected' due to the cost-effectiveness of devices such as Chromecast and Amazon's Fire TV Stick.
Adding further fuel will be the high uptake of games consoles and set-top boxes (STBs) that provide pre-loaded services. This is in contrast to smart TVs, which, asserts the analyst, currently offer poor operating systems and user interfaces.
The research also revealed that spend on video-on-demand (VOD) services will likely grow almost fourfold by 2019, with the Far East and China dominating the market by the end of the forecast period. In addition, IPTV subscriber numbers are forecast to grow by over 70% between 2014 and 2019.
Juniper sees continued growth in the North American market see it remain as the leading region in terms of subscriber numbers, but closely followed by the Far East, as this region emerges with new services and increased consumer interest.