The Ott content market is estimated to be valued at US$ 132.68 Bn in 2023 and is expected to exhibit a CAGR of 14.% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
The Ott content market involves distribution of video, audio, games and communication through over-the-top media services. It enables access to streaming media services directly from broadband internet connection without involvement of multiple system operators. The major application of Ott content includes video streaming, music streaming, gaming and communication applications.
Market Dynamics:
The growth of the Global Ott Content Market Size is primarily driven by rising demand for video on-demand services and growing penetration of smart phones and mobile internet. According to World Bank, percentage of individuals using internet has increased from 36.7% in 2013 to 59.5% in 2020. Moreover, rapidly growing disposable income of consumers and declining data prices are facilitating adoption of Ott platforms. However, infrastructure challenges in developing regions hamper market growth.
SWOT Analysis
Strengths: The global Ott content market has grown significantly in past few years due to increasing digitization and access to high speed internet on mobile devices and other smart electronic devices. Ott content providers are investing heavily in creating original and high quality video content to attract more subscribers. Moreover, Ott service allows flexible subscription and cancellation options to users.
Weaknesses: Lack of adequate infrastructure in developing regions inhibits growth of Ott services. Additionally, piracy and illegal downloading of content affects revenues of legitimate Ott players.
Opportunities: Emerging markets provide huge untapped market potential due to growing internet and smartphone adoption. Launch of 5G network will further fuel demand. Also, bundling of Ott services with telecom operators' plans can boost subscriber base.
Threats: Stiff competition among existing players may lead to price wars and affect profit margins. Furthermore, stringent data privacy laws in some countries can restrict data collection and targeting.
Key Takeaways
The global Ott content market is expected to witness high growth, exhibiting CAGR of 14.% over the forecast period, due to increasing digitization and access to affordable high-speed internet. The covid-19 pandemic has further accelerated digital transformation and spurred demand for Ott services for entertainment and connectivity needs of consumers.
Regional analysis: North America dominated the Ott content market in 2023, accounting for over 30% share of the global market revenue. However, Asia Pacific region is expected to witness fastest growth during the forecast period owing to rising internet and smartphone adoption in major countries like China and India. Countries like Japan and South Korea also have highly developed digital infrastructure and presence of leading Ott players driving high demand.
Key players analysis: Key players operating in the Ott content market are Akamai Technologies, Apple Inc., Google Inc., Netflix, Microsoft Corporation, Amazon, Inc., Facebook, Inc., IBM Corporation, and Limelight Networks. Majority of revenue is derived from video streaming subscriptions. Companies are investing hugely in developing original content and partnering with telecom operators for subscriber acquisitions.
For More Insights, Read- https://www.trendingwebwire.com/ott-content-market-analysis-growth-forecast-outlook-2023-2030/