The global video streaming market was valued at $245.3 billion in 2018, and it is expected to generate a revenue of $688.7 billion by 2024. The market will also demonstrate a CAGR of 19.1% from 2019 to 2024 (forecast period), as per the estimates of the market research company, P&S Intelligence. The increasing penetration of the internet and the soaring popularity of various social media platforms are the major factors driving the expansion of the market across the globe. 

According to the World Bank, around 57.0% of the people all over the world had access to the internet in 2019. This propelled the demand for over-the-top (OTT) services, as people are increasingly preferring to watch content on OTT platforms. For instance, in economies, such as the U.S., over half of the population or around 160 million people are choosing OTT services, with over 180 million people in the country using smart televisions (TVs) at least once every month. Additionally, people in the U.S. are rapidly cancelling their Pay TV subscriptions. 

Read More: Video Streaming Market Analysis and Demand Forecast Report

For example, more than 1 million consumers cancelled their Pay TV subscriptions during the third quarter of 2018. Furthermore, pay TV service providers recorded the loss of 5 million subscribers over the last 5 years. Apart from the U.S., the trend of people cancelling their cable connections and choosing OTT services is gaining traction in countries, such as Canada, the Philippines, the U.K., and Germany. Besides these factors, the surging popularity of video streaming in developing countries, such as Iran, South Africa, South Korea, and India is also fueling the progress of the video streaming market. 

Depending on type, the market is divided into linear and non-linear categories. Of these, the non-linear category is predicted to demonstrate higher growth rate during the forecast period. Rapid advancements in the telecom and technology infrastructure are driving the advancement of this category. When offering is taken into consideration, the market is classified into solution and service. Of these, the solution category held larger share in the market in the past, due to the high requirement for OTT services.

Geographically, the Asia-Pacific (APAC) region is expected to be the fastest-growing region in the video streaming market throughout the forecast period. The increasing number of internet users and low costs of data are the main factors fueling the growth of the market in the region. According to various reports, the penetration of internet users stood at 45% in 2018, which was much higher than the share recorded in 2014 (35%). Moreover, China is home to the largest population of internet users (800 million) in the region. 

China is currently dominating the APAC video streaming market and this trend is predicted to continue in the upcoming years as well. According to various reports, around 99% of the households in China owned TV sets in 2018. Additionally, there are presently more than 2,000 TV stations in the country. Furthermore, in 2018, the online video industry in the country reached 609 million users and recorded around 76% penetration in June 2018, due to the intense competition between Youku, iQiyi, and Tencent Video.

Therefore, the market will exhibit rapid expansion in the coming years, mainly because of the rising internet penetration, mushrooming use of smartphones and smart TVs, and the growing popularity of OTT services all over the world.