Five factors driving OTT in emerging markets

The opportunity for OTT video to prosper in emerging markets is strong. In order to take advantage of this, telcos need to take into consideration five factors, according to a new from Pyramid Research.

The report – that examines the growth of OTT video in markets across Latin America, Asia-Pacific, Eastern Europe and the Middle East – identifies the five factors as being: content, technology, partnerships, payments and regulations.

Content is highlighted as the most important factor for OTT success.

“In emerging markets, the OTT model is enabling telcos, pay-TV providers and media companies to respond to the demand for video streaming services on multiple viewing platforms, from laptops and mobile phones to the latest connected devices,” says Daniele Tricarico, Analyst at Pyramid Research.

“Changing conditions in the content licensing market, as well as new enabling broadband technologies, are opening up opportunities in many emerging markets, from Latin America to Central and Eastern Europe. Faced with saturated content markets in mature economies, global studios, aggregators and TV channels are looking for new markets to license their content. At the same time, the increasing availability of enabling technologies, such as CDNs and adaptive bitrate streaming, means that legacy infrastructure is no longer a deterrent to OTT video and that a consistent single-digit, megabit-per-second DSL connection is enough to support most video streaming activities,” Tricarico notes.

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