The broadcast value chain is undergoing a significant transformation as digital workflows, HD and traditional IT infrastructure revolutionise the TV industry. The movement is creating immense challenges and opportunities for broadcasters as they fight to adapt to multi channel and multi platform distribution. In a new report, 'The Evolving Broadcast Value Chain', Datamonitor, independent market analyst, says this transition will present a clear market opportunity for technology vendors and systems integrators in the near term. It predicts that spend by broadcasters in North America and western Europe on technology will reach an estimated $8.7 billion (E5.8bn) by 2012.
“The broadcast value chain market will see significant growth over the coming years as broadcasters look to upgrade their equipment to handle file-based workflows and HD content”, says Chris Khouri, Datamonitor's media and broadcasting analyst and the report's author. By the end of 2006, broadcast value chain market revenue in Western Europe and North America totaled $6 billion. Western Europe accounted for $2.8 billion and North America for $3.2 billion. Between now and 2012, the market will grow at a compound annual growth rate of 6.4 per cent.”
As broadcasters continue to migrate more of their mission-critical systems to automated file-based workflows, there are both opportunities and challenges with regards to complexity. Theses challenges primarily arise through a lack of interoperability and changing organisational structures, including personnel, management and physical movement of systems.
Over 65 per cent of respondents to Datamonitor's Customer Focus survey of 150 broadcasters consider standardising infrastructure technologies and simplifying their current broadcast systems as key strategies for 2007. Transparency is crucial for broadcasters as the depth and breadth of file-based workflows develop. Moving towards central archives and architecture is expected to provide a significant opportunity to combat systems silos and eliminate redundant functions.