-->

Dark Days Ahead for VOD? ABI Research Says Sales Will Slump

Article Featured Image

How people consume online video is changing, says ABI Research, and that means lower sales for vendors of video-on-demand systems. ABI notes that viewing is shifting to tablets and smartphones, forcing operators to keep up with new requirements: Content management systems (CMS) will grow quickly with the shift, while video-on-demand vendors will grow at a slower rate.

Naming names, ABI says that cloud-oriented vendors such as thePlatform, Synacor, and KIT Digital (known as Piksel post bankruptcy) are well positioned to take advantage to the change in viewing habits. On the other hand, equipment and system vendors including Arris, SeaChange, Cisco, and Ericsson will lose ground, ABI predicts. Its research says that CMS vendors will grow by 100 percent over the next 5 years, while VOD vendors will grow by less than 30 percent.

“VOD Equipment and system vendors have adapted their systems to work on commoditized IT-grade hardware and are enabling multiscreen IP delivery to sit alongside classic set-top box delivery,” says ABI practice director Sam Rosen. “However, they have failed to adapt to syndicated workflows.” The future belongs to video CMS solutions that look like premium online video platforms.

For more research on video delivery trends, see ABI's Cloud Video and Video Hardware Research Service page.

Streaming Covers
Free
for qualified subscribers
Subscribe Now Current Issue Past Issues
Related Articles

OTT Market Growing at 10% Worldwide, Totaling $51B in 2022

In a crowded field, pay TV operators add over-the-top options to compete, while streaming companies try to stand out with excellent quality of service.

Artificial Intelligence Doubles Video Analytics Market in 5 Years

Telling video providers how their content is doing isn't enough. Tomorrow's video services will rely on AI and machine learning to improve performance.

Operators Look for Acquisitions to Drive OTT Growth: ABI Research

The current wave of acquisitions and consolidation is all about going to market faster with new over-the-top services. That leaves smaller players scrambling.

OTT Revenue Grew by 60 Percent in 2012, Says ABI Research

The worldwide OTT economy is over $8 billion, but it will expand greatly in the next few years.

Companies and Suppliers Mentioned