Digital Content and OTT to Hit $154 Billion by 2019

By Tara Seals May 08, 2015

All that over-the-top (OTT) video and gaming is making for a whirling maelstrom of opportunity: The global digital content market is set to reach a staggering $154 billion annually by 2019, an increase of nearly 60 percent on 2014.

That’s according to a new report from Juniper Research, which found that mobile and online games would account for the largest share of content sales (38 percent of cumulative revenues), with game formats continuing to transition from physical to digital.

The firm said that the success of platforms such as Valve's Steam (which now has over 125 million active accounts worldwide) are driving the evolution, even as revenue from consoles diminishes, as players migrate their gameplay to tablets and higher-end smartphones.

Juniper also expects strong growth from so-called “lifestyle” services, led by dating apps like Match.com, eHarmony and Zoosk.

When it comes to content monetization, the pay-per-download model accounts for around 10 percent of mobile content revenues today—the bulk of revenue comes post-download with in-app purchases, advertising and the like. An even larger opportunity however lies in enabling that access, Juniper argued.

Image via Shutterstock

“Increased consumer desire for 24/7 access on any device leads to greater opportunities for players that can offer subscription-based, unlimited content streaming,” said research author Windsor Holden.

Unsurprisingly, the firm said that entrenched OTT players like Apple, Google and Amazon are the most likely to capitalize on the trends, since all of them are now offering cloud-based solutions both for personal storage and premium content access. These offerings enhance the value of hardware and apps offerings.

“If consumers are tied into multiple products from an OTT, those consumers becomes increasingly reluctant to churn away from one element of the brand, as he/she loses access to content across their devices,” Juniper noted.



TechZone360 Contributor

SHARE THIS ARTICLE
Related Articles

6 Challenges of 5G, and the 9 Pillars of Assurance Strategy

By: Special Guest    9/17/2018

To make 5G possible, everything will change. The 5G network will involve new antennas and chipsets, new architectures, new KPIs, new vendors, cloud di…

Read More

Putting the Flow into Workflow, Paessler and Briefery Help Businesses Operate Better

By: Cynthia S. Artin    9/14/2018

The digital transformation of business is generating a lot of value, through more automation, more intelligence, and ultimately more efficiency.

Read More

From Mainframe to Open Frameworks, Linux Foundation Fuels Up with Rocket Software

By: Special Guest    9/6/2018

Last week, at the Open Source Summit, hosted by The Linux Foundation, the Open Mainframe Project gave birth to Zowe, introduced a new open source soft…

Read More

Unified Office Takes a Trip to the Dentist Office

By: Cynthia S. Artin    9/6/2018

Not many of us love going to see the dentist, and one company working across unified voice, productivity and even IoT systems is out to make the exper…

Read More

AIOps Outfit Moogsoft Launches Observe

By: Paula Bernier    8/30/2018

Moogsoft Observe advances the capabilities of AIOps to help IT teams better manage their services and applications in the face of a massive proliferat…

Read More