Verizon reportedly will enter the OTT fray when it launches a nationwide TV service this summer. The service provider is delving into a competitive market, where cable operators, CSPs and less traditional businesses vie for subscribers and eyeballs.
The service provider has been inking deals with television networks to secure streaming rights in order to offer dozens of channels this summer, according to Bloomberg. The service would be separate from Verizon's FiOS home TV and go90, a YouTube-like streaming video service for teens, Friday's article said.
Verizon will be only the latest to enter the OTT world. "It is an increasingly crowded market. How it will play depends upon Verizon's pricing, content selection, customer interface and bundle specifics," said Kamalini Ganguly, a senior analyst in Ovum's Broadband and Multiplay team who spoke to UBB2020.
This crowded market means good deals for consumers -- both on price and content -- as cable operators, service providers and OTT companies compete, partner and infringe on each others' traditional territories. It also generates the potential for customer confusion, given the growing array of available options and competitors.
The reason for so much competition is clear: US adults spend more than five hours each day watching video and 64% of US households subscribe to an OTT video service, finds a Comcast Technology Solutions infographic.
US pay-TV providers lost 1.7 million video customers last year versus a loss of 1.1 million in 2015, according to MoffettNathanson. And one-fifth of existing cable subscribers are dissatisfied with their current service, Parks Associates research finds.
Content consumers have more choices than ever as traditional cable companies, service providers and others compete for viewers by reshaping the OTT market, shrinking offerings into so-called skinny bundles and pursuing deals directly with content creators. Here's a look at some recent moves and news from the intersecting worlds of OTT and pay-TV.
About two years ago, Dish Network began selling Sling TV services, a skinny bundle that starts at $20 per month. Others quickly followed suit, and Sling TV and AT&T's DirecTV Now accumulated about 900,000 subscribers in 2016, MoffettNathanson estimates.
That figure does not include subscribers to Sony's PlayStation Vue. Alphabet YouTube is expected to enter this market in the next few months, followed by Hulu.
Non-profit industry organization Broadband Forum this week unveiled new standards and new Open Broadband initiatives to support operators' goal of interoperability for lower costs and accelerated deployment.
When the Broadband World Forum (BBWF) takes over the Berlin Messe from Oct. 24-26, writes Andy Fry, a major focus will be how companies can monetize services – a healthy preoccupation for any operator in this fast-evolving sector.
When offered the choice of selecting individual components of a smart home solution, European and US broadband users both chose fire alerts and emergency notifications as the most important options, a Strategy Analytics study finds.
5G promises connectivity 10 to 100 times faster than 4G networks, with latencies less than 1msec, making real-time applications such as tactile Internet useable over mobile networks for the first time. However, mobile operators will need to deploy ten times as many radio sites, each with highly reliable plug-and-go multi-gigabit connections, to achieve that level of performance.
In this UBB2020 webinar, Heavy Reading's Gabriel Brown and ADTRAN's Ryan McCowan will:
Discuss 5G densification strategies and their network impact
Outline the different requirements for backhaul and fronthaul needed to support 5G densification strategies
Explore next-generation PON-fixed access technologies and software defined networking principles as emerging solutions to accelerate 5G densification
Outline how NG-PON2, the next-generation multi-gigabit fiber technology, supports the x-haul (fronthaul, backhaul and crosshaul applications) requirements of 5G
NG-PON2 broadband access technology is already in trials with multiple major network operators but is it too early for the commercial deployment of this next generation ultra-broadband technology? In this UBB2020 live radio show, ADTRAN's Kurt Raaflaub provides an update on NG-PON2 developments and chats to Light Reading's Ray Le Maistre about how this technology could play a role in production access networks in 2017.