A sustained boom forecast for global online TV and video

Wednesday, October 31st, 2012
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Global online TV and video revenues will reach $28.72 billion in 2017, a massive increase from the $3.79 billion recorded in 2010 and the $11.14 billion expected in 2012, according to a new report from Digital TV Research. The Online TV and Video Forecasts report (which covers fixed broadband developments – not smartphones or tablets) explains that the over-the-top TV sector is on the brink of a huge take-off as the key players expand globally, companies consolidate and as new partnerships are announced on a daily basis.

By 2017, 480 million homes in 40 countries will watch online television and video, up from 182 million in 2010. By 2017, 64.6% of the world’s 745 million fixed broadband homes will view television and video online, up from 33.5% of the 473 million fixed broadband total in 2010.

Subscription, Rental, Download to own (DTO), Advertising

Online TV and video advertising is the key driver in the OTT sector, recording revenues of $6.0 billion in 2012, up from $2.4 billion in 2010. Rapid advertising expenditure growth will continue, to reach a global total of $14.7 billion in 2017. However, advertising’s share of total OTT revenues will fall from 65% in 2010 to 51% in 2017.

USA, China, Japan, UK, Germany, France, Canada, Italy, Others

The US will remain the dominant territory for online TV and video revenues. However, its share of total revenues will drop from 53% in 2010 (when the US recorded revenues of $2,001 million) to 38% in 2017 ($10,952 million). China’s online television and video revenues will rocket from $49 million in 2010 to $2,057 million in 2017 (just ahead of Japan to take second place).

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