Homemarket News

OTT platforms may see consolidation over next five years

This article is more than 3 year old.

OTT platforms may see consolidation over next five years

Mini

The rapidly increasing over-the-top (OTT) space is likely to see consolidation over the next five years, according to industry experts.

OTT platforms may see consolidation over next five years
The rapidly increasing over-the-top (OTT) space is likely to see consolidation over the next five years, according to industry experts.
"In the OTT/ digital space, the number of players will
shrink and I predict the maximum number of players that will
remain in this space will not be more than 10 in the next
three to five years. Advertising money is going to get even
more fragmented and with increasing players it's going to get
worse," media veteran Raj Nayak said at the FICCI Frames
event.
He adds, "I think that's when the real realisation of value will
happen both in terms of subscription and advertising."
Nayak, who recently quit as Viacom 18 Chief Operating
Officer noted that digital players have devalued their
product.
A recent report by global management consulting firm
Boston Consulting Group expects the OTT market to be USD 5
billion by 2023. It also noted that the number of players in the
Indian OTT market had grown from 9 in 2012 to 32 players in
2018.
It had also noted that all platforms struggle with
retention of consumers, and on an average 50 percent of OTT
apps installed are uninstalled in the first seven days of
installation.
Broadcasters have done a good job with OTT, very
differently from anywhere else in the world, but we
unfortunately created a catch-up TV VoD platform and this is
where we have come in late than the Amazons and Netflix of the world, he said.
He further pointed out that this is the only place
where the industry was a little slow although it was strategic
in nature and haven't gone as fast as the Netflix of the
world.
On whether OTT and television will continue to coexist,
Star India president and head Hindi GEC Gaurav Banerjee said
that streaming will not kill television. He further added that there is an opportunity of a billion screens if the number of phones and televisions are added.
next story

Market Movers

Currency

CompanyPriceChng%Chng