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Introduction

Pay-TV OTT initiatives around the world indicate that OTT video is becoming increasingly core to service providers' product portfolios.

Highlights

  • While consumers are increasingly comfortable paying for premium content online, video streaming remains a low-ARPU business. Therefore, pay-TV OTT services should not be seen as vehicles for replacing traditional TV distribution with streaming alternatives.
  • Ovum forecasts Netflix will end 2016 with just under 95 million subscribers. However, despite the addition of more than 130 new international markets this year, Netflix's subscriber growth rate is falling and will soon hit mid-teens.

Features and Benefits

  • Compares the premium OTT strategies of pay-TV operators with that of leading OTT services such as Netflix and Amazon.
  • Evaluates the potential for pay-TV premium OTT video services.

Key questions answered

  • Why are pay-TV operators launching direct-to-consumer OTT services?
  • How will pay-TV OTT services fare against Netflix?

Table of contents

Summary

  • In brief
  • Ovum view

Recommendations

  • Pay-TV service providers
  • Broadcasters
  • SVOD services
  • Technology vendors
  • Network operators

Competing with Netflix: Pay TV goes OTT

  • Netflix's success lies in being able to fulfill a thirst for quality content at a low cost
  • Competing SVOD services: Amazon and Netflix
  • OTT not a side business anymore
  • Next-generation OTT services are already here
  • Pay-TV SVOD services are not limited to the US
  • Can pay-TV SVOD compete with Netflix?

Appendix

  • Further reading
  • Author

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