Global spending on consumer video media services will total $314 billion in 2017, a 4.2 percent increase from 2016, market research firm Gartner said on Friday. According to Gartner, Pay-TV services is the largest spending segment and is on pace to represent 90 percent of the total market, totaling $282 million in 2017. Also Read - Ola to offer free oxygen concentrators to the needyAlso Read - Safer Internet Day 2021: Here's how you can ensure your online security
Moreover, Internet-delivered linear TV services have already launched in India and the Middle East and these services will commence across all emerging regions by 2018.
“We estimate that incentivised by lower prices, one million households in emerging regions will enter the pay-TV market through an Internet TV service by 2020,” said Fernando Elizalde, Principal Research Analyst at Gartner.
In 2017, emerging Asia/Pacific (20.8 percent) and Middle East and North Africa (17.4 percent) are forecast to record the highest growth in end-user spending on consumer video media services. The availability of premium-priced 4K content will increase end-user spending on transactional video on demand (T-VOD) content in mature regions, from $160 million in 2017 to $400 million by 2020, the findings showed.
In emerging regions, increased competition in the T-VOD marketplace from unmanaged providers and increased threats of piracy will put negative pressure on T-VOD prices. End-user spending on T-VOD services in emerging markets will decrease gradually each year, starting in 2017, by about $60 million to almost $445 million by 2020. ALSO READ: Airtel seeks TRAI s permission before video content deal
Global consumer spending on subscription-based video on demand (S-VOD) services will total $18.7 billion in 2017, an increase of 28 percent from 2016, Gartner said.