Global OTT (Over the top ) Market

Introduction
A digital media service that is made available directly to subscribers over the
Internet is known as an OTT (Over-The-Top) media platform. OTT avoids
businesses that have previously acted as a regulator or distributor of materials
similar to string,satellite TV channels, as well as radio. In order to eliminate
monopolistic competition, it has also been extended to no-carrier Cellphones,
which charge all dispatches as data. Another term for OTT is a new breed of
ultramodern TV networks that, like conventional satellite or cable TV
providers, transmit live channels and direct speciality channels over the open
Internet as opposed to a private network of user-owned devices like set-top
boxes.
Our daily habits are changing quickly as technology develops. There would
have been one TV everyone would have sat and watched it simultaneously if
there had been one in every room, but now that we live in the OTT era when
everyone has a smartphone and can access any kind of video whenever they
want, this is no longer the case.

Market driver
Several important elements are propelling the OTT (Over-The-Top) platform
market's expansion, including:

Increasing customer demand for on-demand content: OTT platforms are well-
positioned to address the growing consumer demand for customized on-demand
content experiences. OTT platforms are becoming more and more popular as a
result of the availability of content on any device, anywhere, and at any time.

Growing high-speed internet accessibility: More individuals can now access

OTT platforms thanks to the growth of high-speed internet infrastructure. As a
 result, more people are using streaming services to view high-quality video
without having to deal with buffering or other technical difficulties.
The proliferation of connected devices: it has made it simpler for users to access
OTT content while on the go. These devices include smartphones, tablets, smart
TVs, and other connected devices. Because consumers now have more options
for how and when to consume content, OTT platforms are becoming more and
more popular.

Original content: A lot of OTT platforms have made significant investments in

producing original material, including films and TV series. Because to this, they
have been able to set themselves apart from traditional media businesses and
draw in a committed user base.

Cost-effective pricing: OTT platforms often give more cheap pricing

alternatives when compared to traditional cable TV and satellite providers. They
are now appealing to consumers who are trying to reduce the lead on traditional
pay-TV services because of their low cost.

Challenges
Although OTT (Over-The-Top) platforms suffer a number of difficulties, these
are some of the most significant:

1. Content acquisition - Acquiring high-quality content is one of the main

problems facing OTT providers. Obtaining the rights to well-known and
exclusive material becomes increasingly challenging as industry rivalry rises.

2. Monetization - As OTT platforms have grown in popularity with customers,

they have had difficulty figuring out how to effectively monetize their
 offerings. The most prevalent business strategy is the subscription model,
however other platforms also rely on advertising income or a mix of the two.
3. Content Piracy - Piracy of content is another difficulty for OTT services.
Users frequently stream content illegally, which can harm the platform's
income and relationships with content producers.

4. Regional variations: As OTT platforms grow internationally, they must

negotiate various cultural and governmental situations. This may call for
considerable expenditures for content localization, translation, and adherence
to regional laws and regulations.
5. User retention OTT platforms need to figure out how to keep users interested
and coming back for more. This necessitates a thorough comprehension of
user preferences and behaviour, as well as a dedication to providing a top-
notch user experience.

Impact of COVID - 19
The current Covid-19 pandemic and nationwide lockdown has not only slowed
business development and fiscal output, but it has also prompted a shift in
people's attitudes about product and service consumption, notably digital-based
consumption. The shift is the change in consumer behaviour brought it’s been
hypothesised that a considerable number of these societal changes aren’t
temporary; they’re likely to last a long time. In 2020, 2021, and 2022, the
COVID-19 pandemic will have a significant influence on the film business,
replicating its effects throughout other creative industries.
The OTT (Over the Top) platform business has benefited from the COVID-19
pandemic. The consumption of content on OTT platforms has increased as a
result of people being confined to their homes, despite a decline in box office and
traditional media. OTT platforms have grown as a result of the dearth of new
movies playing in theaters. Globally, users watch OTT video for an average of
6.8 hours per week, with the United States leading all other countries with 8.55
hours, according to the Arizona-based Limelight Networks. The COVID-19
pandemic's commencement had a favourable effect on the OTT market since
viewers watched more video on OTT devices at home.

REVIEW OF LITERATURE
1. Deloitte, Digital Media (2020): According to a Deloitte report titled “Digital
Media: Rise on-demand Content,” the proliferation of internet-enabled digital
devices capable of supporting digitalized information has led to an increase in the
consumption of digital content worldwide. This trend can be seen in India on a
variety of channels, including audio, video, news and music.

2. Brett Hutchins (2019): Live streaming services will disrupt the market for
coverage rights and the expansion of media sort websites, he said in Over-The –
Top Sport. Tensent, Amazon Prime Video, and DAZN are creating new norms
for how media sport is available and curated, signifying a fundamental shift in the
global market for sport broadcast rights and the media systems that transmit live
content.

References
1. Delotte(n.d). (2020, April 15). Digital Media: Rise of On- demand Content.
Retrieved from
https://www2.deloitt.com/content/dam/Deloitte/in/mediatetelecommnicatios/in-
tmt rise of on demand-content.pdf
2. Hutchins, B. (2019). "Over The Top sport: live streaming services, caning
coverage rights markets and the growth of media sport portals' Media,culture and
society. SAGE JOURNALS,