03.11.2021 Бизнес

Stable Growth Predicted in OTT Services Market in Coming Years

The global over-the-top (OTT) services market reached a value of $92 billion in 2020 and it is predicted to exhibit huge expansion from 2021 to 2030 (forecast period). The market is being driven by the increasing penetration of the internet, rising internet speed, and soaring use of smart devices across the world. Smart devices are bringing users closer to online content and thus, their increasing penetration is positively impacting the worldwide popularity of OTT services.

This is subsequently propelling the demand for OTT services. Depending on type, the OTT services market is divided into music streaming, online gaming, video-on-demand (VoD), and communication categories. Out of these, the online gaming category is predicted to dominate the market in the coming years. Online games are widely played on various internet-connected gaming consoles, such as Xbox One, Wii U, and Sony Playstation 4. Moreover, due to the high costs of these games, this category is generating huge revenue.

Additionally, the high convenience of usage and portability of tablets and smartphones and the emergence of smartphone and tablet apps that can stream and download high-quality content are propelling the consumption of OTT content on these devices. Globally, North America dominated the OTT services market in 2020. This was primarily because of the high internet penetration and the high disposable income of people, which enabled them to buy subscriptions of premium and high-quality content in the region.

In the coming years, the Asia-Pacific (APAC) region will be the fastest-growing region in the OTT services market, as per the estimates of P&S Intelligence, a market research company based in India. This is ascribed to the surging population, soaring utilization of smartphones, and increasing penetration of the internet, especially in emerging economies, such as China and India. For instance, according to the World Bank, around 41% of the population in India had access to the internet in 2019.

Thus, the market is set to demonstrate rapid expansion in the coming years, mainly because of the increasing penetration of the internet, surging use of smartphones, tablets, and laptops, and rising consumer preference for online content, owing to the expanding network coverage across the world.