Wednesday, 14 January 2015

Video Transcoders: A Business-critical Technology in Global Media and Entertainment

Fierce competition and consumer pressure is giving a boost to over-the-top (OTT) content volumes, intensifying the demand for video transcoders globally. With media and entertainment companies looking to deliver OTT multiscreen offerings at par with traditional primary screen content, both in terms of volume and quality of experience, they are investing significantly in digital content workflows and multi-screen transcoders. As industry focus shifts from delivery to monetization, product differentiation will hinge on speed, quality, density, operating cost, flexibility and future-proof architectures.
New analysis from Frost & Sullivan, Global Media and Entertainment Video Transcoder Market, finds that the market earned revenues of $270.0 million in 2013 and estimates this to reach $959.8 million by 2020. While adoption of on-premise products and solutions will continue, software- and platform-as-a-service for multi-screen workflows will gain faster traction due to their agility, scalability and convenience.
“Ensuring high-quality, glitch-free transcoding across multiple generations of encodes and transcodes remains a crucial problem to solve, making this a technologically-intensive market,” said Frost & Sullivan’s Digital Media Analyst. “Managing scale and agility requirements in a cost-efficient manner is an added dimension of complexity that is driving upgrades and investments in the global media and entertainment video transcoder market.”
While uptake continues to increase, prices are decreasing due to commoditized silicon and, ironically, the rise in cloud-based models is limiting market growth. The inability to fully monetize online video content also affects profits, although niches such as live sports and catch-up TV are beginning to yield dividends in the form of subscription revenues and sold-out advertisement inventories. Over time, advances in high-definition, 4K, high efficiency video coding (HEVC), and the emergence of commercial solutions over home-grown systems will counteract these restraints.
The advancement of online video platforms and video origin servers in the traditional video transcoders market is another challenge. Companies are responding either through portfolio expansion or establishing strategic partnerships. Strong brands with massive distribution channels, but dated internal technology, are acquiring smaller companies with cutting edge technology and limited go-to-market resources.
“Operators are looking for video to become an ‘it just works’ solution as opposed to a technologically-intricate deployment requiring continuous oversight and enhancement,” concludedthe analyst. “Accordingly, video transcoder vendors need to position themselves as long-term outsourcing partners for operators, as opposed to the traditional strategy of differentiating purely on format support and compression efficiency.”

Sourcehttp://cablequest.org/news/technology-news/item/6391-video-transcoders-a-business-critical-technology-in-global-media-and-entertainment.html

Source: http://cablequest.org/news/technology-news/item/6391-video-transcoders-a-business-critical-technology-in-global-media-and-entertainment.html

No comments:

Post a Comment