The global OTT streaming market is expected grow from US$104.11 billion in 2019 to $161.4 billion in 2020 at a compound annual growth rate (CAGR) of 55.0%, , according to Research and Markets.
The research group says the exponential growth is mainly due to the lockdown owing to the COVID-19 outbreak during which the subscription to various OTT streaming channels and viewership has increased. The market is then expected to stabilize and reach $169.4 billion in 2023 at CAGR of 14.0% from 2021.
The over the top content (OTT) streaming market consists of sales of over-the-top content (OTT) streaming services and related products that provides streaming video through internet. Examples of well-known OTT players include Apple TV+, iTunes, Netflix, Roku, Hulu, Amazon among others.
Research and Markets says the streaming on 4K televisions is a key trend in the OTT streaming market. A 4 K resolution is typically 3,840x 2,160 pixels and is also known as UHD or Ultra-High Definition. This is the highest level of high-definition video quality available to film, television and sports viewers these days. Nowadays most of the latest TVs are 4 K compliant. They are extremely costly but for under $1,000 (or even under $500) we can find a decent 4 K tube.
Major streaming services such as Netflix, Disney+ and Amazon Prime Video have included premium 4 K and 4 K content in their services. FuboTV became the first live- TV to provide coverage in 4 K with HDR in July 2018. The only sports that take advantage of this improved visual quality were World Cup matches in 2018, but later the company added some NCAA football matches in 4 K.
However, the threat from piracy and illegal streaming is a key factor hindering the growth of the OTT streaming market, says Research and Markets. Streaming live TV channels leads to the OTT players’ bulk of traffic.
They are also subject to privacy concerns in live streaming. OTT players are finding it increasingly difficult to monitor piracy and illegal streaming with the growth of broadband. The illegal sale of video content in 2019 cost the industry $9.1 billion, with analysts predicting it would hit $12.5 billion by 2024.