Product and Service
Companies included in streaming video service sector in video &audio goods and service industry primarily operate digital video subscription service available to subscribers on internet –based devices.
Demand for Product and Service
As indicated by the typical company data, the demand for streaming service and content (including drama and film) has been strong and growing fast in the past three years thanks to shifting of viewers’ habits to internet-based media and reduced costs of stream subscription.
Sector’s Current, Trend, Causes behind trend, and Future
Current and Trend
Generally, the demand, from consumers, for streaming content (subscription) has been very strong and quickly increasing. Data proves the fast increase in number of subscribers and as well increase in spending on subscription in both US and international market.
Causes behind the trend
Changes (from TV to internet) in consumers’ viewing habit and increasing accessibility to internet video content may be the major reason for changes in streaming video booming.
Increasing demand for high quality content and lower costs of streaming subscription, in terms of absolute price, flexibility, network rentals, and more choices of content help bring more viewers for streaming video service provider.
As upward trend in this industry continues, many streaming companies may continuingly gain subscribers and revenue, which in return will enable them to acquire and produce more high quality contents and grab more clients from TV market.
Compared with OTT service, which uses integrated data center to lower distribution costs, the streaming service uses integrated subscribers to lower costs and thus owns better position at current technology condition.