Published   Rethink TV

Cloud and Software Video Transcoding – Revenue Forecast 2017-2022

Cloud Video Transcoding – Traditional video encoding and transcoding technologies have transitioned to a software-based ecosystem, which, in turn, is being swallowed into a cloud world. These underlying technologies define everything that is possible in video today, and the changing face of this marketplace is pivotal to what is possible with video in the future – and more significantly, determine who will make it possible.

Global transcoding spend by the top 157 global providers of OTT video services will grow to above $2.1 billion by 2022, rising from just over $1 billion in 2017. We have analyzed the changing balance of this revenue opportunity between live and VoD content, between operators and pure play providers, as well as its regional spread.

Disruptive elements in emerging technologies and market trends have been analyzed and discussed in this report, providing insights from key players in the market.

Conclusively, transcoding has stopped being capex and has become opex. The real evidence of the shift to software only encoding has been the success and sale of Elemental to AWS and the acquisition of Envivio by Ericsson. Another key finding is that this market growth will be driven strongly by telcos, as mobile-first viewing becomes an increasingly popular format for TV viewing, closely followed by the cablecos which are also spending big on OTT investments.

This report is aimed at anyone connected with the video industry – pay TV operators, telcos, broadcasters and vendors in both software and hardware.

Companies discussed in this report and/or interviewed are: Akamai, Amazon, Ambarella, AOMedia, Apple, Arris, AT&T, AWS Elemental, Baidu, BAMTech, Brightcove, BT, Comcast, Dell, Deutsche Telekom, Disney, Dolby Labs, Ericsson/Envivio, Facebook, Google, GoPro, Harmonic, HEVC Advance, Hulu, Imagine Communications, Intel, Liberty Global, Keepixo, Korea Telecom, Media Excel, Microsoft, Mozilla, MPEG-LA, Netflix, NHK, NTT DoCoMo, Samsung, Sky, Twitter, V-Nova, Verizon, Vodafone, Warner Brothers, and Wowza.

This report costs $850 for an individual license, or $1,700 for a corporate license. Alternatively, this report comes free as part of the Rethink TV service which costs just $2,500 annually and comes with 100 operator profiles and a monthly forecast about an aspect of video technology

Introduction  p.3

Transcoding Revenue Forecast 2017 – 2022:  p.4

Total global revenues  p.4

North America  p.6

Western Europe  p.8

Central & Eastern Europe  p.9

Asia Pacific  p.10

Latin America  p.12

Conclusion – Operators vs. Pure Play  p.13

Trends & Discussion:  p.14

The AWS Effect  p.15

Vendor Insights  p.16

Netflix and the not so chilled codec royalties scrap   p.19

Methodology  p.21

About Rethink Technology Research  p.22