OTT on connected TVs to reach €2.4 billion by 2016

OTT video services on connected TVs will represent 17% of the total OTT market by 2016, according to research by French group IDATE.

The OTT video market on connected TVs will be worth €2.4 billion by 2016, with the majority of revenues coming from premium services rather than advertising. According to IDATE’s World Connected TV Market Insights report, developed European markets still show growth potential for pay TV services and the pricing levels will limit the impact of competition on linear TV offers from OTT services. But in central and eastern European countries, there is a higher growth potential from OTT on connected TVs.

“Managed network players – cable and IPTV providers, for instance – are holding one of the key drivers for the connected TV market development,” said Jacques Bajon, head of distribution video practice at IDATE’s. “They can continue their strategy of service distribution or open massively their networks to over-the-top services giving a boost to their commercial offers.”