Global online TV and video revenues will reach US$28.72 billion (€22 billion) in 2017, a significant increase from the $3.79 billion recorded in 2010 and the US$11.14 billion expected in 2012, according to a new report from Digital TV Research.
According to the Online TV and Video Forecasts report, the over-the-top TV sector is close to a steep growth phase as key players expand globally, companies consolidate and new partnerships are formed.
By 2017, 480 million homes in 40 countries will watch online television and video, up from 182 million in 2010, according to the report. By 2017, 64.6% of the world’s 745 million fixed broadband homes will view television and video online, up from 33.5% of the 473 million fixed broadband total in 2010.
The report finds that online TV and video advertising is the key driver in the OTT sector, recording revenues of US$6 billion in 2012, up from US$2.4 billion in 2010. Rapid advertising expenditure growth will continue, to reach a global total of US$14.7 billion in 2017. However, advertising’s share of total OTT revenues will fall from 65% in 2010 to 51% in 2017.