Mobile video revenue to hit $25 billion6 July 2016
Worldwide revenue from mobile video will reach $25 billion by 2021, according to the latest Strategy Analytics research.
‘Global Mobile Video Forecast: 2010-2021’ also predicted that users of mobile video will more than double to two billion by the end of 2022 – equal to 36 per cent penetration among global mobile users.
The report stated that growth in mobile video revenue will be driven by advertisers seeking to reach an increasing audience of users that are consuming video on their smartphones and tablets.
Wei Shi, analyst, Wireless Media Strategies noted, “The strongest growth in mobile video revenue will come from advertising-funded content as advertisers look to catch up with the increasing quantity of video consumption. Advertising spending on mobile video will grow at a 28 per cent CAGR in the next five years.”
Nitesh Patel, director, Strategy Analytics, added, “Despite growing video consumption on mobile devices, advertiser expenditure on mobile video has yet to catch-up with this growth.
“Currently, social networks have launched live video streaming as a tool to increase user engagement and to extend the time spent by users while inside of social networks, but we expect direct monetisation to follow.”