The global OTT market has added approximately £20 million to the global video industry, according to the latest Boston Consulting Group (BCG) study.
'The Impact of OTT on Video Production Around the World' claims that OTT is growing by over 20 per cent annually, winning share over traditional TV, which is seeing revenues grow at a rate of two per cent.
“The biggest impact of the OTT market on the television and film industries is the removal of barriers – strategic, economic, and national – to the distribution of video content,” said John Rose, senior partner at BCG and co-author of the report.
“The demand for quality video content from consumers, and the number and variety of new services that OTT enables for meeting this need, is both increasing the market value of content and destabilising the roles and market values of linear networks and traditional aggregators.”
According to the research, approximately half of the £20 billion of annual OTT market revenues are controlled by five 'behemoths' - Facebook, YouTube, Netflix, Amazon and Hulu.
In total, BCG estimates that the global OTT market supports roughly 500 players, though most are focused on a single domestic market.