Over-The-Top(OTT) is the one of the most wanted services of Media Streaming Industry in this Corona Virus Pandemic Season. In this blog, you will come to know all about OTT and Business Opportunities you get through OTT.
What is ott (over the top) understanding the video streaming app development
1. What is Over-The-Top (OTT)? Understanding The
Media Streaming Environment
There have been several revolutions that took place so far in the mode of streaming the media content to
the people. In the past, the broadcast television signals from the television station have been received by
the television receiver. This terrestrial television had an Antenna that was mounted on a mast of the
owner’s house to receive the signals.
Then the introduction of cable TV connections made it better for the users to experience the next level of
video streaming. As a next evolution dish and setup boxes have been introduced. This is the one we are
all using mostly. In the order, Over-The-Top(OTT) is the 4th revolution that uplifted the media streaming
industry to the next level.
Let us discuss What is OTT, the example of OTT apps, the bright future for the mobile applications that
incorporate the OTT economy. Opportunities in the OTT, etc.
What is OTT?
OTT stands for Over the Top. It is used to describe the emerging business models like OTT Apps and
Devices that utilize the Internet to bypass the traditional infrastructures. It refers to the content of film
and television provided via a high-speed internet connection instead of a cable or satellite provider.
2. The viewers who dislike watching the scheduled content of programs are often referred to as cord-cutters.
It does not mean that OTT is free as the word bounds the services like Netflix, Amazon Prime, HBO
Now, etc. This OTT service bypasses cable, broadcast, satellite televisions platforms. It is already started
to occupy the media streaming environment and becoming the future of entertainment.
Why Use OTT?
People love the OTT content that’s why many of us have the Netflix subscription even though if we also
have a cable TV subscription in our house. Let’s see few reasons why OTT content is more attractive than
the traditional media delivery system.
Affordable Cost
Streaming services are considered to be pocket friendly comparing to the traditional cable prices.
Amazon Prime costs $12.99 for a month and $119 for a year. Netflix offers three streaming plans: Basic,
Standard, and Premium. Basic streaming plan costs $8.99 per month, Standard streaming plan costs
$12.99 per month and Premium costs $15.99 per month
Exclusive Content
Netflix and Amazon Prime telecast their own content which will not be available in any other video
streaming apps. There is a sperate fan base for these original content streamed in Amazon Prime, Netflix,
HBO Go, Disney+ having an exclusive streaming license.
Accessible with Multiple Devices
This is one of the coolest things. People can enjoy the videos streamed from any devices like
smartphones, tablets, Smart TVs, etc.
Understanding OTT Even More
OTT had become popular with the sharp growth of Netflix. The concept of video streaming is the success
for Netflix as it segued from telecasting the old movies and television shows to developing unique content
and distributing that content s a licensed one very quickly. Its fast-growing popularity increased more
among the younger audiences. Think that the services of OTT fit into three distinct services.
OTT Services
OTT Content
OTT Devices
3. Let’s discuss these distinct services below.
OTT Services
Services that are managed offline using tangible and even physical materials are disrupted by the OTT.
There are several examples of the OTT services like if someone wants to buy the share of stock, in the
traditional way, your stockbroker should be physically present there to should your share numbers and fix
the price. The counterparty will accept or reject based on the price. But now, the stocks are purchased
online and accepted nearly instantly - bypassing the traditional system and letting many other participants
take part and raise their voice.
OTT Content
OTT Content - Instead of paying for the cable operators to deliver the content, people started using online
video streaming apps like Netflix, Hulu, and Youtube TV. It lets people watch programs in their free
hours and even they can pause, forward, backward the video.
OTT Devices
Some of the OTT Devices are Roku, Chromecast, and Fire Stick. These devices allow customers to play
their favorite streaming content on their TVs with an extraordinary experience. Here is a video below
were you can know all about using the Fire Stick.
How is OTT Content Delivered?
It requires only few thinks to deliver the content. An internet connection and a hardware device. Mobile
phones and tablets can download OTT apps from the stores make use of it. Personal computers, smart
TVs, Apple TV can also deliver the OTT contents.
Suitable Contents of OTT Solutions
Video - This is the most popular and widely watched version of OTT media services. Example: Netflix,
Amazon Prime, Youtube, etc.
Audio - Audio Streaming is also one of the OTT media services that include internet radio stations.
4. Messaging - Some of the apps make use of the OTT to make calls and send SMS and MMS. In the
traditional messaging system, people send messages using cellular service. But think today, there are
many messaging apps that make use of OTT to send and receive messages. For Example iMessage,
WhatsApp it lets users send and receive messages when they are connected to the Internet.
Voice Call - Platform like Skype is the best example of the voice calling through the OTT media service.
Benefits of OTT Service
Highly Targeted Advertising
Customer Segmentation
Increased Efficiency
Is OTT Replacing the traditional Media Distribution?
Yes, off course! The OTT services make the practice of canceling TV or phone subscription to focus on
the online video streaming apps like Netflix/ Amazon Prime/ Youtube. It will not totally cut off and take
away the traditional cable services. As of 2019, it is estimated that there are 21.9 million American houses
have cord-cutting cable services. And by 2023 it is excepted to reach 34.9 million. The leftover 86.5
million houses are still using cable services which will also reduce to 72.7 million by 2023.
Opportunities in OTT
You can build a Video Streaming App like Netflix, Amazon Prime, etc or ad-based platforms like
Youtube and generate revenue using this. After building the app get the license to stream the original
contents in your platform. In this coronavirus pandemic season, here is a huge business that is hidden.
Let me explain to you.
It is not possible and safe to open theatres and release movies. So what we can do with the films which
are ready to release? We cannot simply waste the efforts and money spent on producing those movies. So
the producers can sell those movies to any one of the video streaming app holders who can stream the
original content. Every time the end-users watch that movie the producer earns a particular percentage of
money. So everyone is profited here.
So if you own a video streaming app you can get those movies and stream in your platform. Your
subscribes will automatically increase when you release movies of popular actors or directors. In
upcoming months it is expected that most of the movies are going to be released in video streaming apps
like Netflix, Amazon Prime, etc. So make use of the golden opportunity.
And even you can build a mid-ware like Amazon’s Fire T VStick which is a new device joining the ranks
of home entertainment streaming technologies. The Fire Stick plugs into your TV’s HDMI port giving
you access to your favorite TV shows, movies, subscription services, music, photos, and games. The Fire
TV Stick houses all of your favorite content and is easily transportable, so you can take your media
anywhere!
5. Conclusion
It is a great time to be a part of it. Now you may know the importance of the OTT service in the video
streaming environment. Using OTT services start a video streaming app business-like Netflix/Amazon
Prime/Youtube with our help. We are an On-Demand App Development Company providing you the
best OTT Software Solutions. It is one of the futuristic business to shine as people nowadays require more
unique media to watch. Enter into this billion-dollar business now.
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