The over the top (OTT) market is estimated to grow from $28 billion in 2015 to $62 billion by 2020, at an estimated CAGR of 17%, according to new research from MarketsandMarkets.
Adoption of device-based computing, potential growth in demand for content, increase in requirement for compliance and verification, increase in wide availability of broadband infrastructure, personalization of technology are some of the prominent factors driving the adoption of OTT platforms and services.
Asia Pacific is estimated to grow at the highest CAGR during the forecast period due to rising connectivity of broadband across regions and demand across large enterprise systems.
On-premise OTT is a larger contributor than the cloud-based OTT but the latter is expected to surpass the former due to the higher adoption rate of cloud technologies. Managed services in the services segment is expected to grow at the highest CAGR during the forecast period.
Easy accessibility of broadband technology is contributing to the increasing popularity of OTT. Considerable parts of OTT services are delivered over smart devices so countries such as the United States and Canada, which have better connectivity, can have a wide circulation of OTT apps.
Further, the broadband connectivity has increased its footprints globally. Due to this, the other internet-enabled devices including smart TVs, STBs, and gaming consoles can also be used for the provision of OTT services.