ABI Research forecasts the market for analytics within Pay TV services will grow by 105% in the next five years, from US$1.8 billion this year to $3.7 billion in 2022.
Comcast, Netflix, Sky, Telstra and other successful video companies differentiate themselves from their peers by their strong use of analytics to optimise and improve operational metrics. Pay TV companies are starting to transform products to support an analytical focus, moving in the direction of artificial intelligence and machine learning to enable self-optimisation.
“Today’s siloed solutions mean that each business unit may rely on separate sources of data in solutions coming from different vendors, especially as small and mid-size video services,” said Sam Rosen, Managing Director and Vice President at ABI Research. “Best-in-class OTT companies and Tier One operators with multiple services in diverse geographies started to build unified data platforms that centralise data and then provide access to every group based on their functional requirements.”
Investors are already latching onto the analytics opportunity in Pay TV services. Conviva, historically a strong technology-player in the Quality of Service/Quality of Experience market, just announced $40 million of funding in a re-launch to test building more complete analytics solutions. Samba, an automatic-content recognition (ACR)-based measurement platform for Smart TVs, similarly completed a $30 million round to disrupt the measurement space.