Video infrastructure market forecast to grow 37% over next 5 years
Video infrastructure markets continue to grow at a relatively healthy pace of 37% over the next 5 years -- despite the impact of virtualization separating hardware and software requirements, according to new data from ABI Research.
Video infrastructure markets, including broadcast pre- and post-production, video encoding, and VOD and CDN hardware, will continue to grow at a relatively healthy pace of 37% over the next 5 years, despite the impact of virtualization separating hardware and software requirements, according to new data from ABI Research.
“Broadcasters and operators virtualizing their workflow are likely to buy classic IT servers, while continuing to rely on video specialists for their application and software requirements,” says ABI Research Practice Director Sam Rosen.
The analyst adds, “In theory, this means that video vendors are supplying less of the total solution; however, rising overall business complexity of areas, including ad workflows and over-the-top delivery, are offsetting this downward pressure on revenues.”
“The encoder and transcoder market represents the brightest spot in the video industry. Growth in this sub-market is at 9% annually, compared to 6% in the broadcast pre- and post-production market, and between 4% to 5% in the satellite and VOD / CDN markets,” adds ABI Research Analyst Eric Abbruzzese.
Abbruzzese continued, “Both traditional drivers—including increased channel counts in many markets together with encoding density to mitigate spectrum considerations—as well as new applications, including multiscreen currently and truly mobile video services in the next 3 to 5 years, also contribute.”
These findings are from ABI Research’s Video Hardware: Encoders, VOD Servers, and CDN market data report, which covers broadcast video infrastructure equipment, the broadband access market, and the satellite market. It is a part of the firm's Mobile, Multiscreen, and Cloud Video Delivery market research.
ABI Research provides in-depth analysis and quantitative forecasting of trends in global connectivity and other emerging technologies. From offices in North America, Europe and Asia, ABI Research’s worldwide team of experts advises thousands of decision makers through 70+ research and advisory services. Est. 1990. For more information visit www.abiresearch.com, or call +1.516.624.2500.