Streaming media is skyrocketing along with advances in video, mobile and wireless technologies. Video will account for 80 percent of all internet traffic by 2019. In staggering quantities, network broadcasters and Over The Top (OTT) content providers are delivering content online. Every day, more than 500 million hours of videos are watched on YouTube, and 10 billion videos are viewed on Snapchat, for example.
Network speed, capacity and flexibility to meet the growing demand are improving, but not rapidly enough. Significant issues remain to be addressed. The telecom industry faces challenges in transmitting video to and from end users. These include managing the need to deliver to both broadcast and OTT; providing seamless customer experiences; preparing for mass adoption of 4K and higher resolution cameras; and planning for network buildout and optimization to meet the demand for ultra-high speed broadband.
To address the challenges of streaming media, telecom carriers are looking to innovative strategies. One such strategy is to own the content through mergers and acquisitions or business deals, which many telecom providers have pursued. Another approach is to monetize subscribers by improving advertising technology, with data analytics and personalization showing great promise. Additionally, some telecom carriers are moving to increase cloud business with value-added services like managed security and unified communications.
Together with new strategies to diversify revenue, telecom providers are pursuing new regulatory models that will address the “last mile.” Maintaining these physical connections to homes and businesses is placing traditional fixed line, cable and fiber operators at a distinct disadvantage to new OTT and digital rivals that bear no such responsibility. To address this, many providers are seeking regulatory changes that would split the residential access business from their other operations.
The FCC is currently considering proposed Net Neutrality rules intended to ensure the Internet remains open, focusing prominently on the Future of Video. Generating over a million comments to the FCC, few recent communications policy issues have generated such broad public scrutiny. Join TIA as we explore and clarify the issues at a Luncheon Roundtable.