AUSTIN, Texas -- Big Communications Event (BCE) -- Video consumption is rapidly changing on a global level, forcing both operators and OTT content providers to rapidly rethink their approach to mobile video delivery.
This morning at BCE, Alan Breznick, cable/video practice leader at Light Reading, and Upinder Saini, vice president of wireless product management at Rogers Communications Inc. (Toronto: RCI), spoke on the transformations to the mobile video arena in the Upskill U session "Mobile Video: Finding a Solution." Breznick said that just two years ago, mobile devices only accounted for 20% of all video views in the US. (See LIVE AT BCE - Mobile Video: Finding a Solution.)
"By the end of this year, it's expected to more than double. Mobile video views should account for 50% or half of all video views in the US," said Breznick.
Millenials, the 18-34 age group, are driving what Breznick called the trend to watch video "anyplace, anytime, anywhere." As a result, paid TV subscriptions are on the decline and 84% of millennials in North America are considering either reducing their paid TV spending or cutting the cord completely.
To better meet customer demand, Upinder explained that Rogers Communications now provides additional digital content subscriptions bundled with mobile data plans, like Spotify, shomi and Rogers GameCentre LIVE. Consumers, and in particular millennials, also want alternative video content, from the likes of Facebook and YouTube, in a convenient, fast way and under an affordable, predictable pricing plan.
"The key is to bring all that content together and make it easy and simple for the customer so they can watch it on one interface," said Saini.
The service provider and OTT relationship is a collaborative one, says Saini, with the end goal of partnering up to deliver convenient content to the customer. While most long-form videos, lasting ten minutes or more, are watched over WiFi, OTT service subscribers tend to consume more mobile data and are willing to pay for bigger data packages.
Upskill U will resume the Cloud Platforms and Services series at 1:00 p.m. ET on June 10 for the course "Ethernet & the Cloud," presented by Chris McReynolds, Vice President, Cloud & Data Services, Level 3 Communications Inc. (NYSE: LVLT). The rise of virtualization is creating new demand for network-as-a-service options that combine physical and virtual network elements flexibly, while also delivering on the quality promises for which Carrier Ethernet has become known. This course looks at how that will happen and what network operators need to be doing now to prepare. (Register for Ethernet & the Cloud.)
— Kelsey Kusterer Ziser, Editor, Upskill U