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Pirates Poised to Pluck More From Pay-TV, OTT

Alison Diana
7/17/2019
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Video piracy and account-sharing will hit both OTT and pay-TV providers even harder over the next few years, costing them a combined $12.5 billion in 2024, up 38% from this year's loss of $9.1 billion, Parks Associates predicts.

Curently, more than one-quarter, or 27%, of US broadband households engage in some type of video piracy or account-sharing, the research firm said. Plus, 13% of consumers surveyed make use of a piracy website or app, Parks said.

"Piracy is a complex issue that cannot be addressed with a single solution or by targeting a single use case," said Brett Sappington, senior research director and principal analyst at Parks Associates in a statement. "Most pirates also subscribe to at least one OTT service. They are not simply thieves looking to steal content but are video enthusiasts who engage with many different services. OTT services could better reach these consumers through ad-based content, which also aligns with these users' general belief that 'movies/music should be given away for free.'"

A study by Cartesian, developer of a streaming video credential-sharing and prevention solution, also found that 27% of consumers used either borrowed or stolen credentials to tap into SVoD services. Of those people, 42% indicated they would be willing to pay for this content if it was not easily accessible.

Of those who use someone else's credentials, 56% said they already "pay enough" for content, while 27% use others' log-on info because it's "easy and convenient," Cartesian's December 2018 report found.

For more details, see this story on our sister site, Broadband World News.

— Alison Diana, Editor, Broadband World News

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