Corpus Media Blog

OTT Platforms – An Alternative Or A Complement?

It is apparent that consumers are demanding access to non-linear content (VoD, SVOD, etc.) as an integral part of the new consumer experience with premium packages that personalize or complete the user’s basic offering.
OTT platforms nowadays are offering the user lots of quality content at economical prices pushing the market towards a model that will most likely combine traditional and internet content in any environment with a simple user and with advanced functionalities of use.
At present we can find several platforms of Over-The-Top services. Although they are not services that are considered within the telecommunications, these influence directly within the sector. An over-the-top content provider (OTT) is one that has a certain infrastructure for the transmission and dissemination of content, which does not directly have the rights of creation and distribution, but which diffuses through the internet to various devices such as Smartphones, tablets, and Smart TVs.
The online content platforms impose an intense pressure on telecommunications networks since it could be argued that they compete directly with TV services when providing the same content with the advantage of placing them on demand, and with the characteristic of being ubiquitous. It is important to emphasize that we only consider over the top services providers to those pages that distribute content with licenses, for example, those that grant access to a movie by membership fee, or free of charge with commercials.
It is important to clarify that to be able to enjoy OTT services requires a compatible device and the most important to have an Internet connection. Nevertheless, we must remember the limited progress that our country holds regarding connectivity.
The deepening demand in OTT services will be a result of the growth in the penetration and quality of the broadband, derived from the affordability in terms of the same. Also, the development of the market can be explained by the implementation of strategies by the suppliers that use the packaging of services and the exclusivity of content as the main attraction. It is certainly a market that has the potential to generate significant benefits to operators over the next few years.
Regarding the service, OTT platforms presuppose an active user is looking for specific content usually in an on-demand and multi-device format. This proactivity contrasts with the theoretically passive consumption of the linear channels offered by pay-TV operators. The reality is that all pay-TV operators also offer on-demand services in addition to cloud recording, catch up services or the like that respond to more active user in their content consumption
Finally, regarding content, the commercial offer of OTT platforms is mainly focused on cinema and series, in VoD or SVoD format. But there is a universe of content with a large audience still untapped and in other markets, such as in the USA, some OTT services have already launched their content packages that include linear channels of thematic and premium content.

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