The future of streaming will live in cars and IoT!
Streaming technology is constantly growing. As the consistent frontrunner, with 82% of internet traffic devoted to video streaming, it’s no wonder we see new ways to access those streams. Moreover, pandemic streaming saw a considerable increase. Not just video but music and podcasting also saw a massive rise in streaming numbers during the lockdown.
Music streaming traffic grew by 20%. Led by Spotify and Apple Music, sudden increases in usage during the pandemic led to increased streaming. Accessibility and convenience are essential factors in streaming growth as they’re a top priority for listeners. In 2018 alone, they helped drive a 49% growth in on-demand music streaming.
Where is the future of streaming going? Let’s take a closer look.
OTT Media Services Expanded
Over-the-top (OTT) media services grew before and during the pandemic. In the US, studies reported 182 million subscribers. The top OTT providers include Netflix, Prime Video, Disney+, Hulu, and HBO Max. These platforms are trendy because they provide people with neverending content and instant access to original high-quality content.
In 2020, eMarketer believed that more than 185 million American and Canadian households would have joined Netflix. Netflix remains the top global OTT video streaming provider. In 2020, the pandemic helped Netflix revenues to grow from $20.1 billion the previous year to nearly $25 billion.
A big reason for that is their original content.
OTT streaming providers work tirelessly to find ways to offer original and binge-able content. They want to make movies and TV shows people love. Several OTT providers have allied themselves with mobile operators so that they can cash in even more. Businesses are now looking into monetizing their content through different models, such as ad-based and subscription video on demand.
OTT’s growth, of course, caused several content producers to invest in creating their streaming services. It’s one of the most notable streaming service trends, and you can see it easily when you consider Disney. The company pulled its contract with Hulu and Netflix to launch its own OTT streaming platform, Disney+. This content fragmentation will likely continue to grow, increasing competition and the need for high-quality, new content.
IoT and OTT Streaming
One of the newest OTT video streaming industry trends is the Internet of Things (IoT). In this case, OTT and video platform players compete to grow their subscriber count through monetization of the IoT. Because OTT allows data sharing between IoT devices and OTT services, this idea has a lot of potential. In the highly competitive OTT/video platform arena, using data skillfully and innovatively is crucial to success. It requires fully deploying machine learning, AI, automation, and IoT technologies.
The OTT’s incredible growth is primarily due to better content accessibility through high-speed Internet, devices’ high-quality streaming capacity, data analysis, technological advances, and artificial intelligence. The pandemic saw streaming on various devices, with consumers switching from the Amazon Fire Stick or Google Chromecast to a new era of smart TVs. These moves make new monetization opportunities available for networks and OTT service providers. They can benefit from performance improvements and cost reductions.
Recently, streamers are targeting IoT video at consumers because of the increased number of Internet-enabled devices. By 2025, the predicted total of IoT-connected devices will be about 30.9 billion units. That includes active gateways or nodes/devices that concentrate the end-sensors that enable live streaming.
Consumer IoT video streaming applications range from doorbell cameras and pet monitors to IP and security cameras. The potential for consumer IoT video streaming is huge. With the creation of 5G Internet, the technology used in homes and industrial monitoring will only grow exponentially in the future.
Another compelling example is IoT video stream technology in cars. For example, using tailored sensors and high illuminating infrared cameras, these specially-equipped vehicles can communicate with others thanks to 5G-enabled devices and dedicated short-range communication. Studies predict connected cars will be the most significant global segment of the IoT-5G endpoint market. By 2023, experts project this segment to grow into approximately 19 million endpoints, with a 39% install base market share.
The preferred video delivery medium has changed over the years, as mobile has surpassed TV. Mobile networks’ sprint to offer broadband and LTE services partly fueled this change. As partnerships between streaming providers and mobile networks expand, they offer customer incentives in exchange for more content consumption.
The biggest live-streaming platform, Amazon’s Twitch, saw a massive surge in its “hours watched.” It peaked at 101% during the pandemic’s start in 2020. Of those watching, nearly 33% of Twitch users enjoy live streams on their smart devices. Meanwhile, cable TV subscriptions dropped 3.4% in 2017, meaning about 79% of US households still subscribed to cable or satellite TV. As mobile channels grow and we see content bundling and subsidies, this migration is expected to continue.
While the invention of video certainly hit radio hard, nowadays, streaming packs the real punch. Music streaming affects young audiences most, and it’s unlikely that you’ll see younger audiences tuning into the radio. They prefer streaming, and for a good reason. In music streaming, there are no DJs, no interruptions, and most of all, no commercials. It’s the same reason most people prefer streaming TV. No one likes sitting through an ad. Similarly, music streaming allows listeners to curate their own playlists and stations based on their unique likes.
Over 50% of all music is consumed via streaming.
In another interesting use of cars, TuneIn partnered with electric adventure vehicle manufacturer Rivian. They’ll integrate TuneIn into models like the R1T, the first fully electric truck to hit the market. This feature will give drivers access to TuneIn’s full suite of global live and on-demand radio, sports, news, music, and podcasts.
CEO Richard Stern said, “We are […] excited to be adding Rivian to our existing lineup of automotive and connected car technology partners. Our […] partnerships in the automotive industry enable drivers to discover and access the best audio content from around the world, […] through their dashboard, via a simple touch or voice command via Alexa.”
TuneIn is already working with Tesla, Mercedes, JLR, Volvo, Polestar, and all Alexa-enabled car audio systems.
Using These Statistics to Improve Your Business
What does this information mean for streamers? Changes in streaming and media consumption worldwide due to COVID-19 will likely become the norm. Streaming will continue to be one of the most widely used technologies, and it’s not just entertainment. It’s branched out to essential business sectors gradually. Currently, video and music streaming make up most of the landscape. OTT streaming platforms are evolving exponentially, growing into an industry worth billions of dollars.
Live streaming has served many businesses well, and they presently use it for marketing their goods and services. Social media such as Facebook, Instagram, and Periscope are still the most used platforms by companies. They’ve greatly improved live streaming so sellers can easily interact with their customers. Organizations can even communicate in real-time with their audiences via messaging apps.
Both music and video services have significantly benefited from streaming. Music streaming platforms such as Spotify and Amazon Music have pushed down radio usage as younger generations choose them over the ad-filled stations when they want to listen to music. Music streaming platforms don’t have the same weaknesses that radio does.
These streaming trends continue to grow and evolve each day. You can take advantage of them by taking inspiration from the companies that saw positive changes through streaming technology. Streaming can increase your marketing payout and social media presence and enhance your customer experience. Additionally, marketers use streaming in the latest video marketing statistics. If you look to these trends and more when making decisions regarding your streaming efforts; you’ll be heading toward success—interested in more updates about the future of streaming? Subscribe to our email list!
SOURCES USED: https://www.insideradio.com/free/tunein-announces-integration-with-electric-vehicle-manufacturer-rivian/article_46360132-ebb2-11ec-afbd-2b64e81ca81a.html https://financesonline.com/streaming-trends/ https://www.wowza.com/blog/streaming-trends https://www.exhibit.tech/trending-tech-news/how-iot-and-ott-applications-amount-to-future-technologies/ https://headphonesaddict.com/listening-to-music-statistics/