Disney’s recent acquisition of BamTech, the OTT video platform arm of MLBam, should come as no surprise, and likewise, Disney’s announced the creation of a stand-alone streaming service and removal of their content from Netflix. It is only another example of more networks and content owners embracing the direct-to-consumer strategy, bypassing traditional distributors, and bringing the number of OTT streaming services and competition to an all-time high.
With deals like Disney’s, the blurring of boundaries between content owners and distributors is ever increasing, as is investments in programming and original content by traditional distributor-only’s and tech players, with Netflix taking the lead with their $8bn content investment for this year alone, followed by Amazon’s $4.5bn, HBO’s $2.5bn, Alibaba’s $2.4bn and Apple’s $1bn.
For a new entrant streaming service, wishing to win the consumer's eyeball time and monthly streaming budget, both of which are finite, the consequence of this highly competitive development is the requirement of potentially vast investments in content and marketing. But by using an end-to-end managed service OTT platform such as Magine's, new OTT streaming entrants can minimize the CAPEX and OPEX required for the setup and operation of an OTT service, enabling capital to instead be funneled into content and marketing, ensuring they stay ahead of the competition, as well as eliminating the risks associated with technology investments.
It’s undeniable that competition in video streaming services is fiercer than ever but based on Magine’s experience of working with and launching a wide array of services, we’ve put together a white paper on what we consider key to building a successful OTT business.
Within the paper we cover how to attract and keep your audience engaged, reduce churn and expand into new markets, alongside the importance of choosing the right tech solutions, analytics and monetization models for your content and business. Download the white paper today and read more on what we regard as critical to launching an OTT service and how our global solutions can help get you off the ground.