YouTube, Netflix and Other Steaming Services Boosting the Global Video CDN Market

TechNavio is reporting that unprecedented growth of streaming video is directly boosting the Global Video Content Delivery Network (CDN) Market. The market is projecting a CAGR of 29.66 percent from 2014-2018.

“In 2013, the average video traffic over the internet was estimated at 23.2 exabytes per month, and is expected to reach 71.5 exabytes per month by 2018,” says Faisal Ghaus, Vice President of TechNavio research.

“With the increase in internet speed and improvement in video quality, there is a steep increase in video data streaming. This increase boosted the demand for video CDNs and ensured better QoS is provided to the viewers by reducing the load and stream time of the video. This is one of the major drivers in the Global Video CDN market and will drive the market during the forecast period.”

Over the top content on the internet has exploded in recent years. Services like YouTube, Facebook, Skype, Netflix, and Viber are all witnessing an increase in users who stream high quality videos, for longer times, on more devices than ever before.

Even though network operators barely benefit from OTT services, there are still steps being taken in order for the market to capitalize on all this content, with operators contemplating the pros and cons of incorporating cached CDN services into their networks to maintain network performance and retain their user base.

The revenue contributed by the OTT services was estimated at US$6.61 billion in 2013 and is expected to reach US$19.65 billion by 2018. The upswing of the OTT market during the forecast period is also fueling the Global Video CDN market.

“In recent times, the immense growth in data traffic has made it extremely important to minimize load time to facilitate an enhanced end-user experience,” says Ghaus.

Video CDNs effectively minimize load times and optimize services as they speed up the transmission of data using servers located in various regions and directs the data through the shortest available route. This is extremely beneficial while streaming audio and video files as data is accomplished with minimal pauses and interruptions.

To determine the scenario for these vendors in the next 3-4 years, TechNavio analysts have conducted in-depth analysis of the impact of market drivers, challenges and trends featuring data on product segmentations, vendor shares, growth rate by revenue and an evaluation of the different buying criteria in the order of importance.

If you are interested in more information on this topic and our upcoming research on the Global Video Content Delivery Network Market please send an e-mail to media@TechNavio.com

About TechNavio

TechNavio is a leading technology research and advisory company with a global coverage. We focus on emerging technology trends that can shape the market. We identify and explain these trends to our customers to help them take better decisions.

TechNavio models the trends using a mix of quantitative and qualitative tools in its proprietary research methodologies. We build forecasts across market segments and geographies based on the trends identified. These forecasts and analysis are used to help our customers identify new and existing opportunities in their markets. We also help customers assess their competitive position in a changing market scenario.

TechNavio analysts employ primary as well as secondary research techniques to ascertain the size and vendor landscape of the Global Video Content Delivery Network Market. Our analysts obtain the information using a combination of the bottom-up and top-down approaches, besides using in-house market modeling tools. They corroborate this data with the data obtained from various market participants and stakeholders across the value chain, including vendors, service providers, distributors, re-sellers, and end-users.

Decision makers and influencers in sales & marketing, strategy, product and R&D teams rely on research from TechNavio. We have a large and growing base of happy customers worldwide. Our customers include technology suppliers, end users, consulting companies, investment firms and research institutes.

Founded in 2003, TechNavio has about 200 analysts globally. We cover more than 500 technologies across 80 countries. Our analysts are closely monitoring the market every day by talking to all the industry participants. We have proprietary databases that provide us with a complete perspective of the market. TechNavio develops over 2000 pieces of research deliverables every year.

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This release was published on openPR.