ONLINE VIDEO PLATFORMS MARKET SIZE AND SHARE ANALYSIS - GROWTH TRENDS AND FORECASTS (2024-2031)

Online Video Platforms Market Size and Trends

Global Online Video Platforms Market is estimated to be valued at USD 10.11 Bn in 2024 and is expected to reach USD 38.45 Bn by 2031, growing at a compound annual growth rate (CAGR) of 21% from 2024 to 2031.

Discover market dynamics shaping the industry: Request sample copy

The demand for online video platforms is witnessing strong growth on account of the rising preference for video content over textual content among internet users. Other factors such as the increasing demand for online video content among individuals and companies across the world catalyzes growth. Video has become an integral part of the marketing strategies of various organizations as it helps in effectively engaging with target audiences. Furthermore, advancements in digital technologies are bolstering the growth of interactive and personalized video content experiences online.

Discover high revenue pocket segments and roadmap to it: Request sample copy

Insights, By Component, Dominance of the Solution Segment in the Online Video Platform Market

By Component, the solution segment is expected to witness 54.5% market share in 2024 due to its ability to provide core functionality. Video platforms require robust technical foundations to support live and on-demand streaming, video hosting, editing, analytics, monetization, and other important features. The solution delivers these necessary functions through integrated software and applications. It forms the technological backbone that allows users to upload, process, and distribute video content seamlessly.

Insights, By Streaming Type, Live Streaming Dominates the Online Video Market

By Streaming type, the live streaming segment is expected to accounts for the largest share of 53.2% market share in 2024 due to its ability to engage audiences in real-time. Viewers enjoy interacting with live broadcasts through chat features and are more likely to share live video with others. The spontaneity and shared experience of live streaming heightens emotional connection to content and its creators. It satisfies the human need for simultaneously participating in events as they unfold.

Insights, By End-user Industry, Media & Entertainment Leadership in Online Video Platform Adoption

The media and entertainment industry commands the largest share of 38.2% in 2024 due to targeting mass audiences. Its participation increases platform scale exponentially. Media companies leverage online video to distribute premium licensed content as well as exclusive new shows. Even as attracting subscribers grows increasingly important, advertising remains a primary monetization method. Vast libraries of binge-worthy TV shows and movies entice viewers to sign-up and retain subscriptions.

Regional Insights

To learn more about this report, Request sample copy

Dominating Region: North America

North America is a leading market and is expected to account for 49.1% market share in 2024. This growth can be attributed to robust technology infrastructure and widespread adoption of online streaming among consumers. Established players in this region such as Brightcove and Kaltura have significantly contributed to the growth through innovative product offerings and strategic partnerships with media companies and brands.

Fastest-Growing Region: Asia Pacific

The Asia Pacific is poised to exhibit the fastest growth and account for 29.2% market share due to rising internet and smartphone penetration coupled with increasing consumption of digital content. Countries like China and India have emerged as key markets owing to rising disposable incomes, growing digital population and thriving media and entertainment industry. Notable regional companies including Beijing Mobile and Tencent Video are tapping into this growth through localized platforms and content.

Online Video Platforms Market Outlook for Key Countries

High Demand from Media Organizations

The US online video platform market continues to be a frontrunner driven by strong demand from media organizations, brands and individual content creators. The surge in demand for streamed video content has created increased competition among platforms to secure exclusive or original content to attract and retain subscribers. Major platforms are investing heavily in producing their own movies, scripted shows, documentaries and other premium content to differentiate their services. For example, Netflix spent over USD 17 billion on content in 2021 according to its financial disclosures.

Significant Investments By Major Players

China's market is amongst the largest globally, propelled by government support for digital infrastructure development and popularity of short-form video formats. Players such as ByteDance are leading innovation through formats like TikTok. Major players like iQiyi and Youku have been investing heavily in developing popular web dramas, variety shows, and short-form videos optimized for smaller screens that keep users engaged. The influence of short video apps like Douyin have also inspired longer format platforms to incorporate short video features. For example, Bilibili launched a short video section in 2021 to capture the massive numbers of users on Douyin.

Demand for High-quality Online Videos

Japan continues to lead in Asia supported by high-quality online experiences and dedicated platforms launched by major telcos and internet companies for domestic and international content distribution. The online video platform market in Japan has seen significant changes in recent years as viewing habits among consumers have evolved. Younger generations who grew up with the internet are less likely to watch traditional TV and prefer consuming content online and on-demand.

Affordability and Popularity of Content in Regional Language

India's market exhibits upbeat outlook on the back of affordable data costs and popularity of regional language content consumption on platforms like Hotstar and MX Player. The online video platform market in India has been rapidly evolving influenced by changing trends in content consumption and technology advancements. Viewers especially younger demographics are switching to online streaming of videos on demand on their mobile phones rather than traditional television. They prefer short form content like music videos, comedy/entertainment clips and devour content in short bursts on social media platforms.

Market Concentration and Competitive Landscape

Get actionable strategies to beat competition: Request sample copy

Top Strategies Followed by Online Video Platforms Market Players

• Established Players- Established Players focus heavily on research and development to create innovative products. Companies like YouTube and Netflix invest billions annually to improve video quality, develop new features like augmented reality, and experiment with technologies like blockchain. They also form strategic partnerships with media companies, hardware manufacturers, and mobile carriers. These partnerships help expand content libraries and distribution networks globally.
• Mid-sized Players- Mid-sized players adopt cost-effective strategies to target price-sensitive consumers. Companies prioritize delivering affordable yet high-quality solutions. They frequently collaborate to strengthen their technology, production abilities, and brand visibility. Partnerships allow companies to pool resources, enter new markets jointly, and share technical expertise.
• Small Players- Emerging startups emphasize niche specialization to stand out. Small businesses target underserved customer segments or develop specialized products for professionals like educators. They leverage latest technologies to compete effectively. Local partnerships with other startups and manufacturers help gain traction and market share in specific regions.

Emerging Startups in the Online Video Platforms Market

• Innovation- Many startups are contributing innovative technologies. Companies are building solutions using advanced tools like machine learning, computer vision and augmented reality. Startups are developing smart video compression solutions to optimize streaming quality. AI recommendations help viewers discover new content. These technologies will transform online video delivery and the overall viewing experience.
• Sustainability- Sustainability is a focus for some startups. Companies create more eco-friendly video hosting infrastructure and promote the reuse of older servers. Startups innovating in this space can significantly reduce the industry's carbon footprint over time. Their solutions set an example for bigger players to adopt greener practices.
• Niche Specialization- Startups also address niche market needs. Some focus solely on streaming educational or kids content. Many partner with specialized domains like healthcare and field services. These collaborative models drive technological innovations suitable for professional and B2B segments. 

Key Takeaways from Analyst

• The online video platforms market is expected to witness significant growth in the coming years. One of the key drivers for this growth is the rising consumption of online video content globally. Users are increasingly streaming movies, TV shows and other entertainment content online. This trend is encouraging more content creators and media companies to adopt online video platforms to reach wider audiences.
• The proliferation of smart devices and advancement of internet infrastructure is also fueling the demand for online video platforms. Users can now access videos anytime, anywhere on their smartphones, tablets and other connected devices. High-speed internet connectivity is enabling seamless streaming experience. This rising mobility and accessibility of online videos is boosting the online video platforms industry.
• However, high deployment and maintenance costs of online video platforms may hinder their adoption to some extent, especially among small organizations. Data security and privacy challenges also act as a restraint for this market.

Market Report Scope

Market Dynamics

Market Driver - Increase in Video Consumption on Mobile Devices

The online video consumption habits of users have changed significantly in the last few years owing to increased mobile internet penetration and advancement of mobile technology. Smartphones have become the preferred device for accessing internet and entertainment content on the go. Video content in particular sees huge demand on mobile as short clips and shows are very convenient to watch on smartphone screens during commutes, breaks or leisure time. Platforms have also optimized their player experience and offerings for smooth mobile playback. Users today spend a major portion of their daily internet usage on their phones. Mobile internet subscriptions as well as average time spent on mobile internet by users is rising sharply year-on-year.

Market Challenge - High Cost of Deployment and Installation

The high cost of deploying an online video platform can be a major challenge for many organizations. Setting up the necessary infrastructure and software requires a substantial initial investment, which includes the cost of high-performance servers, storage devices, content delivery networks, encoding appliances and software licensing. For large enterprises with complex video requirements across multiple sites, the deployment costs can run into several millions of dollars. This high barrier of entry deters many small and medium businesses from adopting video platforms for their communication and collaboration needs. Even for larger companies, the costs act as a deterrent from scaling their video strategy aggressively. With tight budgets and changing economic conditions, convincing stakeholders to allocate sizable capital for a new video system can be difficult.

Market Opportunity- Scope of Video Analytics and Usage of AI/ML

The increased capabilities of online video platforms in video analytics and application of AI/ML techniques present a huge opportunity for companies. Advanced analytics on video content and user behavior data can provide valuable business intelligence. Platforms can now automatically tag videos, detect objects, analyze emotions and extract structured metadata. This unlocked data holds potential for personalizing user experiences, monitoring KPIs, preventing security threats and automating workflows. The integration of ML is also enabling novel features such as auto-generated transcripts, smart video search and personalized video recommendations. As platforms continue advancing analytics using deep learning models trained on massive video datasets, their capabilities will far surpass human ability to comprehend and extract insights from video at scale.

Market Segmentation

•  Component Insights (Revenue, USD Bn, 2019 - 2031)
• • Solution
  • Services
•  Streaming Type Insights (Revenue, USD Bn, 2019 - 2031)
• • Live Streaming
  • Video On Demand
• End-user Industry Insights (Revenue, USD Bn, 2019 - 2031)
• • Media & Entertainment
  • BFSI
  • Retail
  • Education
  • IT & Telecom
  • Others
• Regional Insights (Revenue, USD Bn, 2019 - 2031)
• • North America
    • U.S.
    • Canada
  • Latin America
    • Brazil
    • Argentina
    • Mexico
    • Rest of Latin America
  • Europe
    • Germany
    • U.K.
    • Spain
    • France
    • Italy
    • Russia
    • Rest of Europe
  • Asia Pacific
    • China
    • India
    • Japan
    • Australia
    • South Korea
    • ASEAN
    • Rest of Asia Pacific
  • Middle East
    • GCC Countries
    • Israel
    • Rest of Middle East
  • Africa
    • South Africa
    • North Africa
    • Central Africa
• Key Players Insights
  • Brighthove Inc.
  • Endavo media,
  • io, Inc.
  • Akamai Technologies
  • Limelight Networks
  • Media Melon Inc.
  • Wistia Inc.
  • SpotX, Inc.
  • Panopto
  • Kaltura Inc
  • Comcast Cable Communications Management, LLC
  • Longtail Ad Solutions, Inc.
  • Ooyala Inc.