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ABI Research senior
analyst Cesar Bachelet says, “The rapid expansion of broadband video creates
opportunities across a number of market sectors. “A
wide variety of actors aim to gain a share of this fast-growing market: not only
content owners such as the BBC and NBC Universal, and Internet portals such as
AOL and Yahoo!, but also a range of new entrants including user-generated content
sites such as YouTube and Dailymotion, broadband video sites such as CinemaNow
and Lovefilm, and Internet TV providers such as Apple and Zattoo.” Increasingly,
the methods used to deliver this content are changing, in order to reduce the
strain on broadband networks. These include content distribution networks that
cache content closer to the user, peer-to-peer networks which leverage users’
PCs, and hybrid networks which combine these two approaches.
According to Bachelet, Pay-TV providers
should refrain from knee-jerk responses,
or adopting defensive measures aimed at
discouraging consumers from using those
services. That would only produce resentment
from subscribers and likely defections from
their services.
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