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The shift of video consumption to tablets and smartphones is causing operator requirements for video-on-demand systems to change as vendors struggle to keep up with current generation needs, according to a new research from ABI.
According to a press release, equipment and system vendors, such as Arris (including Motorola Home), SeaChange, Cisco, and Ericsson are expected to lose ground to cloud-oriented companies such as thePlatform, Synacor, and KIT Digital (expected to emerge from bankruptcy as Piksel).
VOD vendors will see less than 30 percent growth over the next five years, while content management system vendors will capture the market and see nearly 100 percent growth to seize half of the total VOD management markets, according to the analysis.
However, one commenter at TVTechnology.com had a different take on the space and poked at it:
Vendor struggle? Content management system vendors? (as if Cisco and Ericsson don't already have significant market share in this area)?!
Yet another clueless analyst who has no idea what Arris, SeaChange, Cisco, and Ericsson actually provide, or are developing. A simple search of patent filings and review of recent public presentations would completely invalidate the catchy headline and the conclusion.
Ericsson and Cisco, for example, work jointly to enable Verizon's ability to share VOD content between TVs, tablets, and smartphones. KIT Digital? In my prior role as a video technology executive with a top-5 MSO, I would NEVER bet my company's future on a bankrupt startup.
The release also stated that classic VOD back-office systems are built around delivery to the TV via a set-top box, leveraging a single video format, a managed network, a modest number of business models (free, packaged, and pay per view), and a standalone hierarchical architecture.
“VOD Equipment and system vendors have adapted their systems to work on commoditized IT-grade hardware and are enabling multiscreen IP delivery to sit alongside classic set-top box delivery,” commented practice director, Sam Rosen. “However, they have failed to adapt to syndicated workflows.”
Video content management systems, which resemble premium online video platforms, have been used in a number of high-profile operator multiscreen initiatives, including Comcast’s X1 project, Liberty Global’s Horizon architecture, and Telefonica’s new Global Video Platform.
The findings are part of ABI research’s Cloud Video and Video Hardware Research Service.