8 STREAMING MEDIA November/December 2016
Online Video 2026: Millennials Grow Up
TV services. In the near future, there will
be no second-class screens, as content
will be easily accessible at broadcast or
higher quality across all devices and
locations. The many business rules will
continue to be worked out, and the technology is already proving to be more
We’ll also start to see more live 4K
and HDR content become available on
a broader scale, driven largely by high-profile events. To date, we’ve already
enjoyed some early examples of this
in sports, where viewer reactions have
been overwhelmingly positive. Much
like we saw with the evolution of HD,
sports will play a big role in helping
to drive 4K and HDR innovation and
From a technology standpoint, the
amount of innovation in online video
that has occurred over a relatively short
amount of time is staggering—and often
overlooked. We’re already approaching
the point where online video quality is
as good as, if not better than, what cable and satellite are delivering. We’re
also tackling challenges such as latency, with a goal of sub-10-second delivery and even better so consumers are
enjoying live events at the same time,
no matter how they’re watching.
Most importantly, we’re working on
scaling our systems to more efficiently
reach rapidly growing audiences at
higher levels of quality. These efficien-cies are coming not through simply adding more servers to content delivery
networks, but introducing hybrid HTTP/
UDP streaming, multicast capabilities,
and the extension of the edge onto consumer devices.
As viewing habits evolve and born-
digital consumers mature, we’ll contin-
ue to innovate and deliver the types of
services and technology that meet the
demands and expectations of bigger and
bigger audiences around the world.
The Future of Advertising
To wrap up, let’s take a peek at how we’re
going to pay for all this. Here are some thoughts
from Eleni Marouli, principal analyst and manager for advertising research with IHS Markit.
Video content production will be
dominated by traditional broadcasters,
who have decades of experience in this.
Whether it will be vertical video, VR,
AR, and/or all of the above, it will still
require the creative skill sets of content
producers—something that is currently
lacking in the leading technology companies who [are] becoming video-first.
As digital becomes an increasingly
difficult landscape to navigate for large
advertisers, we will see the rise of branded content. Advertisers will commission
content from producers and/or invest in
their own production capabilities (e.g.,
see GoPro and Red Bull).
Algorithms will dictate standardized format advertising decisions. We
already see programmatic buying as
a mainstream mechanism for display
advertising revenue, and we forecast
this will become the majority for video
advertising revenue by 2020.
And that is how our robust, protean, fascinating online video world will shape up in 10 years.
Now store this article for a decade to see how
accurate our digital prophets were.
Troy Dreier ( firstname.lastname@example.org) is senior associate editor
of Streaming Media and Onlinevideo.net.
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