111 OCTOBER 2017 | STREAMING MEDIA SPONSORED CONTENT
THE FIVE CRUCIAL CHALLENGES
FOR VIDEO SERVICE PROVIDERS
There are five challenges that we feel
collectively sum up the current focus
for many service providers around the
world; convergence, consolidation, co-
option, commoditization and cloudifi-
cation. What we call the 5Cs. All five
are dictated by the evolving technical
and business landscape, and have their
own implications for revenue security.
The first challenge, convergence, is happening for almost
all operators and is about incorporating OTT services fully
within the core package and offering the platform to content
owners to generate additional revenue from the investment.
Another challenge, consolidation, is bringing together ser-
vices or operators that previously existed in different silos. Last
year, consolidation occurred at Verimatrix when we launched
Verspective Operator Analytics, which is a new way we are
able to generate greater business value for our customers.
Closely related to consolidation lies the third challenge,
co-option, involving integration between components,
and the adoption of internet technologies by established
pay-TV operators. An example of this is when TV and dis-
play manufacturers Seiki, Westinghouse Electronics and Ele-
ment Electronics announced a new line of 4K/UHD smart
TVs branded as the Amazon Fire TV Edition.
These trends all are related to another challenge, growing
commoditization, at both hardware and software levels,
allowing simpler integration between services. RDKs (Ref-
erence Design Kits) have been playing a key role, growing
from their base in cable TV as a standardized software lay-
er between services.
The last challenge is cloudification, which triggers all the
other challenges by “hollowing out” the video head-end and
removing critical functions to the cloud where they can be
fully integrated and managed. We see the cloud reinforcing
revenue security through multilayer defensible platforms.
We like to think of these trends as enabling new opportuni-
ties for growth. At Verimatrix, it is our mission to provide
technology that is agile enough to support digital video ser-
vice providers as they power new transitions.
Let us know your thoughts at www.verimatrix.com/blog.
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