Cable Operators Seize the OTT Initiative, Heavy Reading Finds

NEW YORK, July 17, 2014 /PRNewswire/ -- Cable and over-the-top (OTT) providers are striking an unusual friendship, one that leads to profitability for both sides once some large challenges are hurdled, according to the latest report from Heavy Reading Cable Industry Insider (www.heavyreading.com/cable), a subscription research service from Heavy Reading (www.heavyreading.com).

Cable & OTT: New Opportunities for Convergence explores the market drivers, opportunities for convergence and the challenges ahead. It includes profiles of 10 cable software suppliers that offer solutions that support cable's TV Everywhere and multi-screen initiatives, which also can lend support for cable-OTT integration.

For a list of companies covered in this report, http://twimgs.com/audiencedevelopment/LRHR/PDFS/cii0614_companies.pdf

"As OTT video streaming services and devices began to attract consumers, they appeared like barbarians at the gate, ready to disrupt traditional media and topple the longstanding empires of cable and other television establishments," notes Craig Leddy, research analyst with Heavy Reading Cable Industry Insider and author of the report. "Disruption indeed has occurred and will continue to occur, but the once-combative stances of cable and OTT players has taken a unique twist as both sides have come to realize that they can profit by utilizing each other's strengths."

Cable's online video efforts provide new business opportunities, Leddy says. "In order to make a courtship work, cable and OTT players need to overcome large challenges, including technical integration, territorial rights issues and monetization to provide a return on investment for all players," he continues. "Cable's continued adoption of IP video technology and its renewed focus on improving TV Everywhere are providing the delivery infrastructure and management solutions that can support OTT video."

Key findings of Cable & OTT: New Opportunities for Convergence include the following:

• Once fierce combatants, cable MSOs and OTT providers are finding mutual ground to work together.
• Comcast's interconnection deal with Netflix shows how cable can become a distribution partner for OTT video streaming services
• MSOs are increasingly providing customers with apps that provide cable TV access through Roku, Xbox, Apple TV, smart TVs and other devices
• New cloud-based IPGs offer a cable portal for OTT apps and social media; TV Everywhere solutions can support OTT apps, too
• Some OTT content and device providers are willing to pay bounties to MSOs to help expand their business.
• 4K Ultra HD forays by Netflix and other players could be a battleground – or convergence point – for cable.

Cable & OTT: New Opportunities for Convergence is available as part of an annual subscription (six issues) to Heavy Reading Cable Industry Insider, priced at $1,595. Individual reports are available for $900.

To subscribe, or for more information about Heavy Reading Cable Industry Insider, please visit: www.heavyreading.com/cable. For more information about other Heavy Reading Insider research services, please visit: www.heavyreading.com/research.

To request a free executive summary of the report, or for details on multi-user licensing options, please contact:

David Williams
Global Director of Sales, Research
Heavy Reading
858-829-8612
[email protected]

Press/analyst contact:
Dennis Mendyk
Vice President of Research, Heavy Reading
201-587-2154
[email protected]

About Heavy Reading

Heavy Reading (www.heavyreading.com), the research division of Light Reading, offers deep analysis of emerging telecom trends to network operators, technology suppliers, and investors. Its product portfolio includes in-depth reports that address critical next-generation technology and service issues, market trackers that focus on the telecom industry's most critical technology sectors, exclusive worldwide surveys of network operator decision-makers that identify future purchasing and deployment plans, and a rich array of custom and consulting services that give clients the market intelligence needed to compete successfully in the global telecom industry.

About Light Reading

Light Reading (www.lightreading.com) combines its research-led online communities and targeted events portfolio to help those in the global communications industry make informed decisions. Lightreading.com is the ultimate source for telecom analysis for more than 350,000 subscribers each month, leading the media sector in terms of traffic, content, and reputation. Light Reading produces targeted communications events and focused one-day conferences each year for cable, mobile, and wireline executives across five continents.

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SOURCE Heavy Reading